Why smart investors should be looking at Gerresheimer, Desert Gold, and Puma NOW!

Gerresheimer – In transition

Gerresheimer's latest figures do not exactly read like a success story. After a disappointing third quarter, the packaging specialist has significantly lowered its expectations for the full year 2025. Instead of the hoped-for slight growth, the Company now expects an organic decline in revenue of up to 4%. The operating margin is also expected to be below the previous forecast. One bright spot in the preliminary reports is the positive free cash flow, which at least signals a certain degree of financial stability. In any case, the current performance is significantly weaker than expected by the Company's management.

Gerresheimer cites two main factors for this setback: a continuing slump in the cosmetics business and declining demand for packaging of liquid oral medications. Revenues declined noticeably in organic terms, particularly in the glass packaging segment. The growth that has been recorded was driven primarily by acquisitions such as the integration of Bormioli Pharma, not by existing business activities. This dependence on external impulses underscores the current challenges in the Company's core markets.

The Company's management has now responded to the weakening trend with a comprehensive transformation program. The plan is to get costs under control through operational improvements and an optimized production network. This should lead to a noticeable increase in efficiency. A specially created Transformation Office, which reports directly to the CFO and is tasked with applying considerable pressure, is responsible for these measures. At the same time, the spin-off of the molded glass business is being pushed forward. This division is to be managed independently from 2026 and is expected to be sold in order to sharpen the focus on more profitable segments. The share is currently trading at EUR 28.76, close to its annual low of EUR 27.22.

Desert Gold – Time to pay attention

While many gold stocks have benefited from the macroeconomic environment in recent months, Desert Gold has lagged. The reason lies in Mali, where the ongoing dispute between mining giant Barrick Mining and the government has created uncertainty. But things are starting to move now! The military government has concluded new mining agreements with several mine operators, signaling a certain stabilization of the situation and potentially bringing long-awaited calm to the entire sector in the country. For Desert Gold, whose flagship SMSZ project is located in Mali, this means that the greatest obstacle to investment may finally be disappearing. The stock, therefore, has noticeable catch-up potential that the market has overlooked so far.

The SMSZ project itself is impressive with its well-thought-out, step-by-step approach. A recently published Preliminary Economic Assessment (PEA) focuses deliberately on oxide ores, which are easier and cheaper to mine. Initial capital expenditures are modest at around CAD 15 million, while the internal rate of return remains strong. The real strength lies in the underlying strategy. The construction of a small-scale processing plant is expected to generate its own cash flow, which can then cover operating costs and finance further exploration across the extensive license area. With more than 30 identified gold zones still to be developed, the project has significant organic growth potential.

At the same time, Desert Gold is broadening its footprint in the more stable Côte d'Ivoire. The newly acquired Tiegba Gold project is a classic, early-stage exploration asset with high leverage potential. Covering a large area in an established gold belt, the project features a promising gold anomaly several kilometers long that has never been drilled. A targeted exploration program, which is set to begin soon, will test this anomaly for the first time. If the suspicion of a larger gold system is confirmed, the discovery could unlock significant upside potential beyond the Mali project. The share is currently trading at CAD 0.075.

Puma – Why the future is now

Puma's current balance sheet does not exactly read like a textbook example of strength. Its core markets in North America and Europe are noticeably weak, leading to a significant decline in sales. The situation is even more serious when it comes to profitability. Instead of the hoped-for profits, an operating loss is expected for this year. In addition, high US tariffs amounting to millions are weighing on earnings. This combination of weak demand and margin pressures has severely dampened investor confidence in recent months and put pressure on the share price.

Despite the gloomy present, there are arguments for a long-term turnaround. A new management team with experienced industry minds has taken the helm and is prioritizing clear goals: cost discipline and a leaner operating structure. Capital expenditures have already been cut. A revised strategy is expected by the end of October, which is intended to sharpen the brand and focus on more profitable segments. The focus is on addressing structural problems in sales and logistics.

Perhaps the greatest potential lies in the current valuation, which already seems to price in many weaknesses. In addition, Puma continues to have strong assets, such as its exclusive partnership with the fitness sport Hyrox, a global growth segment. If the new management succeeds in implementing the planned operational improvements and strengthening brand perception, the current low point could represent an interesting entry opportunity for patient investors. The road to recovery will take time, but the course is now being set. The share price is currently EUR 21.62.

Turbulent markets offer the greatest opportunities for strategic investors. Gerresheimer is undergoing a profound transformation process that is intended to make the Company more efficient and focused. Desert Gold is benefiting from the political calm in Mali, which could unlock the immense catch-up potential of its flagship project. Puma, on the other hand, is focusing on strict cost control and a long-overdue strategic realignment under new management in order to navigate its way out of its current phase of weakness. For patient investors, all three stocks offer interesting turnaround stories.