Burberry Group plc

LSE:BRBY Stock Report

Market Cap: UK£4.1b

Burberry Group Valuation

Is BRBY undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Future Cash Flow Value

  • Significantly Below Future Cash Flow Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Future Cash Flow Value

What is the Fair Price of BRBY when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Ultimate guide to DCF valuation for stock investing

Learn how to determine fair value like the best investors in the world.

Below Future Cash Flow Value: BRBY (£11.33) is trading below our estimate of future cash flow value (£12.61)

Significantly Below Future Cash Flow Value: BRBY is trading below future cash flow value, but not by a significant amount.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for BRBY?

Key metric: As BRBY is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for BRBY. This is calculated by dividing BRBY's market cap by their current revenue.
What is BRBY's PS Ratio?
PS Ratio1.7x
SalesUK£2.41b
Market CapUK£4.07b

Price to Sales Ratio vs Peers

How does BRBY's PS Ratio compare to its peers?

The above table shows the PS ratio for BRBY vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average0.9x
MUL Mulberry Group
0.6xn/aUK£68.4m
BTRW Barratt Redrow
0.6x6.67%UK£3.7b
PSN Persimmon
1x6.15%UK£3.7b
COA Coats Group
1.5x8.86%UK£1.6b
BRBY Burberry Group
1.7x4.70%UK£4.1b

Price-To-Sales vs Peers: BRBY is expensive based on its Price-To-Sales Ratio (1.7x) compared to the peer average (0.9x).

Historical Price to Sales Ratio

Historical Price to Sales Ratio compares a stock's price to its sales over time. Higher ratios indicate that investors are willing to pay more for the stock.

Fetching historical data

Price to Sales Ratio vs Industry

How does BRBY's PS Ratio compare vs other companies in the European Luxury Industry?

13 CompaniesPrice / SalesEstimated GrowthMarket Cap
BRBY 1.7xIndustry Avg. 0.8xNo. of Companies18PS00.61.21.82.43+
13 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: BRBY is expensive based on its Price-To-Sales Ratio (1.7x) compared to the European Luxury industry average (0.8x).

Price to Sales Ratio vs Fair Ratio

What is BRBY's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

BRBY PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio1.7x
Fair PS Ratio2.2x

Price-To-Sales vs Fair Ratio: BRBY is good value based on its Price-To-Sales Ratio (1.7x) compared to the estimated Fair Price-To-Sales Ratio (2.2x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst BRBY forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUK£11.33
UK£13.36
+17.83%
14.36%UK£15.90UK£9.40n/a20
Apr ’27UK£10.98
UK£13.36
+21.63%
14.36%UK£15.90UK£9.40n/a20
Mar ’27UK£11.63
UK£13.53
+16.34%
15.20%UK£15.90UK£9.40n/a20
Feb ’27UK£10.99
UK£13.53
+23.11%
15.20%UK£15.90UK£9.40n/a20
Jan ’27UK£12.69
UK£13.04
+2.73%
19.48%UK£15.75UK£6.80n/a19
Dec ’26UK£11.66
UK£13.03
+11.76%
19.45%UK£15.75UK£6.80n/a19
Nov ’26UK£12.38
UK£12.68
+2.42%
21.28%UK£16.00UK£6.80n/a18
Oct ’26UK£11.83
UK£12.36
+4.47%
21.04%UK£16.00UK£6.80n/a18
Sep ’26UK£12.48
UK£12.34
-1.15%
23.16%UK£16.00UK£5.80n/a18
Aug ’26UK£12.84
UK£11.96
-6.87%
22.86%UK£16.00UK£5.80n/a18
Jul ’26UK£12.10
UK£10.88
-10.06%
20.36%UK£14.50UK£5.80n/a18
Jun ’26UK£10.35
UK£10.26
-0.89%
20.16%UK£14.00UK£4.90n/a19
May ’26UK£7.35
UK£9.29
+26.30%
21.66%UK£13.30UK£4.90n/a19
Apr ’26UK£7.57
UK£10.47
+38.27%
23.17%UK£14.00UK£4.90UK£10.9819
Mar ’26UK£10.86
UK£10.78
-0.75%
22.92%UK£14.00UK£4.90UK£11.6319
Feb ’26UK£11.92
UK£10.78
-9.57%
22.92%UK£14.00UK£4.90UK£10.9919
Jan ’26UK£9.80
UK£8.58
-12.41%
25.32%UK£13.30UK£4.75UK£12.6919
Dec ’25UK£8.98
UK£8.06
-10.29%
25.95%UK£13.30UK£4.75UK£11.6619
Nov ’25UK£8.12
UK£7.18
-11.52%
28.23%UK£13.30UK£4.10UK£12.3819
Oct ’25UK£6.72
UK£7.05
+4.87%
26.67%UK£13.30UK£4.10UK£11.8319
Sep ’25UK£6.68
UK£8.12
+21.66%
19.01%UK£13.30UK£4.77UK£12.4819
Aug ’25UK£7.67
UK£8.44
+9.94%
20.91%UK£13.30UK£4.90UK£12.8419
Jul ’25UK£8.63
UK£10.66
+23.62%
15.95%UK£15.70UK£7.20UK£12.1019
Jun ’25UK£10.35
UK£11.79
+13.96%
17.00%UK£16.80UK£7.50UK£10.3519
May ’25UK£11.42
UK£13.42
+17.47%
17.14%UK£21.00UK£9.90UK£7.3519
Apr ’25UK£12.13
UK£13.73
+13.19%
16.66%UK£21.00UK£10.00UK£7.5719
UK£13.36
Fair Value
15.1% undervalued intrinsic discount
20
Number of Analysts

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2026/04/09 06:17
End of Day Share Price 2026/04/09 00:00
Earnings2025/09/27
Annual Earnings2025/03/29

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Burberry Group plc is covered by 37 analysts. 19 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Victoria Lee SternBarclays
Carole MadjoBarclays
John William GuyBerenberg