Burberry: Deutsche Bank cuts target price
(CercleFinance.com) - While maintaining its 'hold' recommendation on Burberry shares, Deutsche Bank has cut its TP for them from 1030p to 800p, the day after the British luxury house announced a change of its CEO, along with a profit warning.
As "Investors were becoming increasingly frustrated with the performance at Burberry and looking for a change in strategic direction", the broker expects this to start with a gentle shift, followed by a more significant change over time.
"Burberry has made a sensible strategic choice in view to replace the CEO but maintaining Daniel Lee as the creative designer", it adds, praising the first clean stylistic changes, more accessible prices and a focus on areas where the Burberry brand is stronger.
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The information and analyses published by Cercle Finance are intended solely as a decision-making aid for investors. Cercle Finance cannot be held responsible, directly or indirectly, for the use of information and analyses by readers. Uninformed investors are advised to consult a professional advisor before investing. This information does not constitute an invitation to sell or a solicitation to buy.
As "Investors were becoming increasingly frustrated with the performance at Burberry and looking for a change in strategic direction", the broker expects this to start with a gentle shift, followed by a more significant change over time.
"Burberry has made a sensible strategic choice in view to replace the CEO but maintaining Daniel Lee as the creative designer", it adds, praising the first clean stylistic changes, more accessible prices and a focus on areas where the Burberry brand is stronger.
Copyright (c) 2024 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
The information and analyses published by Cercle Finance are intended solely as a decision-making aid for investors. Cercle Finance cannot be held responsible, directly or indirectly, for the use of information and analyses by readers. Uninformed investors are advised to consult a professional advisor before investing. This information does not constitute an invitation to sell or a solicitation to buy.