Victoria's Secret Expects 5.7% Revenue Growth After 9.2% Q3 Beat
Victoria's Secret recorded $1.47 billion in quarterly revenue, a 9.2% gain year-over-year, topping analyst estimates while beating EPS and gross margin forecasts. Analysts expect 5.7% revenue growth for the upcoming quarter versus 1.1% last year, and the stock has climbed 7.4% over the past month against a 3.6% drop for peers, with a $65.44 average price target.
1. Last Quarter Results
Victoria's Secret delivered $1.47 billion in revenue last quarter, up 9.2% year-over-year. The company also beat analysts’ EPS estimates and reported stronger-than-expected gross margins, marking an exceptional quarter for the retailer.
2. Upcoming Quarter Expectations
For the upcoming quarter, analysts forecast 5.7% year-over-year revenue growth, a significant acceleration from the 1.1% increase in the same period last year. Coverage over the past month has remained steady, indicating confidence in the retailer’s continued momentum.
3. Peer Comparison
Urban Outfitters reported 10.1% year-over-year revenue growth and Boot Barn logged a 16% increase, with both names meeting or exceeding expectations. While peers’ shares fell an average of 3.6% over the past month, Urban Outfitters and Boot Barn stocks moved higher following their results.
4. Stock Performance & Analyst Targets
Victoria's Secret shares have risen 7.4% over the past month, outperforming its retail segment. Analysts’ average price target sits at $65.44, compared with the current share price of $61.90, signaling upside potential ahead of earnings.