Victoria’s Secret & Co. (NYSE:VSCO) Trading Down 8.7% – Should You Sell?

Shares of Victoria’s Secret & Co. (NYSE:VSCO) dropped 8.7% during mid-day trading on Monday . The stock traded as low as $58.76 and last traded at $58.7870. Approximately 867,394 shares changed hands during trading, a decline of 52% from the average daily volume of 1,801,136 shares. The stock had previously closed at $64.37.

Wall Street Analyst Weigh In

A number of research firms have commented on VSCO. The Goldman Sachs Group increased their price objective on shares of Victoria’s Secret & Co. from $47.00 to $53.00 and gave the company a “neutral” rating in a research note on Thursday, January 29th. JPMorgan Chase & Co. upgraded shares of Victoria’s Secret & Co. from a “neutral” rating to an “overweight” rating and upped their target price for the company from $34.00 to $60.00 in a research note on Friday, December 5th. UBS Group reiterated a “buy” rating on shares of Victoria’s Secret & Co. in a research note on Monday. Weiss Ratings raised Victoria’s Secret & Co. from a “sell (d+)” rating to a “hold (c-)” rating in a report on Friday, February 6th. Finally, Barclays restated an “overweight” rating on shares of Victoria’s Secret & Co. in a research note on Tuesday, January 6th. Seven equities research analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the company’s stock. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus target price of $55.20.

Victoria’s Secret & Co. Stock Performance

The company has a market capitalization of $4.88 billion, a price-to-earnings ratio of 29.68, a P/E/G ratio of 2.43 and a beta of 2.21. The stock has a 50 day simple moving average of $58.36 and a 200 day simple moving average of $40.77. The company has a quick ratio of 0.38, a current ratio of 1.30 and a debt-to-equity ratio of 1.96.

Victoria’s Secret & Co. (NYSE:VSCO) last announced its quarterly earnings results on Friday, December 5th. The company reported ($0.27) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.60) by $0.33. The business had revenue of $1.47 billion for the quarter, compared to analysts’ expectations of $1.41 billion. Victoria’s Secret & Co. had a return on equity of 33.47% and a net margin of 2.67%.The business’s quarterly revenue was up 9.2% on a year-over-year basis. During the same period in the prior year, the firm earned ($0.50) EPS. Victoria’s Secret & Co. has set its FY 2025 guidance at 2.400-2.650 EPS and its Q4 2025 guidance at 2.200-2.45 EPS. As a group, analysts anticipate that Victoria’s Secret & Co. will post 2.37 earnings per share for the current fiscal year.

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

Hedge funds and other institutional investors have recently modified their holdings of the company. Baird Financial Group Inc. bought a new stake in Victoria’s Secret & Co. in the 1st quarter valued at about $233,000. Royal Bank of Canada increased its stake in shares of Victoria’s Secret & Co. by 279.1% in the first quarter. Royal Bank of Canada now owns 47,839 shares of the company’s stock valued at $888,000 after purchasing an additional 35,220 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its holdings in shares of Victoria’s Secret & Co. by 2.9% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 62,949 shares of the company’s stock valued at $1,170,000 after buying an additional 1,797 shares during the last quarter. Caitong International Asset Management Co. Ltd bought a new stake in shares of Victoria’s Secret & Co. during the second quarter valued at approximately $35,000. Finally, AlphaQuest LLC boosted its position in shares of Victoria’s Secret & Co. by 41.3% during the second quarter. AlphaQuest LLC now owns 15,844 shares of the company’s stock worth $293,000 after buying an additional 4,631 shares during the period. Institutional investors and hedge funds own 90.29% of the company’s stock.

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.