Surging Earnings Estimates Signal Upside for Victoria's Secret (VSCO) Stock

Core Viewpoint - Victoria's Secret (VSCO) shows a promising earnings outlook, with analysts raising their earnings estimates, indicating potential for continued stock momentum [1][2]. Estimate Revisions - The trend in estimate revisions reflects growing analyst optimism regarding Victoria's Secret's earnings prospects, which is expected to positively influence its stock price [2]. - For the current quarter, the earnings estimate is $2.42 per share, a decrease of 6.9% year-over-year, but the Zacks Consensus Estimate has increased by 9.61% over the last 30 days due to two upward revisions [6]. - For the full year, the expected earnings are $2.53 per share, representing a year-over-year decline of 6.0%, yet the consensus estimate has risen by 28.66% as four estimates have been revised upward without any negative revisions [7][8]. Zacks Rank - Victoria's Secret currently holds a Zacks Rank 1 (Strong Buy), indicating strong potential for outperformance based on favorable estimate revisions [9]. - Historically, stocks with a Zacks Rank 1 have generated an average annual return of +25% since 2008, suggesting a robust track record of performance [3]. Stock Performance - The stock has gained 47% over the past four weeks, driven by solid estimate revisions, making it an attractive addition to investment portfolios [10].