Victoria’s Secret & Co. (NYSE:VSCO) Announces Quarterly Earnings Results, Beats Estimates By $0.31 EPS

Victoria’s Secret & Co. (NYSE:VSCO) posted its earnings results on Thursday. The company reported $2.77 EPS for the quarter, topping analysts’ consensus estimates of $2.46 by $0.31, FiscalAI reports. The company had revenue of $2.27 billion for the quarter, compared to the consensus estimate of $2.22 billion. Victoria’s Secret & Co. had a return on equity of 33.47% and a net margin of 2.67%.Victoria’s Secret & Co.’s quarterly revenue was up 7.8% compared to the same quarter last year. During the same period in the previous year, the business earned $2.60 earnings per share. Victoria’s Secret & Co. updated its Q1 2026 guidance to 0.200-0.300 EPS and its FY 2026 guidance to 3.200-3.450 EPS.

Here are the key takeaways from Victoria’s Secret & Co.’s conference call:

• Company beat top- and bottom-line guidance in FY25, reporting net sales of $6.553B (ex-gift card benefit), Q4 comp sales +8%, and adjusted EPS up 22% to $3, driven by higher traffic, AOV and reduced promotions.
• Management says the “Path to Potential” is gaining traction—bras returned to growth, PINK delivered its strongest year in a decade, beauty grew, and the customer file expanded, helped by the fashion show and more targeted product and marketing.
• The company recorded a non-cash pre-tax $120M impairment and ~$36M of inventory/reserve and restructuring charges tied to Adore Me, and initiated a strategic review of DailyLook, indicating portfolio cleanup and one-time hits excluded from adjusted results.
• Tariffs remain a material headwind—FY25 faced about $85M net pressure and FY26 assumes ~$160M gross/~$40M net incremental cost (heaviest in H1, ~175 bps in Q1); management expects to mitigate most via sourcing, logistics, pricing and promotion discipline.
• International is a major growth driver—Q4 international sales rose 43% (led by China and social commerce), and the company targets double-digit international growth in FY26 while expanding digital/social efforts and rolling out more “Store of the Future” locations.

Victoria’s Secret & Co. Trading Down 12.8%

Victoria’s Secret & Co. stock traded down $7.69 during trading on Thursday, reaching $52.32. The company had a trading volume of 3,907,714 shares, compared to its average volume of 1,882,865. Victoria’s Secret & Co. has a 12-month low of $13.76 and a 12-month high of $66.89. The company has a debt-to-equity ratio of 1.96, a quick ratio of 0.38 and a current ratio of 1.30. The stock’s 50 day moving average price is $59.56 and its two-hundred day moving average price is $42.89. The firm has a market capitalization of $4.20 billion, a price-to-earnings ratio of 25.52, a PEG ratio of 2.29 and a beta of 2.19.

Analysts Set New Price Targets

A number of research analysts have recently weighed in on VSCO shares. Barclays raised their price objective on shares of Victoria’s Secret & Co. from $65.00 to $80.00 and gave the stock an “overweight” rating in a research note on Monday. Jefferies Financial Group increased their target price on Victoria’s Secret & Co. from $57.00 to $65.00 and gave the company a “buy” rating in a report on Friday, December 19th. Zacks Research cut Victoria’s Secret & Co. from a “strong-buy” rating to a “hold” rating in a report on Friday, February 6th. JPMorgan Chase & Co. upgraded Victoria’s Secret & Co. from a “neutral” rating to an “overweight” rating and upped their price objective for the company from $34.00 to $60.00 in a research report on Friday, December 5th. Finally, Guggenheim initiated coverage on Victoria’s Secret & Co. in a research note on Tuesday, December 9th. They set a “neutral” rating on the stock. Seven investment analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus target price of $59.00.

Victoria’s Secret & Co. News Roundup

Here are the key news stories impacting Victoria’s Secret & Co. this week:

• Positive Sentiment: Q4 earnings and revenue beat consensus — VSCO reported $2.77 EPS and $2.27B revenue, both above analyst estimates, signaling stronger profitability and top‑line execution. Victoria’s Secret (VSCO) Q4 Earnings and Revenues Beat Estimates
• Positive Sentiment: Management raised guidance materially — FY2026 EPS was guided to $3.20–3.45 (vs. ~2.82 consensus) and revenue to ~$6.9–7.0B (vs. ~6.6B consensus); Q1 EPS guided to $0.20–0.30 (vs. ~0.09 consensus). This ups the company’s growth trajectory and investor expectations. Victoria’s Secret & Co. Reports 2025 Fourth Quarter and Full Year Results
• Positive Sentiment: Comparable‑sales momentum and brand turnaround — the company posted its best streak of comparable‑sales growth in four years as shoppers returned to the Pink brand; CEO Hillary Super emphasized the strategy is working. That supports sustained sales improvement. Victoria’s Secret posts longest sales growth streak in four years as shoppers return to Pink brand
• Positive Sentiment: Street momentum — at least one sell‑side note (Barclays coverage) is projecting strong upside for the stock, which can support further buying interest. Barclays Forecasts Strong Price Appreciation for Victoria’s Secret & Co. (NYSE:VSCO) Stock
• Neutral Sentiment: Company disclosures and presentation — the press release, slide deck and earnings materials provide more detail on margin drivers and channel performance; useful for modeling but not new directional news by themselves. View Press Release / Slide Deck
• Negative Sentiment: Execution bar and valuation risk — raised guidance lifts expectations (and the stock) but also increases the risk of disappointment if trends slow; the stock trades at elevated multiples and with a high beta, and the company has leverage on its balance sheet, which investors should monitor. (Background metrics: P/E ~27.5, PEG ~2.3, beta ~2.2, D/E ~1.96.)

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the company. DV Equities LLC purchased a new position in shares of Victoria’s Secret & Co. in the 4th quarter worth about $49,000. Quantbot Technologies LP acquired a new stake in Victoria’s Secret & Co. during the 3rd quarter worth approximately $53,000. Kestra Advisory Services LLC purchased a new position in Victoria’s Secret & Co. in the fourth quarter valued at approximately $78,000. Smartleaf Asset Management LLC lifted its position in Victoria’s Secret & Co. by 11.5% during the fourth quarter. Smartleaf Asset Management LLC now owns 1,935 shares of the company’s stock valued at $106,000 after buying an additional 199 shares in the last quarter. Finally, Lazard Asset Management LLC grew its stake in Victoria’s Secret & Co. by 7.7% during the second quarter. Lazard Asset Management LLC now owns 7,258 shares of the company’s stock worth $133,000 after buying an additional 521 shares during the period. Institutional investors and hedge funds own 90.29% of the company’s stock.

About Victoria’s Secret & Co.

Victoria’s Secret & Co is a leading designer, manufacturer and marketer of intimate apparel, beauty products and accessories for women. The company operates a portfolio of brands that includes Victoria’s Secret, renowned for its lingerie, bras and sleepwear; PINK, a line targeting younger consumers with activewear and lifestyle products; and Victoria’s Secret Beauty, offering fragrances, cosmetics and personal care items. Products are sold through retail stores as well as direct-to-consumer channels, including e-commerce platforms and mobile applications.

The origins of Victoria’s Secret date back to 1977, when founders Roy and Gaye Raymond opened the first store in San Francisco.