Quest Diagnostics Inc (NYSE:DGX) stock is flat this morning, last seen 0.1% higher to trade at $130.71, after UBS downgraded the medical lab operator's shares to "neutral" from "buy." The firm cited uncertainty around the future path of Covid-19, which will weigh on the company's ability to hit its earnings target for fiscal 2023, as well as rising costs.

Analysts were already mostly bearish toward Quest Diagnostics stock, though there's still ample room for additional brokerages to change their tune. This is per the five of 12 in coverage that still recommended a "strong buy" coming into today. Meanwhile, the stock's 12-month consensus price target of $156.40 is a 19.8% premium to last night's close.

There is a clear preference for calls in the options pits, and a shift in sentiment could provide headwinds. DGX sports a 50-day call/put volume ratio of 3.10 at the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX). This ratio sits higher than 84% of readings from the last year, suggesting a much healthier appetite for long calls than what is typically seen.

It's worth noting the equity's Schaeffer's Volatility Scorecard (SVS) stands at 89 out of 100, meaning Quest Diagnostics stock has exceeded option traders' volatility expectations during the past year.

DGX closed out 2021 by scoring an all-time high of $174.16 on the last session of the year. Things quickly took a turn for the worse, with a Jan. 12 bear gap sending the equity below the previously supportive 120-day moving average. Now middling around the $128 area for the first time since June 2021, Quest Diagnostics stock is off more than 25% in 2022.

The shares of Lowe's Companies Inc (NYSE:LOW) are up 5.5% at $226.16 this morning, following the company's well-received fourth-quarter report. The retailer posted profits of $1.78 per share on $21.34 billion in revenue, topping analysts' estimates. Lowe's also said its sales rose 5% for the quarter, and lifted its full-year forecast, citing the current state of the real estate market and strong sales among home professionals. 

The stock fell yesterday following top competitor Home Depot's (HD) post-earnings selloff, though most of this negative price action was captured by the $210 level, which is also home to LOW's May and September highs. The equity did find itself back below the 200-day moving average for the first time since March 2021, though today's pop has the stock back above this trendline. In the past 12 months, the equity has tacked on roughly 33.5%. 

There's not been a peep from the brokerage bunch, but most analysts in coverage were bullish heading into today. Of the 21 in coverage, 16 call the stock a "buy" or better. Plus, the 12-month consensus price target of $278.33 is a 29.7% premium to last night's close. 

Options traders took a more bearish stance ahead of Lowe's earnings event. At the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), LOW sports a 10-day put/call volume ratio of 2.04, which stands higher than 96% of readings from the past year. This means options traders have been picking up long puts at a much quicker-than-usual clip. 

This bearishness is being echoed in today's trading, where 8,229 puts have exchanged hands, nearly double the 4,144 calls exchanged during the first half hour of trading. Overall volume is running at 10 times the intraday average, and the weekly 2/25 212.50-strike put is the most popular, with positions being opened here. 

Marathon Oil Corporation (NYSE:MRO) is up 3.2% to trade at $22.29 this morning. The Russia-Ukraine crisis has driven oil higher, with Piper Sandler noting the commodity's run is not over yet. The firm upgraded the equity to "overweight" from neutral," and hiked its price target to $27 from $22. 

Since the start of the year, the 30-day moving average has helped capture MRO's pullbacks. Year-to-date, the equity is up 31.5%, and yesterday hit a three-year high of $23.18. 

Of the 31 analysts in coverage, 20 carry a "buy" or better rating. Meanwhile, the 12-month consensus price target of $23.07 is in line with current levels, leaving some room for more price-target hikes. 

In the past 10 days, 4.67 calls have been picked up for every put at the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX). Plus, the security's Schaeffer's Volatility Scorecard (SVS) stands at a 94 out of 100, meaning MRO has exceeded option traders' volatility expectations during the past year.

Drilling down to today's options activity, 5,887 calls have crossed the tape, which is double the intraday average, compared to just 213 puts. Most popular is the 2/25 22.50-strike call, followed by the March 25 call.

Today there will be a lull on Wednesday with nothing on the calendar. 

The following public companies are slated to release corporate earnings today, February 23:

Avanos Medical Inc. (NYSE:AVNS -- $29.51) operates as a medical technology company that focuses on delivering medical device solutions to improve patients' quality of life in North America, Europe, the Middle East, Africa, the Asia Pacific, and Latin America. Avanos Medical will report its Q4 earnings of 2021 before the open today.

