Victoria's Secret Has Repositioned Brands to Support Sustained Comparable Sales Growth, UBS Says

02:58 PM EDT, 09/04/2026 (MT Newswires) -- Victoria's Secret (VSXY) has repositioned its brands to support sustained comparable sales growth after several years of declines, UBS said in a Friday research note. Projecting a four-year compound annual growth rate of 11%, UBS said that stronger sales growth, promotional discipline and fixed cost leverage will drive a multi-year EPS recovery. The company raised its full-year revenue guidance by $60 million and EBIT outlook by $10 million at the midpoint, indicating limited flow-through to incremental marketing and brand-building investments, according to the note. These factors will continue in fiscal 2027, slowing the company's path toward double-digit EBIT margins but supporting sustainable topline growth, UBS said. UBS lowered its price target on Victoria's Secret to $87 from $95 and maintained its neutral rating. Price: 73.89, Change: +0.25, Percent Change: +0.33