Comparing LuxExperience B.V. (NYSE:LUXE) and Burberry Group (OTCMKTS:BURBY)
by Amy Steele · The Cerbat GemBurberry Group (OTCMKTS:BURBY – Get Free Report) and LuxExperience B.V. (NYSE:LUXE – Get Free Report) are both consumer discretionary companies, but which is the better investment? We will contrast the two companies based on the strength of their institutional ownership, risk, analyst recommendations, profitability, dividends, valuation and earnings.
Profitability
This table compares Burberry Group and LuxExperience B.V.’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Burberry Group | N/A | N/A | N/A |
| LuxExperience B.V. | 17.93% | 35.63% | 21.07% |
Earnings & Valuation
This table compares Burberry Group and LuxExperience B.V.”s gross revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Burberry Group | $3.24 billion | 1.76 | $28.15 million | N/A | N/A |
| LuxExperience B.V. | $1.37 billion | 0.50 | $620.57 million | $4.09 | 1.96 |
LuxExperience B.V. has lower revenue, but higher earnings than Burberry Group.
Risk & Volatility
Burberry Group has a beta of 1.09, meaning that its stock price is 9% more volatile than the S&P 500. Comparatively, LuxExperience B.V. has a beta of 1.06, meaning that its stock price is 6% more volatile than the S&P 500.
Analyst Recommendations
This is a summary of current recommendations for Burberry Group and LuxExperience B.V., as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Burberry Group | 0 | 1 | 0 | 1 | 3.00 |
| LuxExperience B.V. | 1 | 3 | 2 | 0 | 2.17 |
LuxExperience B.V. has a consensus price target of $9.50, indicating a potential upside of 18.60%. Given LuxExperience B.V.’s higher possible upside, analysts clearly believe LuxExperience B.V. is more favorable than Burberry Group.
Insider & Institutional Ownership
10.3% of Burberry Group shares are held by institutional investors. Comparatively, 10.1% of LuxExperience B.V. shares are held by institutional investors. 1.9% of LuxExperience B.V. shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.
Summary
LuxExperience B.V. beats Burberry Group on 7 of the 13 factors compared between the two stocks.
About Burberry Group
Burberry Group plc, together with its subsidiaries, manufactures, retails, and wholesales luxury goods under the Burberry brand. The company operates in two segments, Retail/Wholesale and Licensing. It provides womenswear, menswear, childrenswear, beauty, eyewear, shoes, and accessories, as well as leather goods, such as bags. The company also licenses third parties to manufacture and distribute products using the Burberry trademarks. It sells its products through Burberry mainline stores, concessions, outlets, digital commerce, Burberry franchisees, department stores, and multi-brand specialty accounts, as well as through Burberry.com website. It operates in the Asia Pacific, Europe, the Middle East, India, Africa, and the Americas. The company was founded in 1856 and is headquartered in London, the United Kingdom.
About LuxExperience B.V.
MYT Netherlands Parent B.V., through its subsidiary, Mytheresa Group GmbH, operates a luxury e-commerce platform for fashion consumers in Germany, the United States, the rest of Europe, and internationally. The company sells clothes, bags, shoes, accessories, and fine jewelry through online and retail stores. It serves high-income luxury consumers. The company was founded in 1987 and is based in Munich, Germany.