Burberry Group (LON:BRBY) Shares Down 7.1% - Here's Why

Key Points

• Burberry Group's shares experienced a significant decline of 7.1% recently, trading at GBX 1,181.96, down from a previous close of GBX 1,272.
• Despite the recent drop, multiple analysts have set a target price of GBX 1,600 for the stock, indicating a positive outlook with several ratings of "buy."
• Recent insider transactions reveal confidence in the company, with insider purchases totaling £353,471 in shares during the last quarter.

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

Analyst Upgrades and Downgrades

Several research firms have recently commented on BRBY. HSBC reaffirmed a "buy" rating and issued a GBX 1,600 price objective on shares of Burberry Group in a report on Tuesday, September 2nd. Citigroup increased 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 restated a "hold" rating and set a GBX 1,000 price objective on shares of Burberry Group in a research report on Monday, July 21st. Three equities research analysts have rated the stock with a Buy rating and one has given a Hold rating to the company. According to MarketBeat.com, Burberry Group presently has an average rating of "Moderate Buy" and an average target price of GBX 1,350.

Burberry Group Stock Performance

The company has a debt-to-equity ratio of 136.53, a quick ratio of 1.63 and a current ratio of 1.66. The stock has a market cap of £4.09 billion, a PE ratio of -5,452.15, a P/E/G ratio of 1.66 and a beta of 1.06. The firm's 50-day moving average is GBX 1,244.05 and its 200 day moving average is GBX 1,022.97.

Insider Buying and Selling

In other Burberry Group news, insider Joshua Schulman purchased 29,744 shares of the business's stock in a transaction that occurred on Friday, June 27th. The shares were purchased at an average price of GBX 1,069 per share, for a total transaction of £317,963.36. Also, insider Orna NiChionna acquired 1,208 shares of the stock in a transaction on Friday, September 5th. The stock was purchased at an average cost of GBX 1,234 per share, with a total value of £14,906.72. Insiders have acquired 34,180 shares of company stock worth $36,837,808 in the last three months. Corporate insiders own 0.63% of the company's stock.

About Burberry Group

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.