Burberry Group (LON:BRBY) Trading Down 7.1% - Time to Sell?

Key Points

• Burberry Group's shares experienced a significant decline of 7.1%, closing at GBX 1,181.96 ($16.01) after trading as low as GBX 1,152.50 ($15.61).
• Despite the share price drop, several analysts maintain a consensus rating of "Moderate Buy" with a target price of GBX 1,350, indicating potential for recovery.
• Insider transactions showed confidence in the company, with executives purchasing over 34,180 shares valued at nearly $36.8 million in the past ninety days.

Burberry Group plc (LON:BRBY - Get Free Report)'s stock price fell 7.1% on Tuesday . The stock traded as low as GBX 1,152.50 ($15.60) and last traded at GBX 1,181.96 ($16.00). 1,956,127 shares changed hands during mid-day trading, a decline of 68% from the average session volume of 6,175,073 shares. The stock had previously closed at GBX 1,272 ($17.22).

Analysts Set New Price Targets

A number of equities analysts have commented on the stock. HSBC reaffirmed a "buy" rating and set a GBX 1,600 price objective on shares of Burberry Group in a research report on Tuesday, September 2nd. Citigroup boosted their target price on shares of Burberry Group from GBX 1,250 to GBX 1,600 and gave the company a "buy" rating in a research report on Monday, July 28th. Finally, Deutsche Bank Aktiengesellschaft reaffirmed a "hold" rating and issued a GBX 1,000 price target on shares of Burberry Group in a research note on Monday, July 21st. Three equities research analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the company's stock. According to data from MarketBeat, Burberry Group has an average rating of "Moderate Buy" and an average price target of GBX 1,350.

Burberry Group Price Performance

The company has a fifty day moving average of GBX 1,244.05 and a 200 day moving average of GBX 1,022.97. The firm has a market capitalization of £4.16 billion, a P/E ratio of -5,543.06, a PEG ratio of 1.66 and a beta of 1.06. The company has a debt-to-equity ratio of 136.53, a current ratio of 1.66 and a quick ratio of 1.63.

Insider Activity at Burberry Group

In other Burberry Group news, insider Orna NiChionna purchased 1,208 shares of the business's stock in a transaction on Friday, September 5th. The shares were purchased at an average cost of GBX 1,234 per share, for a total transaction of £14,906.72. Also, insider Kate Ferry purchased 3,228 shares of the business's stock in a transaction on Friday, June 27th. The shares were acquired at an average price of GBX 1,100 per share, for a total transaction of £35,508. Insiders have purchased 34,180 shares of company stock worth $36,837,808 over the last ninety days. Insiders own 0.63% of the company's stock.

Burberry Group Company Profile

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.