Victoria Sceret Total Revenue Declined 4.5%

It's been 10 months since Victoria's Secret spun off from L Brands and rebranded to be more female-centric. While the message reaches consumers it is taking much longer to reach investors.

Total revenue of Victoria's Secret fell 4.5% in the quarter ending April 30 at its own guidance cap recording a better than the 5.2% drop expected by analysts surveyed by Visible Alpha.

The sales took place well during the pandemic, but the company is not performing well as consumers shift their spending to outerwear and workwear, company executives said in a statement. Nightwear and loungewear accounted for up to a quarter of Victoria's Secret brand sales during peak hours.

For now, the story of Victoria's Secret's turnaround seems to resonate more with analysts of the company than with investors. All analysts surveyed by FactSet have Victoria's Secret price targets above $50. Even after rising 8%  to about $44.60 on Wednesday morning, the company's stock is trading well below the average target price of $67.36.