Bausch Health Companies Inc. (NYSE:BHS -- $23.61) develops, manufactures, and markets a range of pharmaceutical, medical device, and over-the-counter (OTC) products primarily in the therapeutic areas of eye health, gastroenterology, and dermatology. Bausch Health will report its Q4 earnings of 2021 before the open today.

The Brinks Co. (NYSE:BCO -- $68.57) provides secure transportation, cash management, and other security-related services in North America, Latin America, Europe, and internationally. Brinks will report its Q4 earnings of 2021 before the open today.

Dana Inc. (NYSE:DAN -- $21.53) provides power-conveyance and energy-management solutions for vehicles and machinery in North America, Europe, South America, and the Asia Pacific. Dana will report its Q4 earnings of 2021 before the open today.

Entergy Corp. (NYSE:ETR -- $104.51) engages in the production and distribution of electricity in the United States. Entergy will report its Q4 earnings of 2021 before the open today.

Fresh Del Monte Produce Inc. (NYSE:FDP -- $28.16) produces, markets, and distributes fresh and fresh-cut fruits and vegetables in North America, Europe, the Middle East, Africa, Asia, and internationally. Fresh Del Monte will report its Q4 earnings of 2021 before the open today.

Gibraltar Industries Inc. (NASDAQ:ROCK -- $49.01) manufactures and distributes building products for the renewable energy, conservation, residential, and infrastructure markets in North America and Asia. Gibraltar Industries will report its Q4 earnings of 2021 before the open today.

Gildan Activewear Inc. (NYSE:GIL -- $38.39) manufactures and sells various apparel products in the United States, Canada, and internationally. Gildan Activewear will report its Q4 earnings of 2021 before the open today.

HollyFrontier Corp. (NYSE:HFC -- $34.44) operates as an independent petroleum refiner in the United States. HollyFrontier will report its Q4 earnings of 2021 before the open today.

Integra LifeSciences Holdings Corp. (NASDAQ:IART -- $65.38) develops, manufactures, and markets surgical implants and medical instruments for use in neurosurgery, extremity reconstruction, orthopedics, and general surgery. Integra will report its Q4 earnings of 2021 before the open today.

Jack In The Box Inc. (NASDAQ:JACK -- $88.73) operates and franchises Jack in the Box quick-service restaurants. Jack In The Box will report its Q4 earnings of 2021 before the open today.

Koppers Holdings Inc. (NYSE:KOP -- $27.45) provides treated wood products, wood treatment chemicals, and carbon compounds in the United States, Australasia, Europe, and internationally. Koppers Holdings will report its Q4 earnings of 2021 before the open today.

Lowe's Companies Inc. (NYSE:LOW -- $214.59) operates as a home improvement retailer in the United States and internationally. Lowe's will report its Q4 earnings of 2021 before the open today.

Monday.com Ltd. (NYSE:MNDY -- $177.51) develops software applications in the United States, Europe, the Middle East, Africa, and internationally. Monday.com will report its Q4 earnings of 2021 before the open today.

NeoGenomics Inc. (NASDAQ:NEO -- $18.72) operates a network of cancer-focused testing laboratories in the United States, Europe, and Asia. NeoGenomics will report its Q4 earnings of 2021 before the open today.

Overstock.com Inc. (NASDAQ:OSTK -- $36.45) operates as an online retailer in the United States. Overstock.com will report its Q4 earnings of 2021 before the open today.

Owens & Minor Inc. (NYSE:OMI -- $36.48) operates as a healthcare solutions company in the United States and internationally. Owens & Minor will report its Q4 earnings of 2021 before the open today.

Parsons Corp. (NYSE:PSN -- $33.10) provides technology based solutions in the defense, intelligence, and critical infrastructure markets in North America, the Middle East, and internationally. Parsons will report its Q4 earnings of 2021 before the open today.

Photronics Inc. (NASDAQ:PLAB -- $18.57) operates as a company that does things. Photronics will report its Q4 earnings of 2021 before the open today.

Riskified Ltd. (NYSE:RSKD -- $6.65) operates an e-commerce risk management platform that allows online merchants to create trusted relationships with their consumers in the United States, Europe, the Middle East, Africa, and internationally. Riskified will report its Q4 earnings of 2021 before the open today.

