Coty (NYSE:COTY) Trading Up 8.9% – Time to Buy?

Shares of Coty (NYSE:COTY) traded up 8.9% during trading on Wednesday . The stock traded as high as $2.99 and last traded at $2.9850. Approximately 797,357 shares changed hands during trading, a decline of 92% from the average session volume of 9,626,727 shares. The stock had previously closed at $2.74.

More Coty News

Here are the key news stories impacting Coty this week:

• Positive Sentiment: Fourth-quarter revenue rose approximately 1% to $1.27 billion, exceeding Wall Street expectations. Prestige revenue increased 1% to $771.8 million, supported by fragrance demand. Reuters report on Coty earnings
• Positive Sentiment: Coty generated $116 million of operating cash flow and $72.6 million of free cash flow in the quarter. Fiscal-year free cash flow reached $348.2 million, giving the company some financial support while it restructures its brand portfolio. Coty fiscal 2026 results
• Neutral Sentiment: Coty appointed Soraya Benchikh as CFO effective September 1, replacing Laurent Mercier. The change follows a new operating structure intended to bring commercial decisions closer to regional markets and combine research and development with supply chain operations. Coty CFO appointment
• Negative Sentiment: Non-GAAP EPS was a loss of $0.02, missing the $0.01 loss expected by analysts. Reported net loss widened to $144.3 million for the quarter, while full-year revenue fell 2% to $5.81 billion and full-year net loss reached $618 million. Zacks Coty earnings analysis
• Negative Sentiment: Management called fiscal 2027 a transition year and expects first-quarter like-for-like revenue to decline by a low- to mid-single-digit percentage. It also withheld full-year guidance, citing selective consumers, margin pressure and a business overhaul.
• Negative Sentiment: Coty will return its Gucci Beauty license to Kering, although the transition is expected to provide $400 million in proceeds plus inventory-related payments. Analysts reacted cautiously: RBC downgraded COTY to “sector perform” with a $3 price target, while Goldman Sachs maintained a “hold” rating. MarketWatch report on Coty

Wall Street Analysts Forecast Growth

A number of research analysts recently issued reports on the company. The Goldman Sachs Group reaffirmed a “neutral” rating and issued a $2.60 price target on shares of Coty in a report on Thursday. TD Cowen raised their price objective on shares of Coty from $2.30 to $2.90 and gave the company a “hold” rating in a research report on Thursday, May 7th. Morgan Stanley set a $2.50 target price on shares of Coty in a research note on Thursday, May 7th. Royal Bank Of Canada lowered shares of Coty from an “outperform” rating to a “sector perform” rating and set a $3.00 target price on the stock. in a research report on Thursday. Finally, Weiss Ratings reissued a “sell (e+)” rating on shares of Coty in a report on Friday, August 7th. Fourteen equities research analysts have rated the stock with a Hold rating and three have given a Sell rating to the company. According to data from MarketBeat.com, Coty presently has a consensus rating of “Reduce” and an average target price of $3.35.

Coty Trading Down 9.2%

The company has a debt-to-equity ratio of 0.97, a quick ratio of 0.49 and a current ratio of 0.82. The company has a market capitalization of $2.42 billion, a price-to-earnings ratio of -3.93, a P/E/G ratio of 0.87 and a beta of 0.97. The business’s 50-day simple moving average is $2.44 and its 200-day simple moving average is $2.35.

Coty (NYSE:COTY) last issued its quarterly earnings results on Wednesday, August 19th. The company reported ($0.02) EPS for the quarter, missing the consensus estimate of ($0.01) by ($0.01). Coty had a positive return on equity of 5.51% and a negative net margin of 10.42%.The business had revenue of $1.27 billion for the quarter, compared to analyst estimates of $1.19 billion. During the same quarter in the prior year, the firm earned ($0.05) EPS. The firm’s quarterly revenue was up 1.3% compared to the same quarter last year. Coty has set its Q1 2027 guidance at 0.110-0.130 EPS. On average, research analysts expect that Coty will post 0.34 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Coty

Several institutional investors have recently modified their holdings of COTY. Hsbc Holdings PLC grew its holdings in shares of Coty by 2,291.6% in the 4th quarter. Hsbc Holdings PLC now owns 583,366 shares of the company’s stock valued at $1,816,000 after buying an additional 558,974 shares during the period. Vanguard Group Inc. raised its position in shares of Coty by 5.8% during the fourth quarter. Vanguard Group Inc. now owns 39,903,562 shares of the company’s stock worth $122,903,000 after purchasing an additional 2,199,420 shares during the period. Renaissance Technologies LLC raised its holdings in Coty by 177.6% during the 1st quarter. Renaissance Technologies LLC now owns 1,311,687 shares of the company’s stock worth $2,636,000 after buying an additional 839,257 shares during the period. Maverick Capital Ltd. bought a new position in Coty in the first quarter valued at approximately $2,536,000. Finally, First Trust Advisors LP lifted its stake in Coty by 827.5% in the first quarter. First Trust Advisors LP now owns 2,018,890 shares of the company’s stock valued at $4,058,000 after buying an additional 1,801,209 shares in the last quarter. 42.36% of the stock is currently owned by institutional investors and hedge funds.

About Coty

Coty Inc is a multinational beauty company specializing in the development, manufacturing and marketing of fragrances, color cosmetics and skin and body care products. Established in 1904 by François Coty in Paris, the company has grown through a blend of organic innovation and strategic acquisitions to become one of the leading players in the global beauty industry. Coty’s portfolio encompasses a broad range of consumer and luxury brands, reflecting its commitment to catering to diverse consumer preferences and market segments.

The company’s product offerings span three main divisions: Coty Luxury, Coty Consumer Beauty and Coty Professional Beauty.