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Victoria’s Secret (VSXY) stock is heading toward its best week ever as investors rewarded the lingerie retailer for a strong fiscal first-quarter (Q1) earnings beat, a renewed brand strategy, and an upgraded financial outlook.
The rally arrived alongside the company’s transition to its new ticker symbol, VSXY, replacing VSCO.
Victoria’s Secret CEO Hillary Super said its efforts to sharpen brand identity and reduce reliance on discounts are producing measurable results, helping the retailer attract new customers, expand market share, and deliver another quarter of sales growth.
The company recorded its fourth consecutive quarter of comparable-sales growth, with a 13% gain from last year. Overall revenue increased 15% to $1.56 billion with earnings of $$0.60 per share.
Both revenue and EPS exceeded analysts’ consensus estimates of $1.52 billion and $0.32 per share, respectively, according to Fiscal AI data.
“We saw the strongest growth from customers and households earning under $50,000 annually and over $200,000, underscoring the broad resonance of our brands across the consumer landscape,” said Super during the Q1 earnings call.
She said attracting new customers remained a key strength during the quarter, with the number of new shoppers growing at a strong pace. The company also continued to gain market share in the intimates category, especially among consumers aged 18 to 24.
“We are reducing promotions and markdowns and replacing promotional offers with compelling emotional messaging. The result is a healthier, more brand-led business. The customer is responding,” said Super.
Encouraged by the Q1 results, management increased 2026 forecasts. The company now expects annual revenue between $7.03 billion and $7.13 billion, compared to the Street estimate of $6.9 billion.
Victoria’s Secret stock inched 0.05% overnight ahead of Wednesday. The stock notched its best day ever on Tuesday, with a rally of over 47%.
On Stocktwits, retail sentiment around the stock remained in ‘bullish’ territory.
A user said, “it shows they are war proof, tariff proof, recession proof, you name it!:-)”
Another user said, “Consumer sentiment at all time low. Which makes retail shares attractive.”
A third user quipped, “To be fair, earnings definitely helped. But there’s no way the new ticker didn’t add fuel to the madness.”
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