Sapiens International Corp. N.V. (NASDAQ:SPNS -- $28.68) provides software solutions for the insurance and financial services industries in North America, Europe, the Asia Pacific, and South Africa. Sapiens International will report its Q4 earnings of 2021 before the open today.

Sinclair Broadcast Group Inc. (NASDAQ:SBGI -- $26.88) operates as a diversified television media company in the United States. Sinclair Broadcast will report its Q4 earnings of 2021 before the open today.

Stratasys Ltd. (NASDAQ:SSYS -- $24.67) provides connected and polymer-based 3D printing solutions. Stratasys will report its Q4 earnings of 2021 before the open today.

The TJX Companies Inc. (NYSE:TJX -- $65.25) operates as an off-price apparel and home fashions retailer. TJX will report its Q4 earnings of 2021 before the open today.

Travel + Leisure Co. (NYSE:TNL -- $58.59) provides hospitality services and products in the United States and internationally. Travel + Leisure will report its Q4 earnings of 2021 before the open today.

Tupperware Brands Corp. (NYSE:TUP -- $16.50) operates as a consumer products company worldwide. Tupperware will report its Q4 earnings of 2021 before the open today.

Vertiv Holdings Co. (NYSE:VRT -- $19.57) designs, manufactures, and services critical digital infrastructure technologies and life cycle services for data centers, communication networks, and commercial and industrial environments in the Americas, the Asia Pacific, Europe, the Middle East, and Africa. Vertiv will report its Q4 earnings of 2021 before the open today.

Vipshop Holdings Ltd. (NYSE:VIPS -- $9.84) operates as an online discount retailer for various brands in the People's Republic of China. Vipshop will report its Q4 earnings of 2021 before the open today.

Wolverine World Wide Inc. (NYSE:WWW -- $25.19) designs, manufactures, sources, markets, licenses, and distributes footwear, apparel, and accessories in the United States, Europe, the Middle East, Africa, the Asia Pacific, Canada and Latin America. Wolverine will report its Q4 earnings of 2021 before the open today.

1Life Healthcare Inc. (NASDAQ:ONEM -- $9.51) operates a membership-based primary care platform under the One Medical brand. 1Life Healthcare will report its Q4 earnings of 2021 after the close today.

Allbirds Inc. (NASDAQ:BIRD -- $8.57) manufactures and sells footwear and apparel products for men and women. Allbirds will report its Q4 earnings of 2021 after the close today.

Amedisys Inc. (NASDAQ:AMED -- $139.86) provides healthcare services in the United States. Amedisys will report its Q4 earnings of 2021 after the close today.

Arcosa Inc. (NYSE:ACA -- $46.70) provides infrastructure-related products and solutions for the construction, energy, and transportation markets in North America. Arcosa will report its Q4 earnings of 2021 after the close today.

Bandwidth Inc. (NASDAQ:BAND -- $50.73) operates as a cloud-based software-powered communications platform-as-a-service (CPaaS) provider in the United States. Bandwidth will report its Q4 earnings of 2021 after the close today.

BioMarin Pharmaceutical Inc. (NASDAQ:BMRN -- $85.37) develops and commercializes therapies for people with serious and life-threatening rare diseases and medical conditions. BioMarin Pharmaceutical will report its Q4 earnings of 2021 after the close today.

Churchill Downs Inc. (NASDAQ:CHDN -- $214.51) operates as a racing, online wagering, and gaming entertainment company in the United States. Churchill Downs will report its Q4 earnings of 2021 after the close today.

Cross Country Healthcare Inc. (NASDAQ:CCRN -- $20.94) provides talent management and other consultative services for healthcare clients in the United States. Cross Country will report its Q4 earnings of 2021 after the close today.

Curtiss-Wright Corp. (NYSE:CW -- $135.71) designs, manufactures, and overhauls precision components, and engineered products and services primarily to the aerospace, defense, general industrial, and power generation markets worldwide. Curtiss-Wright will report its Q4 earnings of 2021 after the close today.

Datto Holding Corp. (NYSE:MSP -- $25.17) provides cloud-based software and technology solutions for delivery through the managed service provider (MSP) channel to small and medium businesses in the United States and internationally. Datto Holding will report its Q4 earnings of 2021 after the close today.

Encore Capital Group Inc. (NASDAQ:ECPG -- $71.17) provides debt recovery solutions and other related services for consumers across a range of financial assets worldwide. Encore Capital will report its Q4 earnings of 2021 after the close today.

