diff --git a/lib/private/Share20/DefaultShareProvider.php b/lib/private/Share20/DefaultShareProvider.php
index 8c651dd889ca2..45a5aba21696c 100644
--- a/lib/private/Share20/DefaultShareProvider.php
+++ b/lib/private/Share20/DefaultShareProvider.php
@@ -44,6 +44,7 @@
 use OCP\Files\Folder;
 use OCP\Files\IRootFolder;
 use OCP\Files\Node;
+use OCP\IConfig;
 use OCP\IDBConnection;
 use OCP\IGroupManager;
 use OCP\IURLGenerator;
@@ -105,6 +106,7 @@ public function __construct(
 		IURLGenerator $urlGenerator,
 		ITimeFactory $timeFactory,
 		private IManager $shareManager,
+		private IConfig $config,
 	) {
 		$this->dbConn = $connection;
 		$this->userManager = $userManager;
@@ -547,6 +549,15 @@ public function deleteFromSelf(IShare $share, $recipient) {
 	protected function createUserSpecificGroupShare(IShare $share, string $recipient): int {
 		$type = $share->getNodeType();
 
+		$shareFolder = $this->config->getSystemValue('share_folder', '/');
+		$allowCustomShareFolder = $this->config->getSystemValueBool('sharing.allow_custom_share_folder', true);
+		if ($allowCustomShareFolder) {
+			$shareFolder = $this->config->getUserValue($recipient, Application::APP_ID, 'share_folder', $shareFolder);
+		}
+
+		$target = $shareFolder . '/' . $share->getNode()->getName();
+		$target = \OC\Files\Filesystem::normalizePath($target);
+
 		$qb = $this->dbConn->getQueryBuilder();
 		$qb->insert('share')
 			->values([
@@ -558,7 +569,7 @@ protected function createUserSpecificGroupShare(IShare $share, string $recipient
 				'item_type' => $qb->createNamedParameter($type),
 				'item_source' => $qb->createNamedParameter($share->getNodeId()),
 				'file_source' => $qb->createNamedParameter($share->getNodeId()),
-				'file_target' => $qb->createNamedParameter($share->getTarget()),
+				'file_target' => $qb->createNamedParameter($target),
 				'permissions' => $qb->createNamedParameter($share->getPermissions()),
 				'stime' => $qb->createNamedParameter($share->getShareTime()->getTimestamp()),
 			])->execute();
diff --git a/lib/private/Share20/Manager.php b/lib/private/Share20/Manager.php
index c7a42bbbf02e9..5d79e2e033e00 100644
--- a/lib/private/Share20/Manager.php
+++ b/lib/private/Share20/Manager.php
@@ -750,12 +750,12 @@ public function createShare(IShare $share) {
 			}
 
 			// Generate the target
-			$defaultShareFolder = $this->config->getSystemValue('share_folder', '/');
-			$allowCustomShareFolder = $this->config->getSystemValueBool('sharing.allow_custom_share_folder', true);
-			if ($allowCustomShareFolder) {
-				$shareFolder = $this->config->getUserValue($share->getSharedWith(), Application::APP_ID, 'share_folder', $defaultShareFolder);
-			} else {
-				$shareFolder = $defaultShareFolder;
+			$shareFolder = $this->config->getSystemValue('share_folder', '/');
+			if ($share->getShareType() === IShare::TYPE_USER) {
+				$allowCustomShareFolder = $this->config->getSystemValueBool('sharing.allow_custom_share_folder', true);
+				if ($allowCustomShareFolder) {
+					$shareFolder = $this->config->getUserValue($share->getSharedWith(), Application::APP_ID, 'share_folder', $shareFolder);
+				}
 			}
 
 			$target = $shareFolder . '/' . $share->getNode()->getName();
diff --git a/tests/lib/Share20/DefaultShareProviderTest.php b/tests/lib/Share20/DefaultShareProviderTest.php
index 3c816bcb02539..063cfeb517cfd 100644
--- a/tests/lib/Share20/DefaultShareProviderTest.php
+++ b/tests/lib/Share20/DefaultShareProviderTest.php
@@ -30,6 +30,7 @@
 use OCP\Files\File;
 use OCP\Files\Folder;
 use OCP\Files\IRootFolder;
+use OCP\IConfig;
 use OCP\IDBConnection;
 use OCP\IGroup;
 use OCP\IGroupManager;
@@ -98,6 +99,7 @@ protected function setUp(): void {
 		$this->urlGenerator = $this->createMock(IURLGenerator::class);
 		$this->timeFactory = $this->createMock(ITimeFactory::class);
 		$this->shareManager = $this->createMock(IShareManager::class);
+		$this->config = $this->createMock(IConfig::class);
 
 		$this->userManager->expects($this->any())->method('userExists')->willReturn(true);
 		$this->timeFactory->expects($this->any())->method('now')->willReturn(new \DateTimeImmutable("2023-05-04 00:00 Europe/Berlin"));
@@ -116,6 +118,7 @@ protected function setUp(): void {
 			$this->urlGenerator,
 			$this->timeFactory,
 			$this->shareManager,
+			$this->config,
 		);
 	}
 
@@ -478,6 +481,7 @@ public function testDeleteSingleShare() {
 				$this->urlGenerator,
 				$this->timeFactory,
 				$this->shareManager,
+				$this->config,
 			])
 			->setMethods(['getShareById'])
 			->getMock();
@@ -574,6 +578,7 @@ public function testDeleteGroupShareWithUserGroupShares() {
 				$this->urlGenerator,
 				$this->timeFactory,
 				$this->shareManager,
+				$this->config,
 			])
 			->setMethods(['getShareById'])
 			->getMock();
@@ -2569,6 +2574,7 @@ public function testGetSharesInFolder() {
 			$this->urlGenerator,
 			$this->timeFactory,
 			$this->shareManager,
+			$this->config,
 		);
 
 		$password = md5(time());
@@ -2668,6 +2674,7 @@ public function testGetAccessListNoCurrentAccessRequired() {
 			$this->urlGenerator,
 			$this->timeFactory,
 			$this->shareManager,
+			$this->config,
 		);
 
 		$u1 = $userManager->createUser('testShare1', 'test');
@@ -2770,6 +2777,7 @@ public function testGetAccessListCurrentAccessRequired() {
 			$this->urlGenerator,
 			$this->timeFactory,
 			$this->shareManager,
+			$this->config,
 		);
 
 		$u1 = $userManager->createUser('testShare1', 'test');