Coty (NYSE:COTY) Stock Falls 7.3% – Here’s What Happened
by Jessica Moore · The Cerbat GemCoty (NYSE:COTY – Get Free Report) shares were down 7.3% on Tuesday. The stock traded as low as $3.20 and last traded at $3.2250. 6,079,350 shares changed hands during mid-day trading, a decline of 30% from the average daily volume of 8,684,212 shares. The stock had previously closed at $3.48.
Coty News Summary
Here are the key news stories impacting Coty this week:
- Positive Sentiment: For fiscal Q1 2027, Coty reported adjusted earnings of $0.16 per share, above the $0.12 consensus, and revenue of $1.56 billion, ahead of estimates. The company also said results exceeded expectations for adjusted EBITDA and that free cash flow improved significantly. Coty Q1 results
- Positive Sentiment: Coty’s core Prestige brands returned to growth, helping narrow the company’s overall revenue decline. It also extended its Marc Jacobs Beauty license for 40 years, securing a long-term part of its Prestige portfolio. Prestige brands return to growth Marc Jacobs license extension
- Neutral Sentiment: Coty signaled that it expects to complete its strategic review by the end of calendar 2026; coverage also cited a $400 million Gucci-related deal. The review could shape Coty’s portfolio and finances, but its eventual outcome remains uncertain. Strategic review and Gucci deal
- Negative Sentiment: Revenue fell 1.4% year over year, and reports flagged shrinking margins. Coty also forecast a soft second-quarter profit as higher costs weigh on its turnaround, tempering the earnings beat. Second-quarter profit outlook
Wall Street Analyst Weigh In
COTY has been the topic of a number of research reports. TD Cowen assumed coverage on shares of Coty in a research report on Friday, October 30th. They set a “hold” rating on the stock. Citigroup raised their price target on shares of Coty from $2.80 to $3.00 and gave the company a “neutral” rating in a report on Wednesday, October 14th. Zacks Research cut shares of Coty from a “hold” rating to a “strong sell” rating in a research report on Monday, October 26th. Royal Bank Of Canada cut shares of Coty from an “outperform” rating to a “sector perform” rating and set a $3.00 price objective for the company. in a research report on Thursday, August 20th. Finally, Morgan Stanley upped their price objective on Coty from $2.50 to $2.75 and gave the stock an “equal weight” rating in a report on Tuesday, August 25th. One research analyst has rated the stock with a Buy rating, nine have given a Hold rating and three have issued a Sell rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Reduce” and a consensus target price of $3.21.
Check Out Our Latest Analysis on Coty
Coty Price Performance
The firm has a market capitalization of $3.44 billion, a price-to-earnings ratio of 13.88, a price-to-earnings-growth ratio of 0.67 and a beta of 0.83. The company has a quick ratio of 0.42, a current ratio of 0.75 and a debt-to-equity ratio of 0.96. The company’s fifty day moving average is $2.92 and its two-hundred day moving average is $2.55.
Coty (NYSE:COTY – Get Free Report) last released its earnings results on Wednesday, November 4th. The company reported $0.16 EPS for the quarter, topping analysts’ consensus estimates of $0.12 by $0.04. The firm had revenue of $1.56 billion during the quarter, compared to analyst estimates of $1.53 billion. Coty had a negative net margin of 9.74% and a positive return on equity of 7.05%. The business’s quarterly revenue was down 1.4% compared to the same quarter last year. During the same quarter in the previous year, the business earned $0.12 EPS. Equities research analysts anticipate that Coty will post 0.31 earnings per share for the current fiscal year.
Hedge Funds Weigh In On Coty
A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Assenagon Asset Management S.A. increased its position in shares of Coty by 11.1% in the 2nd quarter. Assenagon Asset Management S.A. now owns 6,871,724 shares of the company’s stock valued at $14,843,000 after buying an additional 684,052 shares in the last quarter. M&G PLC grew its stake in Coty by 7.9% in the third quarter. M&G PLC now owns 3,675,063 shares of the company’s stock valued at $9,592,000 after acquiring an additional 268,653 shares during the period. Pacer Advisors Inc. increased its holdings in shares of Coty by 2,300.9% in the first quarter. Pacer Advisors Inc. now owns 2,953,407 shares of the company’s stock worth $5,936,000 after acquiring an additional 2,830,397 shares in the last quarter. First Trust Advisors LP increased its holdings in shares of Coty by 827.5% in the first quarter. First Trust Advisors LP now owns 2,018,890 shares of the company’s stock worth $4,058,000 after acquiring an additional 1,801,209 shares in the last quarter. Finally, Renaissance Technologies LLC raised its position in shares of Coty by 177.6% during the first quarter. Renaissance Technologies LLC now owns 1,311,687 shares of the company’s stock worth $2,636,000 after purchasing an additional 839,257 shares during the period. Institutional investors own 42.36% of the company’s stock.
Coty Company Profile
Coty Inc is a global beauty company that develops, manufactures and markets fragrances, cosmetics, skin care and body-care products. Its portfolio includes luxury, prestige and mass-market brands, with products sold through department stores, specialty retailers, e-commerce platforms and other distribution channels.
The company’s brands have included CoverGirl, Rimmel London, Max Factor, Bourjois, Gucci Beauty, Calvin Klein, Marc Jacobs, Burberry, Hugo Boss and Chloé, among others. Coty also participates in professional beauty through hair-care and salon brands, including the Wella portfolio.
Founded in Paris in 1904 by François Coty, the company built its early reputation in fragrance before expanding into broader beauty categories and international markets.
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