Burberry"s recommendation from UBS has been upgraded from "sell" to "neutral", with the price target raised from 410 to 975 pence. This suggests a potential 12% increase in the stock.
The upgrade follows a recent trading update from the luxury brand, which has implemented a new strategy focused on its roots to stabilize the business and boost sales in the short term. UBS cautiously expresses optimism about the brand"s direction, acknowledging concerns about profit margins but highlighting the potential positive outcomes of the "return to basics" approach. Investors are advised to consider this strategic shift when making decisions.