Burberry (BRBY) AI Stock Analysis

• Market Cap: £4.33B
• Dividend Yield: 5.04%
• Average Volume (3M): 1.39M
• Price to Earnings (P/E): 77.3
• Beta (1Y): 1.68
• Revenue Growth: -17.08%
• EPS Growth: -128.46%
• Country: UK
• Employees: 9,336
• Sector: Consumer Cyclical
• Sector Strength: 57
• Industry: Luxury Goods
• EPS (TTM): 0.03
• Shares Outstanding: 359,177,100
• 10 Day Avg. Volume: 1,747,972
• 30 Day Avg. Volume: 1,389,657
• PEG Ratio: 1.26
• Price to Book (P/B): 5.53
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 23.06
• 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: £1,075.38
• Price Target Upside: -11.13% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 13

• Rating: 60 Neutral
• Price Target: 1,208.00p ▼(-0.17%Downside)

Burberry's overall stock score of 60 reflects a mixed outlook. The company's financial struggles weigh heavily, but strong technical indicators and positive corporate events, such as insider buying, provide optimism. The valuation remains a significant concern due to negative earnings, despite an attractive dividend yield.

Positive Factors

Brand Strategy

The sensible 'Burberry Forward' strategy will reignite brand visibility and desirability.

Earnings

FY25 came in as a slight beat with adjusted EBIT of £26m versus the company collated consensus of £11m.

Market Expansion

Significant growth opportunities exist for Burberry in the US luxury apparel market, despite manageable tariffs risks.

Negative Factors

Macroeconomic Conditions

Current trading likely remains choppy amid the current macro-economic backdrop.

Tourist Spending

Growth among EMEIA locals was noted to have 'partially offset a decline in tourist spending in Q4'.

Burberry 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 generates revenue through its diverse portfolio of luxury products, primarily focusing on apparel, accessories, and beauty products. The company operates a multi-channel distribution strategy, which includes retail stores, digital platforms, and wholesale partnerships. Burberry's retail stores, located in key markets globally, account for a significant portion of its revenue. The company also invests heavily in its e-commerce platform, expanding its digital presence to reach a broader audience. In addition to direct sales, Burberry engages in licensing agreements for its fragrances and eyewear, which provide an additional revenue stream. Strategic partnerships and collaborations with other brands and designers further enhance its market presence and contribute to its earnings. Burberry's focus on maintaining brand exclusivity and premium pricing is central to its revenue model, ensuring high margins on its luxury offerings.

Burberry Financial Statement Overview

Summary

Burberry's financial performance is under pressure with declining revenue and a negative net income, indicating profitability issues. The gross profit margin is strong at 62.5%, but the high debt-to-equity ratio and negative return on equity are concerning.

Income Statement

Burberry's income statement reflects significant challenges, as evidenced by declining revenue and negative net income in the most recent period. The gross profit margin remains relatively strong at 62.5% for 2025, indicating effective cost management at the gross level. However, the net profit margin is concerning at -3.05%, highlighting profitability issues. Revenue has decreased by approximately 17% from the previous year, indicating a downward trajectory in sales.

Balance Sheet

The balance sheet shows a moderate financial position with a debt-to-equity ratio rising to 2.10 in 2025, suggesting increased leverage. The equity ratio has decreased to 26.68%, indicating a higher reliance on liabilities. Nonetheless, the company maintains a substantial cash position relative to its liabilities, providing some liquidity cushion. Return on Equity is negative due to the net loss, reflecting underperformance in generating profits from shareholder equity.

Cash Flow

Cash flow statements reveal a decrease in free cash flow from the previous year, although the company remains cash flow positive with a free cash flow to net income ratio being not applicable due to negative net income. Operating cash flow is robust relative to net income, suggesting that the company generates cash effectively despite profitability challenges. The reduction in capital expenditure demonstrates cautious investment, reflecting efforts to conserve cash.

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	828.00M	1.02B	858.00M	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 Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1210.00
• 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 GB:BRBY, the sentiment is Positive. The current price of 1210 is above the 20-day moving average (MA) of 1093.97, above the 50-day MA of 962.58, and above the 200-day MA of 906.37, indicating a bullish trend. The MACD of 54.90 indicates Negative momentum. The RSI at 76.47 is Negative, neither overbought nor oversold. The STOCH value of 97.28 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:BRBY.

Burberry Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JD	77 Outperform	£4.48B	9.25	18.22%	1.11%	2.85%	61.98%
NXT	76 Outperform	£14.63B	20.39	46.76%	1.21%	11.42%	-7.03%
MKS	71 Outperform	£7.20B	24.43	10.25%	1.07%	6.87%	22.36%
Sector *	61 Neutral	C$5.19B	11.12	18.94%	3.83%	5.08%	6.52%
BRBY	60 Neutral	£4.33B	77.34	-7.28%	5.04%	-17.08%	-128.46%
BTRW	60 Neutral	£6.48B	43.42	1.81%	2.41%	4.78%	-53.59%
ASC	49 Neutral	£366.99M	―	-62.59%	―	-15.86%	-18.46%

Burberry Corporate Events

BlackRock Increases Stake in Burberry to Over 5%

Burberry Group PLC has announced a change in its major holdings as BlackRock, Inc., a leading global investment management corporation, has increased its voting rights in the company to 5.12%. This acquisition, crossing the 5% threshold, signifies BlackRock’s growing influence within Burberry, potentially impacting the company’s strategic decisions and shareholder dynamics.

