Burberry Group
Market Cap
UK£9.2b
Last Updated
2020/01/21 20:44 UTC
Data Sources
Company Financials +
Executive Summary
Burberry Group plc, together with its subsidiaries, manufactures, retails, and wholesales luxury goods under the Burberry brand name.
Rewards
Risk Analysis
No risks detected for BRBY from our risk checks.
Snowflake Analysis
Flawless balance sheet with outstanding track record and pays a dividend.
Similar Companies
Share Price & News
How has Burberry Group's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: BRBY has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
-0.4%
BRBY
-0.3%
GB Luxury
0.2%
GB Market
1 Year Return
27.4%
BRBY
11.9%
GB Luxury
12.3%
GB Market
Return vs Industry: BRBY exceeded the UK Luxury industry which returned 12.3% over the past year.
Return vs Market: BRBY exceeded the UK Market which returned 12.7% over the past year.
Shareholder returns
| BRBY | Industry | Market | |
|---|---|---|---|
| 7 Day | -0.4% | -0.3% | 0.2% |
| 30 Day | 3.3% | 2.5% | 1.1% |
| 90 Day | 16.5% | 13.1% | 7.2% |
| 1 Year | 30.4%27.4% | 14.5%11.9% | 18.2%12.3% |
| 3 Year | 46.4%36.9% | 17.9%10.4% | 23.2%7.5% |
| 5 Year | 45.0%28.3% | 31.3%17.1% | 41.7%9.0% |
Price Volatility Vs. Market
How volatile is Burberry Group's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Read This Before Selling Burberry Group plc (LON:BRBY) Shares3 weeks ago | Simply Wall St
Is Burberry Group (LON:BRBY) A Risky Investment?1 month ago | Simply Wall St
Burberry Group plc (LON:BRBY) Looks Interesting, And It's About To Pay A DividendValuation
Is Burberry Group undervalued compared to its fair value and its price relative to the market?
25.96x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: BRBY (£22.71) is trading above our estimate of fair value (£14.3)
Significantly Below Fair Value: BRBY is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: BRBY is poor value based on its PE Ratio (26.1x) compared to the Luxury industry average (19.7x).
PE vs Market: BRBY is poor value based on its PE Ratio (26.1x) compared to the UK market (18.5x).
Price to Earnings Growth Ratio
PEG Ratio: BRBY is poor value based on its PEG Ratio (2.1x)
Price to Book Ratio
PB vs Industry: BRBY is overvalued based on its PB Ratio (7.3x) compared to the GB Luxury industry average (2.6x).
Next Steps
Future Growth
How is Burberry Group forecast to perform in the next 1 to 3 years based on estimates from 18 analysts?
12.2%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: BRBY's forecast earnings growth (12.6% per year) is above the savings rate (0.5%).
Earnings vs Market: BRBY's earnings (12.6% per year) are forecast to grow faster than the UK market (11.7% per year).
High Growth Earnings: BRBY's earnings are forecast to grow, but not significantly.
Revenue vs Market: BRBY's revenue (6% per year) is forecast to grow faster than the UK market (3.6% per year).
High Growth Revenue: BRBY's revenue (6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: BRBY's Return on Equity is forecast to be high in 3 years time (24.7%)
Next Steps
Past Performance
How has Burberry Group performed over the past 5 years?
0.8%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: BRBY has high quality earnings.
Growing Profit Margin: BRBY's current net profit margins (12.9%) are higher than last year (12.4%).
Past Earnings Growth Analysis
Earnings Trend: BRBY's earnings have grown by 0.8% per year over the past 5 years.
Accelerating Growth: BRBY's earnings growth over the past year (7.6%) exceeds its 5-year average (0.8% per year).
Earnings vs Industry: BRBY earnings growth over the past year (7.6%) exceeded the Luxury industry -2.5%.
Return on Equity
High ROE: BRBY's Return on Equity (28.1%) is considered high.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is Burberry Group's financial position?
Financial Position Analysis
Short Term Liabilities: BRBY's short term assets (£1.5B) exceed its short term liabilities (£911.7M).
Long Term Liabilities: BRBY's short term assets (£1.5B) exceed its long term liabilities (£1.0B).
Debt to Equity History and Analysis
Debt Level: BRBY's debt to equity ratio (3.6%) is considered satisfactory.
Reducing Debt: BRBY had negative shareholder equity 5 years ago, but is now positive and has therefore improved.
Debt Coverage: BRBY's debt is well covered by operating cash flow (1052.9%).
Interest Coverage: BRBY's interest payments on its debt are well covered by EBIT (142.6x coverage).
Balance Sheet
Inventory Level: BRBY has a high level of physical assets or inventory.
Debt Coverage by Assets: BRBY's debt is covered by short term assets (assets are 34x debt).
Next Steps
Dividend
What is Burberry Group's current dividend yield, its reliability and sustainability?
1.88%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: BRBY's dividend (1.82%) is higher than the bottom 25% of dividend payers in the UK market (1.82%).
High Dividend: BRBY's dividend (1.87%) is low compared to the top 25% of dividend payers in the UK market (4.95%).
Stability and Growth of Payments
Stable Dividend: BRBY's dividends per share have been stable in the past 10 years.
Growing Dividend: BRBY's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (49.1%), BRBY's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: BRBY's dividends in 3 years are forecast to be well covered by earnings (43.5% payout ratio).
Next Steps
Management
What is the CEO of Burberry Group's salary, the management and board of directors tenure and is there insider trading?
4.5yrs
Average management tenure
CEO
Marco Gobbetti (60yo)
2.5yrs
Tenure
UK£3,965,000
Compensation
Mr. Marco Gobbetti has been the Chief Executive Officer of Burberry Group Plc since July 5, 2017 and serves as its Executive Director. Mr. Gobbetti served as Executive Chairman of Asia Pacific and Middle E ...
