Burberry Group (BURBY) AI Stock Analysis

• Market Cap: $6.36B
• Dividend Yield: 4.56%
• Average Volume (3M): 4.40K
• Price to Earnings (P/E): 85.3
• Beta (1Y): 1.44
• Revenue Growth: -15.84%
• EPS Growth: -129.00%
• Country: US
• Employees: 9,336
• Sector: Consumer Cyclical
• Sector Strength: 68
• Industry: Luxury Goods
• EPS (TTM): 0.04
• Shares Outstanding: 359,177,250
• 10 Day Avg. Volume: 0
• 30 Day Avg. Volume: 4,396
• PEG Ratio: 0.19
• Price to Book (P/B): 4.83
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 14.39
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 59 Neutral
• Price Target: $18.00 ▲(2.16%Upside)

Burberry Group's overall stock score is primarily impacted by its financial performance, which shows significant challenges in revenue and profitability. Technical analysis suggests bullish momentum, but the stock appears overbought, posing a risk of short-term correction. The high dividend yield is a positive factor, though the negative P/E ratio reflects valuation concerns. Addressing operational and leverage issues is crucial for future improvement.

Burberry Group Business Overview & Revenue Model

Company Description

Burberry Group plc, together with its subsidiaries, manufactures, retails, and wholesales luxury goods under the Burberry brand. The company operates in two segments, Retail/Wholesale and Licensing. It provides womenswear, menswear, childrenswear, beauty, eyewear, shoes, and accessories, as well as leather goods, such as bags. The company also licenses third parties to manufacture and distribute products using the Burberry trademarks. Burberry Group plc sells its products through Burberry mainline stores, concessions, outlets, digital commerce, Burberry franchisees, department stores, and multi-brand specialty accounts, as well as through Burberry.com website. As of April 2, 2022, the company operated 218 stores, 143 concession stores, 57 outlets, and 38 franchise stores. It operates in the Asia Pacific, Europe, the Middle East, India, Africa, and the Americas. Burberry Group plc was founded in 1856 and is headquartered in London, the United Kingdom.

How the Company Makes Money

Burberry Group generates revenue primarily through the sale of luxury apparel, accessories, and beauty products. The company's key revenue streams include retail, wholesale, and licensing operations. Retail comprises the largest portion of Burberry's earnings, with a network of directly operated stores, concessions, and e-commerce platforms providing direct-to-consumer sales. Wholesale operations involve selling products to department stores and specialty retailers, while licensing agreements allow third parties to produce and sell certain Burberry-branded items. Burberry also benefits from strategic brand partnerships and collaborations, which enhance its market reach and brand visibility. The company's focus on digital innovation and customer experience further drives sales across its various channels.

Burberry Group Financial Statement Overview

Summary

Burberry Group is facing significant financial challenges with declining revenues and profitability issues. The high leverage adds financial risk, though the company maintains some liquidity. Cash flow generation remains a relative strength, but the decline in operating cash flow and free cash flow is concerning.

Income Statement

The income statement shows a declining trend with revenue dropping from 2024 to 2025. The gross profit margin decreased, and a net loss was recorded in 2025, indicating profitability challenges. EBIT margin turned negative, further highlighting operational issues. A major concern is the significant decline in revenue and profitability compared to previous years.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio, which indicates significant leverage and potential financial risk. The equity ratio decreased as stockholders' equity reduced. However, the company maintains a reasonable level of cash and short-term investments, providing some liquidity cushion. ROE turned negative in 2025, showing challenges in generating returns for shareholders.

Cash Flow

The cash flow statement shows a decline in operating cash flow compared to previous years. Free cash flow remains positive but dropped from 2024 to 2025, indicating less cash available after capital expenditures. The operating cash flow to net income ratio is notably high due to the net loss, suggesting operational cash inflow despite profitability challenges.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	2.46B	2.97B	3.09B	2.83B	2.34B
Gross Profit	1.54B	2.01B	1.84B	1.68B	1.37B
EBITDA	428.00M	522.00M	1.01B	855.00M	693.10M
Net Income	-75.00M	270.00M	490.00M	396.00M	376.00M
Balance Sheet
Total Assets	3.43B	3.37B	3.69B	3.70B	3.50B
Cash, Cash Equivalents and Short-Term Investments	813.00M	441.00M	1.03B	1.22B	1.26B
Total Debt	1.92B	1.57B	1.49B	1.40B	1.36B
Total Liabilities	2.51B	2.22B	2.15B	2.08B	1.94B
Stockholders Equity	914.00M	1.15B	1.53B	1.61B	1.56B
Cash Flow
Free Cash Flow	278.00M	294.00M	571.00M	534.00M	473.70M
Operating Cash Flow	429.00M	506.00M	750.00M	699.00M	591.40M
Investing Cash Flow	-127.00M	-231.00M	-153.00M	-167.00M	-93.10M
Financing Cash Flow	48.00M	-865.00M	-815.00M	-578.00M	-156.50M

Burberry Group Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 17.62
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BURBY, the sentiment is Positive. The current price of 17.62 is above the 20-day moving average (MA) of 16.21, above the 50-day MA of 14.63, and above the 200-day MA of 12.15, indicating a bullish trend. The MACD of 0.79 indicates Negative momentum. The RSI at 70.85 is Negative, neither overbought nor oversold. The STOCH value of 80.86 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for BURBY.

Burberry Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SIG	75 Outperform	$3.37B	88.81	2.04%	1.44%	-3.98%	-93.50%
TPR	74 Outperform	$21.48B	27.21	40.27%	1.64%	2.67%	1.31%
Sector *	67 Neutral	¥252.20B	13.26	6.45%	2.68%	5.22%	-11.89%
LUXE	63 Neutral	$645.46M	―	-8.75%	―	7.08%	-42.22%
BURBY	59 Neutral	$6.36B	85.32	-7.31%	4.56%	-15.84%	-129.00%
CPRI	53 Neutral	$2.31B	―	-120.18%	―	-14.08%	-411.39%
LANV	45 Neutral	$303.59M	―	-195.94%	―	-22.86%	-38.76%