Fidelity National Information Services Inc. (NYSE:FIS -- $95.41) provides technology solutions for merchants, banks, and capital markets firms worldwide. Fidelity National will report its Q4 earnings of 2021 after the close today.

Five9 Inc. (NASDAQ:FIVN -- $114.35) provides cloud software for contact centers in the United States and internationally. Five9 will report its Q4 earnings of 2021 after the close today.

Flowserve Corp. (NYSE:FLS -- $32.21) designs, develops, manufactures, distributes, and services industrial flow management equipment in the United States, Canada, Mexico, the Middle East, Africa, the Asia Pacific, and Europe. Flowserve will report its Q4 earnings of 2021 after the close today.

fuboTV Inc. (NYSE:FUBO -- $8.01) operates a live TV streaming platform for live sports events, news, and entertainment content in the United States and Europe. fuboTV will report its Q4 earnings of 2021 after the close today.

Goosehead Insurance Inc. (NASDAQ:GSHD -- $85.54) operates as a holding company for Goosehead Financial, LLC that provides personal lines insurance agency services in the United States. Goosehead Insurance will report its Q4 earnings of 2021 after the close today.

Guardant Health Inc. (NASDAQ:GH -- $61.91) provides blood tests, data sets, and analytics in the United States and internationally. Guardant Health will report its Q4 earnings of 2021 after the close today.

Hertz Global Holdings Inc. (NASDAQ:HTZ -- $17.96) operates as a vehicle rental company. Hertz Global will report its Q4 earnings of 2021 after the close today.

Hudbay Minerals Inc. (NYSE:HBM -- $7.80) focuses on the discovery, production, and marketing of base and precious metals in North and South America. Hudbay Minerals will report its Q4 earnings of 2021 after the close today.

IMAX Corp. (NYSE:IMAX -- $19.76) operates as an entertainment technology company worldwide. IMAX will report its Q4 earnings of 2021 after the close today.

Inari Medical Inc. (NASDAQ:NARI -- $77.26) focuses on developing products to treat and transform the lives of patients suffering from venous diseases in the United States. Inari will report its Q4 earnings of 2021 after the close today.

Ingevity Corp. (NYSE:NGVT -- $65.51) manufactures and sells specialty chemicals and activated carbon materials in North America, the Asia-Pacific, Europe, the Middle East, Africa, and South America. Ingevity will report its Q4 earnings of 2021 after the close today.

Insulet Corp. (NASDAQ:PODD -- $234.54) develops, manufactures, and sells insulin delivery systems for people with insulin-dependent diabetes. Insulet will report its Q4 earnings of 2021 after the close today.

iRhythm Technologies Inc. (NASDAQ:IRTC -- $111.39) provides ambulatory electrocardiogram (ECG) monitoring products for patients at risk for arrhythmias in the United States. iRhythm will report its Q4 earnings of 2021 after the close today.

Kennedy-Wilson Holdings Inc. (NYSE:KW -- $22.88) operates as a real estate investment company. Kennedy-Wilson will report its Q4 earnings of 2021 after the close today.

Live Nation Entertainment Inc. (NYSE:LYV -- $117.05) operates as a live entertainment company. Live Nation will report its Q4 earnings of 2021 after the close today.

ManTech International Corp. (NASDAQ:MANT -- $78.57) provides technology solutions and services for U.S. defense, intelligence community, and federal civilian agencies worldwide. ManTech will report its Q4 earnings of 2021 after the close today.

Medifast Inc. (NYSE:MED -- $182.86) manufactures and distributes weight loss, weight management, healthy living products, and other consumable health and nutritional products in the United States and the Asia-Pacific. Medifast will report its Q4 earnings of 2021 after the close today.

NetApp Inc. (NASDAQ:NTAP -- $86.12) provides software, systems, and cloud services to manage and share data on-premises, and private and public clouds worldwide. NetApp will report its Q4 earnings of 2021 after the close today.

Nevro Corp. (NYSE:NVRO -- $65.22) provides products for patients suffering from chronic pain in the United States and internationally. Nevro will report its Q4 earnings of 2021 after the close today.

Noodles & Company (NASDAQ:NDLS -- $8.65) develops and operates fast-casual restaurants. Noodles & Company will report its Q4 earnings of 2021 after the close today.

OraSure Technologies Inc. (NASDAQ:OSUR -- $7.86) develops, manufactures, markets, and sells oral fluid diagnostic products and specimen collection devices in the United States, Europe, and internationally. OraSure will report its Q4 earnings of 2021 after the close today.

