Victoria's Secret & Co. has raised its fiscal 2026 net sales guidance to $7.03-$7.13 billion and adjusted operating income guidance to $550-$580 million after a strong first quarter, but the stock's 43.5% year-to-date rally means execution must stay on track. Comparable sales rose 13% in the first quarter, marking a fourth straight quarter of positive comps, and adjusted gross margin expanded 240 basis points to 37.6%. The stock trades at 15.62 times forward earnings, above its three-year median of 11.20 times, and management expects roughly $75 million in gross tariff costs for the year. VSXY carries a Zacks Rank #1 (Strong Buy) with a VGM Score of A, though its Momentum Score of C reflects the already sharp price move.
Victoria's Secret & Coraised fiscal 2026 net sales and adjusted operating income guidance after strong Q1
American Eagle Outfitters Inc
Abercrombie & Fitch Company