Puma Shares Fall on Bernstein's Negative Outlook

German sportswear manufacturer Puma's shares fell 4.5% on Thursday after investment company Bernstein published a weaker forecast ahead of the company's second quarter results.

Bernstein now projects a 9% decline in Puma's second quarter revenue in constant currency terms, while according to the report, revenue could fall by 9.6%. The company also lowered its full-year earnings per share forecast, citing difficult conditions in the U.S. market and declining demand.

Analysts expect Puma to record approximately 83 million euros in net losses in the second quarter. Nevertheless, the company's overall gross margin could expand to 47.3%, supported by lower discounts, growth in direct-to-consumer sales, and improved pricing.

By region, the weakest results are expected in the American market, where sales could decline by 14%. In Europe, the decline will reach 11%, while the Asia-Pacific region is projected to see 5% growth in sales.