Owl Rock Capital Corp. (NYSE:ORCC -- $14.64) is a business development company. Owl Rock Capital will report its Q4 earnings of 2021 after the close today.

Pan American Silver Corp. (NASDAQ:PAAS -- $23.49) engages in the exploration, development, extraction, processing, refining, and reclamation of silver, gold, zinc, lead, and copper mines in Canada, Mexico, Peru, Argentina, and Bolivia. Pan American Silver will report its Q4 earnings of 2021 after the close today.

Rent-A-Center Inc. (NASDAQ:RCII -- $37.71) leases household durable goods to customers on a lease-to-own basis. Rent-A-Center will report its Q4 earnings of 2021 after the close today.

Root Inc. (NASDAQ:ROOT -- $1.54) provides insurance products and services in the United States. Root will report its Q4 earnings of 2021 after the close today.

Skillz Inc. (NYSE:SKLZ -- $3.61) operates as a technology company that enables game developers to monetize their content through fun and fair multi-player competition. Skillz will report its Q4 earnings of 2021 after the close today.

Sturm, Ruger & Co. Inc. (NYSE:RGR -- $64.34) designs, manufactures, and sells firearms under the Ruger name and trademark in the United States. Sturm, Ruger & Co. will report its Q4 earnings of 2021 after the close today.

Summit Materials Inc. (NYSE:SUM -- $34.71) produces and sells construction materials and related downstream products for the public infrastructure, residential and nonresidential, and other end markets. Summit Materials will report its Q4 earnings of 2021 after the close today.

The Aaron's Company Inc. (NYSE:AAN -- $20.62) provides lease-to-own and purchase solutions. The Aaron's Company will report its Q4 earnings of 2021 after the close today.

The RealReal Inc. (NASDAQ:REAL -- $7.98) operates an online marketplace for consigned luxury goods. The RealReal will report its Q4 earnings of 2021 after the close today.

Universal Display Corp. (NASDAQ:OLED -- $135.90) engages in the research, development, and commercialization of organic light emitting diode (OLED) technologies and materials for use in display and solid-state lighting applications. Universal Display will report its Q4 earnings of 2021 after the close today.

VICI Properties Inc. (NYSE:VICI -- $27.31) is an experiential real estate investment trust that owns one of the largest portfolios of market-leading gaming, hospitality and entertainment destinations, including the world-renowned Caesars Palace. VICI Properties will report its Q4 earnings of 2021 after the close today.

Western Midstream Partners LP (NYSE:WES -- $24.91), together with its subsidiaries, acquire, own, develop, and operate midstream assets primarily in the United States. Western Midstream will report its Q4 earnings of 2021 after the close today.

Looking ahead to tomorrow, things gets busy again on Thursday, however, when initial and continuing jobless claims, details on fourth-quarter gross domestic income, gross domestic product (GDP) revision, and new home sales for January are due out. 

All economic dates listed here are tentative and subject to change.

T-Mobile US Inc (NASDAQ:TMUS) announced on Feb. 16 that the brand has expanded access to its 5G Home Internet service in 62 cities and towns across Indiana, Kentucky, and Ohio where more than 3 million people still have limited or no access to home broadband. With this upgrade, T-Mobile Home Internet will now be an option for nearly 5 million homes in the area.

TMUS started the month off with a bang, staging a 10% bull gap and toppling several major moving averages including the 80-day, which rejected a mid-December rally. The stock has had a hard time getting past the $129 level, however, leaving it down 13.3% in the last six months. Today, TMUS is down 0.3% at $123.60. 

When we last checked in with the equity back in early January, sentiment was overwhelmingly bullish. These bulls still reign, at least in the options pits, where TMUS sports a 10-day call/put volume ratio of 4.98 at the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), which stands higher than 88% of readings from the past year. This means long calls have rarely been more popular during the last two weeks. 

Analysts also remain bullish, with all but one of the 14 in coverage holding a "buy" or better rating on the stock. Plus the 12-month consensus price target of $167.25 is a 35.1% premium to current levels. 

A look at the company's financials shows that the the wireless company’s revenues have increased 17% since fiscal 2020 and 85% since fiscal 2018. T-Mobile's net income is also up 4.7% since fiscal 2018. However, TMUS has experienced a notable 13% decline in net income over the past two years. Nonetheless, the firm is expected to grow its earnings by 132% and its revenues by 2.9% for fiscal 2023.

