- Burberry‘s first-half revenue matched market expectations at GBP1.09 billion.
- The forecasted revenue was slightly lower at GBP1.08 billion.
- Retail sales for Burberry reached GBP885 million, exceeding the estimate of GBP868.2 million.
- The company’s stock has received various ratings: 4 analysts rated it a buy, 12 rated it hold, and 7 rated it a sell.
Burberry on Smartkarma
Analysts on Smartkarma, such as Investment Talk and Value Investors Club, have been closely following Burberry‘s performance. Investment Talk‘s recent report, titled “BRBY: New CEO & Yet More Bad News for the Troubled Retailer,” expresses a bearish sentiment towards Burberry. The report highlights the challenges Burberry faced in its first quarter, with retail revenue coming in 22% below the prior year. The analysis underscores the difficulties in the luxury market, painting a gloomy picture for the company entering fiscal year 2025.
Similarly, Value Investors Club‘s coverage in the report “Burberry (BRBY) – Sunday, Mar 31, 2024″ discusses the broader challenges in the luxury sector. The report notes that key players like LVMH, Hermes, and Richemont are facing corrections in share prices, indicating a sector-wide trend of difficulty. Burberry specifically faces a short thesis due to concerns about navigating changing market dynamics. Overall, analysts are cautious about Burberry‘s outlook amidst the complexities of the luxury market.
A look at Burberry Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 5 | |
| Growth | 3 | |
| Resilience | 2 | |
| Momentum | 2 | |
| OVERALL SMART SCORE | 3.0 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on the Smartkarma Smart Scores analysis, Burberry Group PLC’s long-term outlook appears positive. The company received a high score in Dividend, indicating a strong performance in distributing profits to shareholders. Additionally, Burberry scored well in Growth, suggesting potential for future expansion and development. However, the scores for Resilience and Momentum were moderate, indicating some areas that may require attention for improved performance.
Burberry Group PLC is a global luxury brand known for its British heritage and premium outerwear and leather goods. With a strong presence in retail, digital, wholesale, and licensing channels worldwide, the company has established itself as a key player in the luxury fashion industry. By maintaining a focus on value, dividends, and growth, Burberry is poised to continue its strategic growth trajectory in the long term.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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