Jefferies analyst David Hayes has maintained their bullish stance on PUIG stock, giving a Buy rating on March 26.
David Hayes has given his Buy rating due to a combination of factors that highlight Puig Brands, S.A.’s strong market position and financial performance. The company is expected to report a solid first quarter in 2025 with a 7.1% like-for-like growth, driven by robust performance in its Fragrance division. Despite concerns about a potential slowdown in the fragrance market, Puig’s diverse portfolio, including men’s and niche products, provides a protective buffer against such risks.
Additionally, the company’s financial metrics are favorable, with the stock trading at less than 10 times EV/EBITDA and under 15 times P/E based on the firm’s fiscal year 2025 estimates. These valuations suggest that the stock is undervalued, presenting a compelling buying opportunity for investors. The slight increase in the FY25 EPS forecast by 1.9%, despite a 30 basis points headwind from foreign exchange since the last update, further supports the positive outlook for Puig Brands, S.A.
In another report released on March 26, Barclays also maintained a Buy rating on the stock with a €22.90 price target.