As my last message said - Burberry are a totally different fish to the other clowns in the luxury sector like Mulberry. Unlike them and LVMH, Burberry's sales are massively up again across all regions, including Europe - and their focus on China is paying (literally) big dividends. I expect the share price to recover back to £14 now which is where they were before starting to be dragged down by everyone else's poor performance.
22 Mar '13
Massively overdone drop today
Burberry's sales mix by geography is totally different to Mulberry. In fact the similarities end with their names ending in 'berry'. Mulberry had a terrible 2012 - unlike Burberry, and so news of a slowdown in London for them is hardly something unexpected. Mulberry generate over 60% of their sales in the UK and less than 15% in Asia; Burberry generate 33% of sales in Europe (so a fraction of that in London) and 36% in Asia (and growing). If Asians stay at home to spend instead of London - Burberry are well placed, unlike Mulberry. As things stand Burberry has lost £235 million of value today.....makes sense of the back of this news relating to another company with totally different dynamics? No.
Stacey Cartwright, the out-going Chief Financial Officer of fashion label Burberry, has sold 61,171 shares at 1,363.30p a time, pocketing 833,944 before tax, it was revealed Friday. It was announced earlier this week that Carol Fairweather has been appointed as Cartwright's successor. Fairweather, who has been with Burberry for six years - most recently as Senior Vice President of Group Finance, will take up the position ahead of the group's annual general meeting in July 2013. Prior to joining Burberry, Fairweather held senior finance positions at News International and Shandwick.
11 Feb '13
After the recent market rally, cautious investors have been looking for a reason to sell. The board changes provided this and that's why they sparked a fall of more than 6 per cent. This slide looked overdone, the Sunday Telegraph's Questor team says. With the shares trading on a current year earnings multiple of 20, it is in-line with its peers, so Questor says it keeps a hold.
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