Luxury Goods Will Test Investors’ Immunity to Coronavirus

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Luxury Goods Will Test Investors’ Immunity to Coronavirus
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Heard on the Street: Stocks like LVMH and Burberry remain expensive despite their heavy exposure to the coronavirus outbreak

Burberry, the British brand that sells $2,000 raincoats, warned Friday that the outbreak is hurting demand for its products in China and scrapped its full-year sales and profit

guidance. The label makes 45% of its sales to Chinese nationals, according to Jefferies Group estimates. It has now closed two-fifths of its 64 mainland stores because of the illness.

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