Burberry (LON:BRBY) has unveiled a collaboration with legendary designer Vivienne Westwood, City A.M. reports. The news comes ahead of the FTSE 100 luxury goods retailer’s trading update later this week when the company is expected to post a rise in sales.
Burberry’s share price rose on Friday, adding 1.57 percent to close at 2,070.00p, outperforming the broader UK market, with the benchmark FTSE 100 index gaining 14.48 points to end the session 0.19 percent higher at 7,617.70. The group’s shares have added more than 28 percent to their value over the past year, as compared with a near four-percent gain in the Footsie.
Vivienne Westwood collaboration
City A.M. reported on Friday that Burberry’s new creative director Riccardo Tisci had announced the retailer’s collaboration with Vivienne Westwood on Instagram, saying that Westwood was “one of the first designers who made me dream to become a designer”.
“I am SO honoured to announce a new Burbs collaboration with the original British PUNK,” he pointed out. The collection will launch in December this year and will support the rainforest charity Cool Earth.
Burberry to update on performance
The announcement of the new collaboration comes ahead of Burberry’s first-quarter trading update on Wednesday and City A.M. reports that the blue-chip retailer is expected to report an uplift of around three per cent in like-for-like sales.
Chris Beauchamp, market analyst at IG, meanwhile said in a note that with the luxury goods retailer currently trading at a 35-percent premium to its peers, this week’s trading statement will need to have plenty of good news in it to avoid a sell-off.
JPMorgan Chase & Co, which sees Burberry as a ‘neutral,’ lowered its price target on the shares from 1,720p to 1,710p last week. According to MarketBeat, the blue-chip retailer currently has a consensus ‘hold’ rating and an average price target of 1,784.53p.