Quick verdict: BBWI vs ETSY in 2026

In this BBWI vs ETSY stock comparison 2026, Bath & Body Works (BBWI) takes the overall edge primarily due to its compelling valuation and significant DCF upside, while Etsy (ETSY) leads in revenue growth and net profitability. ETSY maintains a slight lead as the analyst favorite, garnering a ‘Buy’ consensus compared to BBWI’s ‘Hold’. However, BBWI offers considerably more potential upside according to both analyst targets and its Discounted Cash Flow model. Not investment advice.

BBWI vs ETSY: key metrics side by side

Full side-by-side comparison of BBWI and ETSY across valuation, profitability, growth and analyst sentiment. Data updated 2026-04-30.

BBWI vs ETSY valuation comparison

When assessing the BBWI vs ETSY valuation, Bath & Body Works (BBWI) emerges as the significantly cheaper option based on traditional metrics. BBWI currently trades at a P/E ratio of 5.98x, which is remarkably lower than Etsy’s (ETSY) P/E of 18.15x. This stark difference suggests that investors are paying considerably less for each dollar of earnings with BBWI compared to ETSY, indicating a potentially undervalued position for the former. Furthermore, BBWI boasts an impressive Discounted Cash Flow (DCF) upside of +229.1%, implying its current share price of $18.33 is well below its intrinsic value of $60.33.

Conversely, Etsy’s DCF valuation suggests a significant overvaluation, with a projected downside of -67.1% from its current price of $69.6 to its intrinsic value of $22.93. While both companies show negative Price-to-Book (P/B) ratios (BBWI: -3.03x, ETSY: -5.89x), which can complicate direct comparisons and often signal specific balance sheet structures or intangible assets, the P/E and DCF models clearly position BBWI as the more attractive stock from a valuation perspective in this bbwi vs etsy fundamentals and valuation review. Investors seeking value may find BBWI’s current price and potential upside compelling.

BBWI vs ETSY growth comparison

In terms of growth, Etsy (ETSY) demonstrates stronger momentum compared to Bath & Body Works (BBWI). ETSY reported a positive year-over-year revenue growth of 2.7%, indicating an expanding top-line in its e-commerce marketplace operations. This modest but positive growth highlights its continued ability to attract and retain sellers and buyers, pushing its total revenue to $2.88 billion. In contrast, BBWI’s revenue growth for the year stood at -0.2%, reflecting a relatively flat to slightly declining sales trajectory for the personal care and home fragrance retailer.

While BBWI operates on a larger revenue base with $7.29 billion, ETSY’s positive growth rate suggests a more dynamic market position and potential for future expansion in its niche. The difference in growth rates is a critical factor for investors focused on top-line expansion and market share gains. ETSY’s slightly higher net margin of 12.88% compared to BBWI’s 8.9% also suggests it’s more efficiently converting its growing revenue into profit, further strengthening its growth story from a profitability standpoint.

BBWI vs ETSY profitability

When examining BBWI vs ETSY profitability, Etsy (ETSY) generally exhibits stronger net margins, converting a higher percentage of its revenue into net income. ETSY’s net margin is 12.88%, which surpasses BBWI’s net margin of 8.9%. This suggests that ETSY, despite having a smaller revenue base of $2.88 billion compared to BBWI’s $7.29 billion, is more efficient at controlling its costs and delivering bottom-line profits. This superior net profitability is a key indicator for investors focused on a company’s financial health and efficiency.

However, Bath & Body Works (BBWI) demonstrates notable strength in other profitability metrics, particularly its Free Cash Flow (FCF) yield and EBITDA margin. BBWI boasts an impressive FCF yield of 23.46%, significantly higher than ETSY’s 11.26%. This indicates that BBWI generates substantially more free cash flow relative to its market capitalization, which is crucial for funding operations, dividends (BBWI has a 0.04% dividend yield, while ETSY has 0%), or share buybacks. Furthermore, BBWI’s EBITDA margin of 19.26% is also superior to ETSY’s 17.09%, suggesting better operational efficiency before accounting for interest, taxes, depreciation, and amortization. Both companies show N/A% for ROE, so this metric cannot be used for comparison. Ultimately, while ETSY leads in net margin, BBWI generates more cash and shows stronger operational margins.

Analyst ratings: BBWI vs ETSY

Regarding analyst sentiment, Etsy (ETSY) currently garners a more favorable view from the broader investment community compared to Bath & Body Works (BBWI). Of the 45 analysts covering ETSY, 46.7% recommend a ‘Buy’ rating, leading to a consensus of ‘Buy’ for the stock. This suggests a general optimism among analysts regarding ETSY’s future performance and growth prospects, likely influenced by its positive revenue growth and stronger net margins.

In contrast, BBWI is covered by 22 analysts, with a lower percentage of 40.9% recommending a ‘Buy’. This results in a more cautious ‘Hold’ consensus for Bath & Body Works. Despite BBWI receiving a ‘Hold’ consensus, its price target of $21 suggests a +14.6% upside from its current price of $18.33. Meanwhile, ETSY’s analyst target of $67.77 implies a -2.6% downside from its current price of $69.6, a notable discrepancy where analyst conviction (more ‘Buy’ ratings) doesn’t align with a positive near-term price target, potentially indicating that the stock’s current price already reflects or exceeds analyst expectations for the next 12 months.

Should I buy BBWI or ETSY stock in 2026?

Deciding should I buy BBWI or ETSY stock in 2026 depends heavily on an investor’s individual strategy and risk tolerance. For growth-oriented investors, Etsy (ETSY) might appear more appealing due to its positive revenue growth of 2.7% and higher net margin of 12.88%. While its overall revenue base of $2.88 billion is smaller than BBWI’s, ETSY operates in the dynamic e-commerce sector, offering a platform for artisanal goods that could have long-term expansion potential. This makes ETSY a contender for those prioritizing top-line expansion and market presence in a growing digital economy, as highlighted in this bbwi vs etsy stock comparison 2026.

Conversely, for value investors or those seeking a potentially undervalued asset, Bath & Body Works (BBWI) presents a compelling case. Its P/E ratio of 5.98x is significantly lower than ETSY’s 18.15x, and its DCF model indicates an impressive +229.1% upside to its intrinsic value of $60.33 from its current price of $18.33. BBWI also demonstrates superior Free Cash Flow (FCF) yield at 23.46% and a higher EBITDA margin, suggesting strong underlying operational efficiency and cash generation capabilities. These bbwi vs etsy fundamentals and valuation metrics paint BBWI as a potentially strong value play, especially for investors willing to look past its flat revenue growth for significant long-term appreciation.

For income-focused investors, BBWI is the only option as it offers a modest dividend yield of 0.04%, whereas ETSY currently offers 0%. While analysts are slightly more bullish on ETSY with a ‘Buy’ consensus, BBWI’s price target still suggests a +14.6% upside, and its DCF upside is massive. Ultimately, BBWI seems to offer a more attractive risk-reward profile for those seeking value and cash flow, while ETSY offers modest growth in a growing sector. This is not investment advice.

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