From Morningstar: 2024-11-04 10:11:54

Shares in Burberry surged over 6% after reports of a potential acquisition by Moncler. Analysts suggest Moncler could benefit from the deal with Burberry showing signs of strategic improvement. Morningstar maintains a Fair Value Estimate for Burberry at £13.30, but notes obstacles for the brand, such as underperforming outerwear sales and competition.

Burberry has faced challenges due to luxury market slowdown in China and executive turnover. The company was removed from the FTSE 100 index and reported a 21% decrease in sales revenue. Sales in Asia Pacific and China fell by 23% and 21% respectively. Year to date, Burberry’s shares are down 38.66%, currently trading at £8.58.



Read more at Morningstar: Burberry Shares Rise On Moncler Takeover Rumours