Disappointing business forecasts from Puma sent the shares on Wednesday to a steep descent.
Almost 20 percent for the already heavily battered papers of the sporting goods and the lifestyle group went down. With 21.25 euros, they dropped in the lowest level for more than nine years. This makes a five -year -old Rally, during which the course had almost versed at a record high of 2021 at a good 115 euros, finally waste.
Puma is now only worth around 3.4 billion euros on the stock exchange. In 2021 there were more than 17 billion euros. When expanding the Dax from 30 to 40 values in September 2021, Puma even made the leap into the top German stock market league. Puma had to vacate the place in the guiding index in December 2022. In the meantime, Puma is only in the lower midfield in the MDAX.
It crunches huge at Puma: After a decline in profits last year, the prospects are also for 2025 MAU: trade voltages, careful consumers and heavily fluctuating exchange rates burden the francs. Contrary to earlier assumptions, CEO Arne Freundt expects falling results, a savings program should counteract. The Herzogenauracher is getting more and more behind their local rival Adidas.
Analyst Andreas Riemann from the Oddo-BHF investment house reacted quickly and clearly in the morning: he stroked his recommendation “outperform” and halved his price target to 25 euros. He spoke of a “massive profit warning”. The prospects for the adjusted operational result (EBIT) this year are “very negative”. He fears further warnings, because it is not just the problem.
The goal of the MDAX company for the operational profit (EBIT) this year was significantly below the current market expectation and even more clearly under his assumption, wrote analyst Adam Cochrane from Deutsche Bank. The investor: Inside, it would be difficult to recognize what the real reason for the foreseeable decline in profits 2025.
Since the record high of autumn 2021, the Puma shares have been downhill, albeit with pronounced recreation phases. However, investors sold their shares in the respective recovery at ever lower prices. Adam Cochrane from Deutsche Bank now relies on the fact that investors, based on lower expectations, see light again at the end of the tunnel and recover Puma’s sales over the course of the year – and also in the coming years.