Victoria’s Secret & Co. (NYSE:VSXY) Shares Gap Down – Here’s Why

Victoria’s Secret & Co. (NYSE:VSXY)’s share price gapped down prior to trading on Thursday . The stock had previously closed at $84.81, but opened at $76.86. Victoria’s Secret & Co. shares last traded at $73.31, with a volume of 2,202,871 shares trading hands.

Key Stories Impacting Victoria’s Secret & Co.

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

• Positive Sentiment: Adjusted earnings significantly exceeded estimates. Victoria’s Secret reported adjusted earnings of $0.95 per share, up from $0.33 a year earlier and above consensus estimates ranging from $0.76 to $0.78. Victoria’s Secret Q2 Earnings Surpass Estimates
• Positive Sentiment: Sales increased year over year and management raised its fiscal 2026 sales outlook. Quarterly revenue rose 10.4% to approximately $1.61 billion, while net income also increased. The improved sales forecast provides a positive signal regarding demand and the company’s turnaround efforts. Victoria’s Secret Net Income Rises and Lifts Sales Outlook
• Positive Sentiment: An analyst became more bullish. Telsey Advisory Group raised its price target from $90 to $100 and maintained an “outperform” rating, suggesting confidence in the company’s earnings potential. Benzinga analyst coverage
• Neutral Sentiment: The earnings beat was accompanied by a net margin of 3.11% and return on equity of 38.03%, highlighting solid profitability but also the relatively thin margin profile of the business. Victoria’s Secret Second Quarter 2026 Results
• Negative Sentiment: Revenue missed expectations. Sales of $1.61 billion were below analysts’ approximately $1.62 billion forecast. Investors appear to be prioritizing the modest top-line shortfall and the need for sustained sales momentum, which helps explain the negative stock reaction despite the strong EPS beat. Victoria’s Secret Q2 Key Metrics Versus Estimates

Wall Street Analyst Weigh In

A number of equities analysts have issued reports on VSXY shares. UBS Group increased their price target on Victoria’s Secret & Co. from $90.00 to $95.00 and gave the stock a “neutral” rating in a research report on Tuesday, August 18th. Jefferies Financial Group cut Victoria’s Secret & Co. from a “buy” rating to a “hold” rating and boosted their price objective for the company from $65.00 to $73.00 in a research report on Wednesday, June 3rd. Wells Fargo & Company upped their target price on Victoria’s Secret & Co. from $57.00 to $90.00 and gave the stock an “overweight” rating in a research note on Wednesday, June 3rd. TD Cowen increased their target price on Victoria’s Secret & Co. from $75.00 to $80.00 and gave the company a “hold” rating in a research report on Tuesday, August 18th. Finally, Barclays lifted their price target on shares of Victoria’s Secret & Co. from $67.00 to $108.00 and gave the company an “overweight” rating in a research note on Wednesday, June 3rd. One investment analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating and six have assigned a Hold rating to the company. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average price target of $90.70.

Victoria’s Secret & Co. Price Performance

The stock has a 50 day simple moving average of $85.87 and a two-hundred day simple moving average of $66.58. The company has a market cap of $6.00 billion, a price-to-earnings ratio of 40.59, a price-to-earnings-growth ratio of 0.57 and a beta of 2.05. The company has a debt-to-equity ratio of 1.17, a current ratio of 1.26 and a quick ratio of 0.41.

Victoria’s Secret & Co. (NYSE:VSXY) last issued its earnings results on Thursday, September 3rd. The company reported $0.95 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.76 by $0.19. Victoria’s Secret & Co. had a return on equity of 38.03% and a net margin of 3.11%.The company had revenue of $1.61 billion during the quarter, compared to analysts’ expectations of $1.62 billion. Victoria’s Secret & Co.’s revenue was up 10.4% on a year-over-year basis. On average, equities research analysts predict that Victoria’s Secret & Co. will post 4.71 earnings per share for the current fiscal year.

Insider Activity

In related news, major shareholder International Pte Ltd Bbrc sold 798,920 shares of the company’s stock in a transaction dated Tuesday, July 28th. The shares were sold at an average price of $89.15, for a total value of $71,223,718.00. Following the completion of the sale, the insider owned 7,810,631 shares of the company’s stock, valued at approximately $696,317,753.65. This represents a 9.28% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this link. Insiders have sold a total of 1,364,570 shares of company stock valued at $121,396,640 over the last ninety days. Corporate insiders own 0.52% of the company’s stock.

Hedge Funds Weigh In On Victoria’s Secret & Co.

Several institutional investors and hedge funds have recently bought and sold shares of the company. Geode Capital Management LLC increased its holdings in shares of Victoria’s Secret & Co. by 2.8% during the 4th quarter. Geode Capital Management LLC now owns 1,760,139 shares of the company’s stock worth $95,365,000 after buying an additional 47,462 shares during the last quarter. Sequoia Financial Advisors LLC lifted its holdings in Victoria’s Secret & Co. by 212.4% in the first quarter. Sequoia Financial Advisors LLC now owns 18,754 shares of the company’s stock valued at $869,000 after acquiring an additional 12,750 shares during the last quarter. Landscape Capital Management L.L.C. lifted its holdings in Victoria’s Secret & Co. by 47.5% in the fourth quarter. Landscape Capital Management L.L.C. now owns 177,423 shares of the company’s stock valued at $9,611,000 after acquiring an additional 57,133 shares during the last quarter. California State Teachers Retirement System grew its position in Victoria’s Secret & Co. by 23.5% in the first quarter. California State Teachers Retirement System now owns 84,333 shares of the company’s stock worth $3,910,000 after acquiring an additional 16,044 shares during the period. Finally, Apollon Wealth Management LLC purchased a new position in Victoria’s Secret & Co. in the first quarter worth approximately $940,000. 90.29% of the stock is currently owned by institutional investors and hedge funds.

Victoria’s Secret & Co. Company Profile

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.