Citi upgrades Puma to buy on China upside, margin expansion

Anta Sports Products

04/06/2026 07:25

** Citi upgrades Puma PUMG.DE to "buy" from "neutral," seeing major mid-term growth opportunity in Greater China following Anta's acquisition of a stake in the German company
** The brokerage sees "meaningful scope" for gross margin expansion forecasting +240bps/-50bps/+140bps in FY26, FY27 and FY28
** Citi expects channel mix, FX, regional mix and promotions reduction helping Puma
** These factors will more than offset headwinds from sourcing and freight, it adds
** It expects a return to profitable growth in FY27, in-line with the sport apparel firm's guidance
** Shares are up 2.3% on Tradegate, up 18% YTD
** Out of 21 analysts covering the stock, 5 rate is "strong buy" or "buy," 13 hold and 3 "sell" or "strong sell" - LSEG data   

 (Reporting by Paolo Laudani in Gdansk)
 ((Paolo.laudani@thomsonreuters.com))