Victoria's Secret Analysts Note 'Sluggish Start' To 2024, Stock Nosedives After Q4 Report
Portfolio Pulse from Priya Nigam
Victoria's Secret & Co (NYSE:VSCO) shares plummeted over 30% to $17.91 following a disappointing Q4 revenue report. Analysts from BMO Capital Markets, Telsey Advisory, and Morgan Stanley provided insights, noting a sluggish start to 2024, with expectations of a mid-single digit sales decline in Q1. Despite this, the company reported a slight year-on-year growth in Q4 sales and an earnings beat, driven by gross margin expansion.

March 07, 2024 | 4:59 pm
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Victoria's Secret shares dropped significantly due to disappointing Q4 revenues and cautious 2024 guidance, despite a slight year-on-year growth and an earnings beat.
The significant drop in VSCO's stock price is directly tied to the disappointing Q4 revenue report and cautious guidance for 2024. Analysts' adjustments to price targets and ratings reflect concerns over the company's short-term performance, likely influencing investor sentiment and stock price.
CONFIDENCE 90
IMPORTANCE 90
RELEVANCE 100