L Brands (LB) - Get Report stock was rising after reporting third-quarter results that met expectations, but that didn't stop analysts at MKM Partners from cutting the company's full-year earnings expectations to $2.40 from $2.51 a share. 

The firm admitted that the parent company of Victoria's Secret and Bath & Body Works had a "better outcome than anticipated" in the third quarter but it is still "far from stable."

"We continue to be in awe of BBW's comp and operating income growth, particularly in a promotional environment, however, Victoria's Secret performance is a significant offset and is increasingly concerning, even with new leadership at both VS and PINK," said analyst Roxanne Meyer.

"While there were pockets of positives at VS in 3Q, including intimates and pant performance at PINK, and a return to positive (non-promotionally driven) comps at VS Beauty, declines at PINK apparel and at VS lingerie were steep."

Last month, Victoria's Secret laid off about 50 employees at its headquarters as the lingerie brand's CEO, Les Wexner, has faced increased scrutiny due to his decades long friendship with disgraced billionaire Jeffrey Epstein. 

Despite the lowered outlook, L Brands shares were up more than 4% to $16.22 on Thursday. 

MKM Partners estimated that Victoria's Secret will experience a $400 million decline in operating income in 2019 on top of the $400 million decline it experienced last year. 

"We think it could be tougher for VS to keep its promotional levels in check in light of the environment and promotional history at VS. We also view elevated inventory levels as an overhang," Meyer wrote. 

Analysts at Baird were also relatively unimpressed with the company's third quarter, maintaining their outperform rating on Thursday while also lowering theirprice target to $25 a share from $30.

The stock was rising Thursday by 9.4% to $17.06.