After the publication of its latest results, Puig has suffered a setback on the stock market that caught the attention of investors: the share fell by more than 7% in a single day. The slowdown in the growth of the fragrance market, together with a less favorable context in currencies, was enough to raise short-term doubts.
A solid business behind the volatility
Beyond the correction, analysts agree that Puig remains a benchmark in the beauty and luxury sector. Its portfolio of iconic brands in perfumery, makeup and skin care, added to its international presence, give it a differential position difficult to replicate.
Stock market specialists recommend buying
Most analysis firms maintain their buy recommendation, even after the fall. The consensus places the target price of the share at around 22-23 euros, which represents an interesting upward path compared to current levels. For many experts, the recent correction does not reflect structural weakness, but an adjustment in expectations after months of strong revaluation.
However, there are factors to watch out for: the high dependence on the fragrance business, an increasingly intense competitive environment, and the pressure exerted by costs and euro/dollar movements on its margins. A second half of the year with more moderate growth is also expected.
Puig's case demonstrates that in the cosmetics and beauty sector, market fluctuations do not always reflect the true strength of a company. Beyond the quarterly figures, the group continues to build a premium beauty empire that combines heritage, creativity and international expansion. For those who follow the industry closely, the recent correction is less of a stumble and more of an opportunity to assess the solidity of its strategy.