The film is very loosely based on Pablo Picasso's life, narrated by Toivo Pawlo, who introduces himself as Elsa Beskow. It opens with a quote by Picasso himself: "Art is a lie that leads us closer to the truth."
The story starts with Picasso's birth in Málaga, Spain. His father, Don Jose (Hans Alfredson), is an artist and discovers early his son's talent when the young boy makes a sculpture of Don Jose with his food.
When Pablo is old enough (and now portrayed by Gösta Ekman) his father takes him to Madrid, so that Pablo can study art. On their way, they encounter two robbers who try to hurt a beautiful girl named Dolores (Lena Olin). After a slapstick number in which Picasso defeats the two attackers, she gives him a bottle of paint, containing a djinn. With the paint from that bottle he signs all his paintings.
At the academy of art Pablo's talent is praised and awarded. When he returns home with a portrait of his mother Dona Maria (Margaretha Krook), he is equally praised there. Unfortunately, their happiness is ruined when Don Jose suddenly dies - or so it seems. At the funeral it turns out he's actually still alive. Despite this, Dona Maria keeps ignoring him with the words: "Idioto, tú es muerta" (= approximately, "You are dead, fool").
Pablo leaves for Paris, but has a hard time selling any of his paintings. One day his father comes to visit him, bringing the sad news that Dona Maria is dead. When Don Jose starts to eat an apple that Pablo used as a reference for his painting, Picasso starts to draw faster, still using the apple as reference. The result is the birth of cubism.
This new style, however, is very hard to sell - until Pablo's father gets an idea from a fishing rod. He lowers the painting down from a window during a vernissage. The overall reaction is negative, with comments like "Scandal", "Merde", "Oh, mon dieu" and "piss".
One of the guests however, finds the picture both charming and marvelous and declares that she wants to buy it. This lady is none other than the great writer Gertrude Stein (Bernard Cribbins), who is attending the vernissage with her companion Alice B. Toklas (Wilfrid Brambell).