📊 VSCO Key Takeaways
Is Victoria's Secret & Co. (VSCO) a Good Investment?
VSCO faces severe operational headwinds with net income declining 14.8% YoY despite 5.2% revenue growth, indicating significant margin compression in a capital-intensive retail environment. Weak quick ratio (0.54x) combined with moderate leverage (1.13x debt/equity) and anemic net margins (2.5%) limit financial flexibility and create vulnerability to market disruption.
Why Buy Victoria's Secret & Co. Stock? VSCO Key Strengths
- Revenue growth of 5.2% YoY demonstrates maintained market demand in competitive retail segment
- Free cash flow generation of $312M (4.8% FCF margin) provides some financial flexibility
- Gross margin of 36.4% is reasonable for women's apparel retail category
VSCO Stock Risks: Victoria's Secret & Co. Investment Risks
- Net income declined 14.8% YoY despite revenue growth indicating severe margin compression and cost control deterioration
- Quick ratio of 0.54x signals potential liquidity stress; well below healthy 1.0x threshold for retail
- Razor-thin net margin of 2.5% and operating margin of 4.1% leave minimal room for operational missteps or market disruption
- Debt-to-equity of 1.13x combined with weak profitability and liquidity creates refinancing risk
Key Metrics to Watch
- Operating margin trend - critical to assess if margin compression stabilizes or worsens
- Quick ratio and working capital - monitor liquidity stress indicators
- Free cash flow sustainability - evaluate if cash generation can support debt service amid profitability decline
Victoria's Secret & Co. (VSCO) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The relatively thin 4.8% FCF margin may limit capital allocation flexibility.
VSCO Profit Margin, ROE & Profitability Analysis
VSCO vs Consumer Sector: How Victoria's Secret & Co. Compares
How Victoria's Secret & Co. compares to Consumer sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Victoria's Secret & Co. Stock Overvalued? VSCO Valuation Analysis 2026
Based on fundamental analysis, Victoria's Secret & Co. has mixed fundamental signals relative to the Consumer sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Victoria's Secret & Co. Balance Sheet: VSCO Debt, Cash & Liquidity
VSCO Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Victoria's Secret & Co.'s revenue has declined by 13% over the 5-year period, indicating business contraction. The most recent EPS of $1.39 reflects profitable operations.
VSCO Revenue Growth, EPS Growth & YoY Performance
VSCO Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $1.3B | -$23.0M | $-0.28 |
| Q2 2025 | $1.4B | $14.0M | $0.18 |
| Q1 2025 | $1.4B | -$2.0M | $-0.02 |
| Q3 2024 | $1.3B | -$28.0M | $-0.36 |
| Q2 2024 | $1.4B | -$1.0M | $-0.01 |
| Q1 2024 | $1.4B | $1.0M | $0.01 |
| Q3 2023 | $1.3B | $24.0M | $0.29 |
| Q2 2023 | $1.4B | -$1.0M | $-0.01 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Victoria's Secret & Co. Dividends, Buybacks & Capital Allocation
VSCO SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Victoria's Secret & Co. (CIK: 0001856437)
📋 Recent SEC Filings
❓ Frequently Asked Questions about VSCO
What is the AI rating for VSCO?
Victoria's Secret & Co. (VSCO) has an AI rating of SELL with 65% confidence, based on fundamental analysis of SEC EDGAR filings.
What are VSCO's key strengths?
Claude: Revenue growth of 5.2% YoY demonstrates maintained market demand in competitive retail segment. Free cash flow generation of $312M (4.8% FCF margin) provides some financial flexibility.
What are the risks of investing in VSCO?
Claude: Net income declined 14.8% YoY despite revenue growth indicating severe margin compression and cost control deterioration. Quick ratio of 0.54x signals potential liquidity stress; well below healthy 1.0x threshold for retail.
What is VSCO's revenue and growth?
Victoria's Secret & Co. reported revenue of $6.6B.
Does VSCO pay dividends?
Victoria's Secret & Co. does not currently pay dividends.
Where can I find VSCO SEC filings?
Official SEC filings for Victoria's Secret & Co. (CIK: 0001856437) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is VSCO's EPS?
Victoria's Secret & Co. has a diluted EPS of $1.93.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is VSCO a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Victoria's Secret & Co. has a SELL rating with 65% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is VSCO stock overvalued or undervalued?
Valuation metrics for VSCO: ROE of 18.8% (sector avg: 18%), net margin of 2.5% (sector avg: 8%). Higher ROE suggests strong returns relative to peers.
Should I buy VSCO stock in 2026?
Our dual AI analysis gives Victoria's Secret & Co. a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is VSCO's free cash flow?
Victoria's Secret & Co.'s operating cash flow is $499.0M, with capital expenditures of $187.0M. FCF margin is 4.8%.
How does VSCO compare to other Consumer stocks?
Vs Consumer sector averages: Net margin 2.5% (avg: 8%), ROE 18.8% (avg: 18%), current ratio 1.25 (avg: 1.5).