Victoria’s Secret & Co. (NYSE:VSCO) Shares Gap Down – Should You Sell?

Victoria’s Secret & Co. (NYSE:VSCO) gapped down prior to trading on Monday . The stock had previously closed at $65.90, but opened at $62.50. Victoria’s Secret & Co. shares last traded at $62.8890, with a volume of 491,361 shares traded.

Wall Street Analyst Weigh In

A number of brokerages have recently issued reports on VSCO. The Goldman Sachs Group lifted their target price on shares of Victoria’s Secret & Co. from $32.00 to $47.00 and gave the stock a “neutral” rating in a research report on Monday, December 8th. Wells Fargo & Company set a $45.00 price objective on shares of Victoria’s Secret & Co. and gave the stock an “equal weight” rating in a research report on Tuesday, December 16th. Guggenheim began coverage on shares of Victoria’s Secret & Co. in a research note on Tuesday, December 9th. They set a “neutral” rating on the stock. Telsey Advisory Group raised Victoria’s Secret & Co. from a “market perform” rating to an “outperform” rating and raised their target price for the stock from $50.00 to $66.00 in a research report on Wednesday, December 17th. Finally, Zacks Research raised Victoria’s Secret & Co. from a “hold” rating to a “strong-buy” rating in a research report on Monday, December 8th. One research analyst has rated the stock with a Strong Buy rating, seven have assigned a Buy rating, five have given a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average price target of $54.60.

Victoria’s Secret & Co. Trading Down 4.2%

The company has a debt-to-equity ratio of 1.96, a current ratio of 1.30 and a quick ratio of 0.38. The company has a market capitalization of $5.07 billion, a price-to-earnings ratio of 30.78, a price-to-earnings-growth ratio of 2.73 and a beta of 2.21. The business has a fifty day moving average price of $46.61 and a 200 day moving average price of $32.30.

Victoria’s Secret & Co. (NYSE:VSCO) last posted 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. Victoria’s Secret & Co. had a net margin of 2.67% and a return on equity of 33.47%. The firm had revenue of $1.47 billion for the quarter, compared to the consensus estimate of $1.41 billion. During the same quarter in the previous year, the company earned ($0.50) earnings per share. The business’s revenue was up 9.2% compared to the same quarter last year. 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. On average, equities analysts expect that Victoria’s Secret & Co. will post 2.37 EPS for the current fiscal year.

Institutional Investors Weigh In On Victoria’s Secret & Co.

A number of institutional investors and hedge funds have recently made changes to their positions in the company. Goldentree Asset Management LP increased its position in shares of Victoria’s Secret & Co. by 71.8% in the 2nd quarter. Goldentree Asset Management LP now owns 2,989,087 shares of the company’s stock valued at $55,242,000 after buying an additional 1,249,065 shares in the last quarter. Dimensional Fund Advisors LP increased its holdings in shares of Victoria’s Secret & Co. by 10.3% in the third quarter. Dimensional Fund Advisors LP now owns 2,549,501 shares of the company’s stock worth $69,187,000 after acquiring an additional 238,516 shares in the last quarter. Cramer Rosenthal Mcglynn LLC increased its holdings in shares of Victoria’s Secret & Co. by 32.0% in the third quarter. Cramer Rosenthal Mcglynn LLC now owns 2,363,850 shares of the company’s stock worth $64,155,000 after acquiring an additional 572,844 shares in the last quarter. Primecap Management Co. CA raised its position in shares of Victoria’s Secret & Co. by 1,586.7% during the second quarter. Primecap Management Co. CA now owns 1,972,333 shares of the company’s stock worth $36,528,000 after purchasing an additional 1,855,400 shares during the period. Finally, Bank of America Corp DE lifted its holdings in shares of Victoria’s Secret & Co. by 44.2% during the 2nd quarter. Bank of America Corp DE now owns 1,415,200 shares of the company’s stock valued at $26,210,000 after purchasing an additional 434,012 shares in the last quarter. Institutional investors 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.