Shares in the British luxury fashion brand Burberry (BRBY) are down substantially after the luxury brand issued a profit warning and suspended its dividend. Morningstar today adjusts its Fair Value Estimate for shares in the company to £13.30, with the current share price at £7.
11. The company, renowned for its iconic camel trench coats, has also replaced chief executive Jonathan Akeroyd. At the opening of trading yesterday, shares in the company, which is a constituent of the FTSE 100 index, fell 16.
73%. They are currently down 47.5% since the beginning of the year, and are trading down 1.
4% this morning. Akeroyd will now be replaced by Joshua Schulman, who was formerly the chief executive of luxury bag and shoe brands Coach and Jimmy Choo. Akeroyd has been in post for just two years.
Schulamn said he was "deeply honoured" to take the helm of the company. "Burberry is an extraordinary luxury brand, quintessentially British, equal parts heritage and innovation," he said. Key Morningstar Metrics For Burberry • Morningstar Fair Value Estimate: £13.
30 (was £15.70) • Morningstar Star Rating: ★★★★★ • Morningstar Economic Moat Rating: Narrow • Morningstar..
. Christopher Johnson.
