Puma Puma takes a big leap

The Puma is showing its teeth. The German sportswear maker raised its 2005 guidance on earnings and sales due to strong US demand for its fashionable trainers, made famous by music icon Madonna. Sales to the Americas increased by 64% year-on-year in the third quarter and orders backlog from the region jumped 69%. Another year of record-busting profits is pencilled in. So how come Puma shares stubbornly trade at a discount to rival sportswear makers? The company is valued at 8.4 times this year’...