Victoria’s Secret’s New Look: From Runway to Riches

Victoria's Secret & Co. executed a successful operational turnaround, beating Q1 earnings estimates with 15% YoY sales growth to $1.56B and adjusted EPS of 60 cents (87.5% above consensus). The company expanded gross margins to 37.6% through inventory controls and lower freight costs, achieving 13% comparable sales growth. A 26.7% short interest position triggered a 42% stock rally. Management raised FY2026 guidance and authorized $150M in share buybacks, signaling confidence in the brand's revival under CEO Hillary Super's strategic pivot.