How Investors May Respond To Victoria's Secret (VSCO) Revamp After CEO Hillary Super's Fashion Show Debut

• The recent Victoria’s Secret Fashion Show, the first fully curated by CEO Hillary Super, was broadcast last week as a major test of her turnaround plan for the company.
• This event drew substantial attention as early signs suggest Super’s new direction is beginning to resonate with both audiences and the market.
• We’ll now explore how the fashion show’s positive reception under Hillary Super could influence Victoria’s Secret’s investment narrative.

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Victoria's Secret Investment Narrative Recap

To be a shareholder in Victoria’s Secret right now, you have to believe that the brand’s refreshed marketing, including high-profile events like the recent CEO-curated fashion show, can translate early cultural momentum into sustained growth with new and returning customers. While the fashion show has garnered positive attention and offers a PR boost, it is not viewed as materially moving the needle on the company’s most pressing short-term catalyst: reigniting comparable sales growth. The biggest immediate risk remains the impact of steep and rising import tariffs on company margins, which continues to weigh on near-term profitability.

Among the latest announcements, Victoria’s Secret’s raised full-year net sales guidance stands out as most relevant to this narrative. Uplifting guidance after the fashion show signals management’s expectation for stronger revenue ahead, tying into the company’s key catalyst, winning new customers and driving sustained revenue growth by rebranding its image and products. Whether this optimism can outpace the ongoing pressures from tariffs and shifting consumer trends is currently one of the central questions for investors.

But on the flip side, investors should be mindful of the ongoing headwinds looming over profits...

Read the full narrative on Victoria's Secret (it's free!)

Victoria's Secret's outlook anticipates $6.7 billion in revenue and $143.6 million in earnings by 2028. This reflects a 2.2% annual revenue growth but a $7.8 million decrease in earnings from current levels of $151.4 million.

Uncover how Victoria's Secret's forecasts yield a $25.40 fair value, a 16% downside to its current price.

Exploring Other Perspectives

Fair value opinions from the Simply Wall St Community range from US$20.79 to US$25.40 across 4 perspectives. While some see upside, the risk from higher tariffs and pressure on margins is a key factor you should weigh when comparing these views.

Explore 4 other fair value estimates on Victoria's Secret - why the stock might be worth 31% less than the current price!

Build Your Own Victoria's Secret Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Victoria's Secret research is our analysis highlighting 2 key rewards and 2 important warning signs that could impact your investment decision.
• Our free Victoria's Secret research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Victoria's Secret's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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