Beiersdorf Ramps Up Share Buybacks as Nivea Weakness Hits 52-Week Low

The divergence between Beiersdorf’s booming medical skincare division and its struggling core brands has become impossible to ignore. While Eucerin and Aquaphor post double-digit gains, Nivea is shrinking at a pace that has sent the stock to its lowest level in a year. On Wednesday, the shares touched exactly €70.00, a fresh 52-week trough that extends a slide leaving the DAX-listed company down roughly 24% since the start of 2025.

The sell-off has wiped out more than half the value from the all-time high of nearly €148 reached in 2024. Management is now fighting back with a sizable capital return program. In early May, Beiersdorf bought back 34,800 of its own shares via a mandated bank, the first tranche of a €100 million phase. The full buyback authorisation runs to €750 million and is scheduled to run until the end of next year.

The buyback follows a first quarter that fell short of market expectations. Group organic revenue declined 4.6% to €2.48 billion, while analysts had pencilled in a drop of just over 3%. The consumer business, which accounts for the bulk of sales, told a tale of two halves: Nivea organic sales fell 7.0%, and the luxury label La Prairie plunged nearly 15% as Chinese travel retail disruptions and a weak US market took their toll. By contrast, the derma division, built around Eucerin and Aquaphor, expanded 8.2% organically. Health Care edged up 1.9%.

Should investors sell immediately? Or is it worth buying Beiersdorf?

The strength in medical skincare is not enough to offset the broader malaise. Eucerin’s performance in China was particularly striking, with sales jumping 87%, yet the gains remain concentrated in a niche that cannot compensate for weakness in the mass-market flagship. Management has acknowledged the need for a comprehensive realignment of the Nivea brand and is counting on new product launches to revive momentum in the second half of the year.

For now, the share price is getting little support from the operating story. The stock closed Tuesday at €71.02, trading almost 22% below its 200-day moving average — a technical signal that underscores the depth of the bearish sentiment. Analysts have responded by trimming their price targets. Barclays reduced its fair value estimate to €82, while LBBW now sees the shares at €94. Both recognise the potential of the derma segment but insist that sustainable growth at Nivea is needed before a floor can form.

Despite the dismal start to the year, the board has held firm on its full-year guidance, reiterating a forecast of stable to slightly rising revenues. The buyback provides a near-term prop, but the real test will come with the half-year results due in the summer. Until the core-brand renaissance materialises on shop shelves, the pressure on Beiersdorf’s equity looks set to persist.

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