Puma: Stifel downgrades stock
(CercleFinance.com) - Stifel downgrades Puma shares from "buy" to "hold", slashing its target price for them from E43 to E25 (cp: E22.
9, +0.7%).
The two consecutive major setbacks in January and March 2025 have led to massive earnings revisions in a very short space of time, raising doubts about the level of control over operations and the attractiveness of the brand, the analyst says.
Against this backdrop, Stifel believes that medium-term forecasts for 2027 (communicated in January) of an EBIT margin of 8.5% are further called into question. The broker also points to a lack of visibility on the success of the company's branding strategy, which is essential to achieving this target.
Our new forecasts are lower than those for 2027, as this medium-term target is, in our opinion, somewhat illusory, it concludes.
Copyright (c) 2025 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
9, +0.7%).
The two consecutive major setbacks in January and March 2025 have led to massive earnings revisions in a very short space of time, raising doubts about the level of control over operations and the attractiveness of the brand, the analyst says.
Against this backdrop, Stifel believes that medium-term forecasts for 2027 (communicated in January) of an EBIT margin of 8.5% are further called into question. The broker also points to a lack of visibility on the success of the company's branding strategy, which is essential to achieving this target.
Our new forecasts are lower than those for 2027, as this medium-term target is, in our opinion, somewhat illusory, it concludes.
Copyright (c) 2025 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.