The most recent analyst rating on (GB:BRBY) stock is a Buy with a £9.25 price target. To see the full list of analyst forecasts on Burberry stock, see the GB:BRBY Stock Forecast page.

Burberry Announces Share Capital and Voting Rights Update

Burberry Group PLC has announced the details of its issued share capital as of June 30, 2025, which consists of 363,816,314 ordinary shares. Out of these, 4,639,220 shares are held in treasury and do not carry voting rights, leaving a total of 359,177,094 voting rights. This information is crucial for shareholders to determine their interests in the company according to the FCA’s Disclosure Guidance and Transparency Rules.

The most recent analyst rating on (GB:BRBY) stock is a Buy with a £9.25 price target. To see the full list of analyst forecasts on Burberry stock, see the GB:BRBY Stock Forecast page.

Burberry Executives Increase Stake in Company Shares

Burberry Group PLC announced that its Chief Executive Officer, Joshua Schulman, and Chief Financial Officer, Catherine Ferry, have purchased significant amounts of company shares. Schulman acquired 29,744 shares at a price of 1,069.0945 pence each, while Ferry purchased 3,228 shares at 1,099.7940 pence each. These transactions, conducted on June 27, 2025, reflect the executives’ confidence in the company’s future performance and may positively influence investor sentiment.

The most recent analyst rating on (GB:BRBY) stock is a Buy with a £9.25 price target. To see the full list of analyst forecasts on Burberry stock, see the GB:BRBY Stock Forecast page.

Norges Bank Adjusts Voting Rights in Burberry Group

Burberry Group PLC has announced a change in the major interests of its shares, as Norges Bank has adjusted its voting rights in the company. The adjustment reflects a decrease in Norges Bank’s voting rights from 3.157850% to 2.992160%, impacting the overall shareholder structure of Burberry. This change, noted on May 30, 2025, and reported on June 4, 2025, may influence the company’s governance dynamics and stakeholder interests.

The most recent analyst rating on (GB:BRBY) stock is a Buy with a £9.25 price target. To see the full list of analyst forecasts on Burberry stock, see the GB:BRBY Stock Forecast page.

Burberry Announces Current Share Capital and Voting Rights

Burberry Group PLC has announced its current issued share capital, which consists of 363,816,314 ordinary shares, with 4,639,220 held in treasury and not carrying voting rights. The total number of voting rights is 359,177,094, a figure that shareholders can use to assess their holdings under the FCA’s Disclosure Guidance and Transparency Rules.

The most recent analyst rating on (GB:BRBY) stock is a Buy with a £9.25 price target. To see the full list of analyst forecasts on Burberry stock, see the GB:BRBY Stock Forecast page.

Burberry Releases 2024/25 Annual Report and Announces AGM Details

Burberry Group PLC has released its Annual Report and Accounts for the financial year ending 29 March 2025, along with the Notice of the 2025 Annual General Meeting and the Form of Proxy for the AGM. These documents are accessible on the company’s website and have been submitted to the Financial Conduct Authority’s National Storage Mechanism. The AGM is scheduled for 16 July 2025 in London, where shareholders will vote on various resolutions. The outcome of these votes will be published on Burberry’s website post-meeting, reflecting the company’s ongoing commitment to transparency and shareholder engagement.

The most recent analyst rating on (GB:BRBY) stock is a Buy with a £9.25 price target. To see the full list of analyst forecasts on Burberry stock, see the GB:BRBY Stock Forecast page.

Burberry Unveils Strategic Plan Amidst Challenging Financial Year

Burberry has announced its preliminary results for the 52 weeks ended March 29, 2025, highlighting a challenging year with a 17% decline in revenue. The company has launched ‘Burberry Forward,’ a strategic plan aimed at revitalizing brand desire and improving performance. Despite a difficult macroeconomic environment, the company has seen improvements in brand sentiment and retail sales in the latter half of the year. Burberry is implementing organizational changes to enhance collaboration, efficiency, and profitability, aiming for £100m in annualized savings by FY27. The company remains optimistic about achieving sustainable, profitable growth.

The most recent analyst rating on (GB:BRBY) stock is a Buy with a £9.25 price target. To see the full list of analyst forecasts on Burberry stock, see the GB:BRBY Stock Forecast page.

Burberry Announces Board Change with Sam Fischer’s Retirement

Burberry Group PLC announced the retirement of Sam Fischer, an independent Non-Executive Director, from its Board following the Annual General Meeting in July 2025. Fischer, who has been with the Board since 2019, is stepping down to concentrate on his business commitments in Australia. His departure marks a change in the company’s board composition, potentially impacting its governance dynamics.

Burberry Announces Updated Share Capital and Voting Rights

Burberry Group PLC announced that its issued share capital as of April 30, 2025, consists of 363,816,314 ordinary shares, with 4,639,220 held in Treasury. This results in a total of 359,177,094 voting rights, which shareholders can use to determine their interest in the company under FCA rules. This update is crucial for stakeholders to understand their voting power and any potential changes in their shareholding status.