Puma SE (PUM · XETR)
Back in the Running
Puma designs trainers, boots and sporting apparel, and is the third-largest name in the space globally. As sportswear becomes everyday wear, Puma is looking to grow its direct to consumer sales and win market share off its rivals.
Bull case for Puma SE
A Brand People Already Know
Decades of football, running and motorsport heritage give Puma instant recognition in most markets.
Outsourced Factories, Flexible Costs
Puma owns almost no factories, so it can shift production and adjust volumes as demand moves.
Selling Direct Earns More
Its own shops and website keep the retailer's cut, lifting the money made per item sold.
Bear case for Puma SE
Squeezed Between Two Giants
Nike and Adidas spend far more on marketing and athletes, crowding Puma off shelves.
Wholesale Buyers Call the Shots
If retailers cut orders or discount heavily, Puma's sales and prices fall with them.
Fashion Taste Can Turn Fast
Sportswear trends shift quickly, and unsold stock has to be cleared at a discount.