Goldman Sachs Boosts Victoria’s Secret Price Target to $53 After 9% Q3 Sales Gain
Goldman Sachs raised its Victoria’s Secret price target to $53 from $47 and maintained a Neutral rating after the retailer reported Q3 2025 net sales of $1.47 billion, up 9% year-over-year. Management also lifted full-year sales guidance to $6.45–6.48 billion and projected $350–375 million in operating income.
1. Price Target Increase
On January 29, Goldman Sachs raised Victoria’s Secret & Co.’s price target to $53 from $47 while maintaining its Neutral rating, reflecting confidence in the retailer’s recent performance trends.
2. Third-Quarter Sales and Profitability
In Q3 2025, Victoria’s Secret reported net sales of $1.47 billion, a 9% year-over-year increase, with adjusted gross margin expanding by 170 basis points and earnings rising 45% on operational leverage.
3. International and Brand Growth
International retail sales climbed over 30% for the third consecutive quarter, driven largely by strong growth in China, while the PINK brand delivered double-digit sales gains through successful collaborations and increased apparel penetration.
4. Full-Year Guidance Revision
Management raised its full-year net sales outlook to $6.45 billion–$6.48 billion and projected adjusted operating income between $350 million and $375 million, signaling upward momentum in earnings power.