Victoria’s Secret Stock Up 93% as New $8.5 Million Fund Bet Signals Confidence in This Retailer's Turnaround

On February 17, 2026, Seldon Capital disclosed a new position in Victoria's Secret & Co. (NYSE:VSCO), acquiring 155,950 shares in the fourth quarter—an estimated $8.45 million trade.

What happened

According to an SEC filing dated February 17, 2026, Seldon Capital LP reported acquiring 155,950 shares of Victoria's Secret & Co. during the fourth quarter. At quarter-end, the new position was valued at $8.45 million.

What else to know

• This was a new position for Seldon, representing 2.92% of its reportable U.S. equity AUM as of December 31, 2025.
• Top holdings after the filing:
  • NYSEMKT:VT: $30.06 million (10.4% of AUM)
  • NYSE:CLS: $27.68 million (9.6% of AUM)
  • NASDAQ:TLN: $26.56 million (9.2% of AUM)
  • NYSE:SQM: $15.18 million (5.3% of AUM)
  • NYSEMKT:VTI: $14.68 million (5.1% of AUM)
• As of February 17, 2026, shares of Victoria's Secret & Co. were priced at $60.36, up 93.2% over the prior year, outperforming the S&P 500 by 71.94 percentage points.

Company/Etf overview

Company snapshot

• Victoria's Secret & Co. offers a portfolio of women's intimate apparel, sleepwear, loungewear, swimwear, athletic attire, fragrances, and body care products primarily under the Victoria's Secret and PINK brands.
• The company generates revenue through direct retail sales at stores worldwide and through e-commerce channels, focusing on both in-store and digital customer experiences.
• Victoria's Secret & Co. serves a broad global customer base, with a focus on women's apparel and beauty products.

Victoria's Secret & Co. is a leading specialty retailer in the women's apparel and beauty sector, operating at scale with a global footprint and a diverse product portfolio. The company leverages its iconic brand recognition and expansive retail network to drive sales and maintain customer loyalty. Strategic investments in digital channels and product innovation support its competitive positioning in the evolving consumer landscape.

What this transaction means for investors

Victoria's Secret has had a rough few years, but the stock has been on an absolute tear since this past summer, reversing losses and up over 90% these past 12 months. And that’s what makes this new position interesting. Victoria’s Secret recently posted third-quarter net sales of $1.472 billion, up 9% year over year, with comparable sales up 8%, while adjusted operating results came in ahead of expectations. Management responded by raising full-year guidance to as much as $6.48 billion in sales and up to $375 million in adjusted operating income.

This is not a turnaround story built solely on expense discipline. Gross margin expanded by 170 basis points in the quarter, helped by lower promotions and stronger full-price selling. Meanwhile, the headline net loss narrowed versus last year.

Within a portfolio anchored by diversified ETFs and cyclical industrial names, this nearly 3% allocation stands out as a focused consumer discretionary bet. With the stock surging so much this past year, expectations are higher, and long-term investors should watch whether international growth, digital execution, and fourth-quarter guidance of up to $2.45 in adjusted EPS hold. If the Path to Potential strategy keeps translating into cleaner margins and steady comps, the rerating could have room to run.

Jonathan Ponciano has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Celestica, Vanguard Total Stock Market ETF, and Victoria's Secret & Co. The Motley Fool has a disclosure policy.