Still, T-Mobile stock does not have the greatest fundamentals. At a forward price-earnings ratio of 43.48 and a price-sales ratio of 1.94, T-Mobile stock trades very rich in value. TMUS also has an awful balance sheet with $6.63 billion in cash and $108.82 billion in total debt, overall making T-Mobile stock a high-risk investment both in the long-term and the short-term.

SoFi Technologies Inc (NASDAQ:SOFI) is falling today, after news that the personal finance company will acquire digital banking platform Technisys for $1.1 billion. The deal, which is expected to close by the end of the second quarter, will benefit consumers as the company looks to create a "one-stop-shop" experience. At last check, SOFI is down 5.4% at $10.78. 

If these losses hold, SoFi Technologies stock will log its lowest close in more than one year. SOFI has been struggling to break above pressure at the $13 level, while its 40-day moving average has helped keep a cap on gains for most of the month. Year-to-date, the stock is down 30.3%. 

Shorts have been building their positions, with short interest up 50.8% during the two most recent reporting periods. Now, the 95.41 million shares sold short account for 15.9% of the stock's available float. 

Meanwhile, in the past 10 days, 3.09 calls have been picked up for every put at the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX). That bullish sentiment is continuing today, with 71,000 calls across the tape so far, compared to 27,000 puts. The weekly 2/25 12-strike call is the most popular. 

Halozyme Therapeutics Inc (NASDAQ:HALO) is gearing up for its fourth-quarter earnings report, due out after the close today, in which the company is expected to post profits of 41 cents per share. HALO is bucking the broader-market selloff ahead of the event, up 0.9% to trade at $33.01 at last check. 

The options pits are anticipating a near-term straddle indication post-earnings swing of 11.4%, which is much higher than the average 5% move the stock has made after earnings over the past two years, regardless of direction. A closer look shows that in those last eight reports, HALO had a positive post-earnings reaction after 50%, three of which occurred in 2021.

The stock's typically quiet options pits are seeing triple their usual call volume today.  Most of this activity can be attributed to the March 36 call, while new positions are being opened at the June 39 call. 

It's worth noting that while short interest has begun to fall off, it still represents 4.6% of the stock's available float. In other words, it would take over six days to buy back these bearish bets, at Halozyme stock's average pace of daily trading. 

On the charts, HALO has experienced a volatile last few months, though the $32 level has provided a consistent floor for pullbacks. Year-to-date, the equity is down 17.9%. 

Bath & Body Works Inc (NYSE:BBWI) is down 0.4% to trade at $52.06 at last check, ahead of its fourth-quarter earnings call, which is due out after the close tomorrow, Feb. 23. Below, we will explore the stock's technical setup, as well as some of its previous post-earnings activity.

Digging deeper, the equity has pulled back dramatically from its Nov. 18, all-time high of $82. Shares have been testing a familiar floor at the $52 level over the last few sessions, while the 40-day moving average has been pressuring BBWI lower since mid-December. Year-over-year, Bath & Body Works stock maintains a 27.1% year-over-year lead, but is 25.3% lower in 2022.

The security's last two post-earnings reactions have been positive. In fact, BBWI settled each next-day session higher, including a 10.5% pop back in August. Options traders are pricing in a 7.8% swing for the equity this time around, which is considerably smaller than the 13.4% move it averaged following its last eight reports, regardless of direction.

Analysts are fiercely optimistic towards Bath & Body Works stock, with 16 of the 18 in question calling it a "buy" or better, while the remaining two gave it a tepid "hold" rating. Plus, the 12-month consensus target price of $87.89 is significant a 68.5% premium to current levels.

From a fundamental point of view, Bath & Body Works has struggled to maintain growth in recent years, experiencing an 11% decline in revenues between 2019 and 2021, and more than a $1 billion decrease in net income for 2019, with $300 million in net losses that year.

Still, the specialty retailer has increased annual revenues and net income 9.6% and 89%, respectively, in the last 12 months. Plus, the company is expected to see a 7.8% jump in earnings, and a 5.5% increase in revenues next year.

BBWI offers an intriguing valuation as well. Bath & Body Works stock trades at a forward price-earnings ratio of 10.83, and a price-sales ratio of 1.12. The company also provides a forward dividend of $0.80, with a dividend yield of 1.53%, making it a solid option for long-term investors.