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Stock impact report

Bath & Body Works: With Dividend In Danger, Investors Should Shift To Bonds [Seeking Alpha]

Bath & Body Works, Inc. (BBWI) 
Company Research Source: Seeking Alpha
BBWI's balance sheet remains stable, but rising costs and higher accounts payable pressure cash flow and threaten dividend sustainability. Current free cash flow is insufficient to cover both dividends and aggressive share buybacks; prioritizing one is essential for financial health. Income investors should consider BBWI's 2035 bond (CUSIP: 501797AL8) for a 7% yield, as it avoids call risk and offers solid income potential. Trevor Srednick/iStock Editorial via Getty Images Introduction On Thursday, Bath & Body Works ( BBWI ) shares fell nearly 25% after the retailer posted worse than expected earnings . In addition to missing earnings, the company guided a decline in sales This article was written by Analyst's Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compens Show less Read more
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