Burberry shares strut to the top of the FTSE 100 on bid talk
Burberry shares topped the FTSE 100 leader board on Thursday amid speculation the luxury fashion house could attract the attention of a US rival or cash-rich private equity groups.
Burberry Group
1,158.50p
08:25 29/04/24
FTSE 100
8,177.11
08:25 29/04/24
FTSE 350
4,487.98
08:25 29/04/24
FTSE All-Share
4,440.98
08:25 29/04/24
Personal Goods
16,066.17
08:24 29/04/24
The chatter, which was reported by UK newspaper the Daily Mail, comes before Burberry reports 2015 sales figures next Wednesday.
City traders feel the market is still reeling on the back of a deluge of high profile deals in recent weeks which have propped up hopes for more deals in the pipeline.
Earlier on Thursday, US investment bank JPMorgan raised its target price on Burberry to 1,560p from 1,470p citing the boost to earnings from a weaker euro.
The bank maintained a ‘neutral’ rating on the stock as it expects Hong Kong and Macau - where luxury sales to Chinese tourists have fallen sharply - to remain tough markets for Burberry.
Elsewhere, US investment bank Goldman Sachs placed Burberry shares on its "conviction buy" list, which is compiled of stocks that have an M&A probability of 30% or more.