Victoria's Secret & Co. (VSCO, Financial) is turning heads on Wall Street today, with shares rocketing nearly 9% after a stellar Thanksgiving weekend and an upgraded sales outlook. The lingerie giant crushed expectations with $1.35 billion in third-quarter revenue, a solid 7% year-over-year jump that beat analyst forecasts of $1.29 billion. While the adjusted loss of $0.50 per share came in narrower than the predicted $0.65 loss, CEO Hillary Super is bullish. She called the performance “broad-based,” crediting strength across Victoria's Secret, PINK, and Adore Me, alongside 20% international growth.

And the hits keep coming. Victoria's Secret has bumped its fiscal 2024 sales growth projection to 1%-2%, reversing earlier guidance of a 1% dip. This is the brand's strongest quarterly growth since 2021, with momentum fueled by Black Friday and Cyber Monday deals. Looking ahead, the company expects fourth-quarter earnings per share between $2.00 and $2.30, slightly above consensus estimates. Disciplined cost control and lean inventory management are helping margins, even as analysts keep an eye on softer-than-expected gross margin guidance. Full-year adjusted operating income is now forecasted between $315 million and $345 million, up from the prior $275 million to $300 million range.

Still, not everyone's buying the hype. Some analysts argue the stock's recent 23% rally already priced in high expectations, tempering the upside despite this “beat and raise” quarter. But with year-to-date shares up over 60%, it's clear Victoria's Secret is reclaiming its mojo. For investors betting on retail resilience this holiday season, VSCO might just be the gift that keeps on giving.