CEO Compensation Analysis
Compensation vs Market: Marco's total compensation ($USD5.16M) is about average for companies of similar size in the UK market ($USD4.48M).
Compensation vs Earnings: Insufficient data to compare Marco's compensation with company performance.
Management Age and Tenure
4.5yrs
Average Tenure
Experienced Management: BRBY's management team is considered experienced (4.5 years average tenure).
Board Age and Tenure
2.5yrs
Average Tenure
59yo
Average Age
Experienced Board: BRBY's board of directors are not considered experienced ( 2.5 years average tenure), which suggests a new board.
Insider Trading
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
| Entity | Individual |
| Role | Member of the Board of Directors CFO, COO & Director |
| Shares | 24,051 |
| Max Price | UK£17.75 |
| Entity | Individual |
| Role | Member of the Board of Directors Independent Non-Executive Director |
| Shares | 456 |
| Max Price | UK£17.81 |
| Entity | Individual |
| Role | Member of the Board of Directors Independent Non Executive Director |
| Shares | 15 |
| Max Price | UK£18.28 |
| Entity | Individual |
| Role | Member of the Board of Directors CFO, COO & Director |
| Shares | 108 |
| Max Price | UK£18.28 |
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Management Team
Marco Gobbetti (60yo)
CEO & Executive Director
- Tenure: 2.5yrs
- Compensation: UK£3.97m
Sarah Manley
Chief Marketing Officer
- Tenure: 9.3yrs
Stephen Gilbert
Senior Vice President of Architecture
Fabrizio Fabbro
Senior Vice President of Creative Operations
Annabel Gleeson
Vice President of Investor Relations
Jenna Littler
Senior Vice President of Global Integration
- Tenure: 5.9yrs
Julie Brown (57yo)
CFO, COO & Director
- Tenure: 3yrs
- Compensation: UK£2.00m
Andrew Roberts
Vice President of Corporate Relations
Edward Rash
General Counsel
Erica Bourne
Chief Human Resources Officer
Board Members
Debra Lee (64yo)
Independent Non-Executive Director
- Tenure: 0.3yrs
Ron Frasch (70yo)
Independent Non-Executive Director
- Tenure: 2.3yrs
- Compensation: UK£156.00k
Fabiola Arredondo (52yo)
Independent Non-Executive Director
- Tenure: 4.8yrs
- Compensation: UK£188.00k
Gerry Murphy (64yo)
Chairman
- Tenure: 1.5yrs
- Compensation: UK£372.00k
Jeremy Darroch (56yo)
Senior Independent Director
- Tenure: 2.6yrs
- Compensation: UK£130.00k
Carolyn McCall (58yo)
Independent Non Executive Director
- Tenure: 5.3yrs
- Compensation: UK£83.00k
Orna Ni-Chionna (63yo)
Independent Non-Executive Director
- Tenure: 2yrs
- Compensation: UK£117.00k
Matthew Key (56yo)
Non-Executive Director
- Tenure: 6.3yrs
- Compensation: UK£90.00k
Marco Gobbetti (60yo)
CEO & Executive Director
- Tenure: 2.5yrs
- Compensation: UK£3.97m
Julie Brown (57yo)
CFO, COO & Director
- Tenure: 3yrs
- Compensation: UK£2.00m
Company Information
Burberry Group plc's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Burberry Group plc
- Ticker: BRBY
- Exchange: LSE
- Founded: 1856
- Industry: Apparel, Accessories and Luxury Goods
- Sector: Consumer Durables
- Market Cap: UK£9.171b
- Shares outstanding: 405.28m
- Website: https://www.burberryplc.com
Number of Employees
Location
- Burberry Group plc
- Horseferry House
- Horseferry Road
- London
- Greater London
- SW1P 2AW
- United Kingdom
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| BBRY.F | OTCPK (Pink Sheets LLC) | Yes | Ordinary Shares | US | USD | Jul 2002 |
| BRBY | LSE (London Stock Exchange) | Yes | Ordinary Shares | GB | GBP | Jul 2002 |
| BB2 | DB (Deutsche Boerse AG) | Yes | Ordinary Shares | DE | EUR | Jul 2002 |
| BRBYL | BATS-CHIXE (BATS 'Chi-X Europe') | Yes | Ordinary Shares | GB | GBP | Jul 2002 |
| BRBY N | BMV (Bolsa Mexicana de Valores) | Yes | Ordinary Shares | MX | MXN | Jul 2002 |
| BURB.Y | OTCPK (Pink Sheets LLC) | UNSP ADR EACH REP 2 ORD SH | US | USD | Sep 2009 | |
| BB2A | DB (Deutsche Boerse AG) | UNSP ADR EACH REP 2 ORD SH | DE | EUR | Sep 2009 |
Biography
Burberry Group plc, together with its subsidiaries, manufactures, retails, and wholesales luxury goods under the Burberry brand name. The company operates in two segments, Retail/Wholesale and Licensing. It offers women, men, and children apparels; and accessories, as well as beauty products. The company also licenses third parties to manufacture and distribute products using the Burberry trademarks. It markets its products through Burberry mainline stores, concessions, outlets, digital commerce, Burberry franchisees, department stores, and multi-brand specialty accounts. As of March 31, 2019, the company operated 233 mainline stores, 146 concession stores, 52 outlets, and 44 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.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/01/21 20:44 |
| End of Day Share Price | 2020/01/21 00:00 |
| Earnings | 2019/09/28 |
| Annual Earnings | 2019/03/30 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.