Coty (NYSE:COTY) Hits New 52-Week Low on Disappointing Earnings

Coty (NYSE:COTY)’s share price hit a new 52-week low during trading on Friday following a dissappointing earnings announcement. The company traded as low as $2.65 and last traded at $2.6880, with a volume of 1732123 shares changing hands. The stock had previously closed at $3.15.

The company reported $0.14 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.18 by ($0.04). Coty had a positive return on equity of 4.74% and a negative net margin of 6.60%.The business had revenue of $1.68 billion during the quarter, compared to analysts’ expectations of $1.66 billion. During the same period in the previous year, the business posted $0.11 EPS. The business’s quarterly revenue was up .5% compared to the same quarter last year.

More Coty News

Here are the key news stories impacting Coty this week:

• Positive Sentiment: Coty says its strategic review will continue after recent successful debt reduction, which reduces financial risk and supports flexibility for a turnaround. Coty continues strategic review following successful debt reduction
• Positive Sentiment: Royal Bank of Canada reiterated an “Outperform” rating, signaling some analyst confidence in recovery potential. Royal Bank Of Canada Reiterates “Outperform” Rating for Coty (NYSE:COTY)
• Positive Sentiment: Coty announced a partnership with OpenAI to scale AI tools across its organization — a strategic move that could boost efficiency and marketing effectiveness over time. Coty partners with OpenAI
• Positive Sentiment: Unusually large call-option buying has occurred recently, indicating some traders are positioning for an upside rebound. Traders Buy Large Volume of Call Options on Coty (NYSE:COTY)
• Neutral Sentiment: Revenue slightly beat expectations (reported ~$1.68B) and was roughly flat year-over-year, showing stability in top-line sales despite profit pressure. Coty (NYSE:COTY) Surprises With Q4 CY2025 Sales But Stock Drops 14%
• Neutral Sentiment: Coty filed its Form 10?Q for the quarter, providing updated disclosures for investors to review. Coty Announces Filing of Quarterly Report on Form 10-Q for the Fiscal Quarter Ended December 31, 2025
• Negative Sentiment: Profitability missed expectations: Coty reported EPS below consensus and swung to a quarterly loss, which directly pressured the stock. Coty Swings to Second-Quarter Loss, Withdraws Fiscal-Year Guidance
• Negative Sentiment: Management withdrew full-year guidance and announced a refocus on core brands under interim CEO Markus Strobel — a sign that near-term uncertainty and execution risk are elevated. Coty shifts focus to core brands under new CEO, withdraws full-year outlook
• Negative Sentiment: Management warned of lingering promotional pressures and margin compression, indicating lower near-term profitability even if sales stabilize. Coty tells investors to brace for lingering promotional pressures, margin compression

Analyst Ratings Changes

A number of research firms recently weighed in on COTY. TD Cowen cut their target price on shares of Coty from $3.50 to $3.40 and set a “hold” rating for the company in a report on Wednesday, January 21st. Canaccord Genuity Group set a $3.50 target price on shares of Coty in a research note on Monday. Zacks Research upgraded Coty from a “strong sell” rating to a “hold” rating in a report on Monday, November 24th. Rothschild & Co Redburn began coverage on Coty in a report on Tuesday, November 25th. They issued a “neutral” rating and a $3.60 price objective for the company. Finally, Citigroup dropped their price objective on shares of Coty from $4.25 to $3.50 and set a “neutral” rating on the stock in a research note on Wednesday, December 17th. Two investment analysts have rated the stock with a Buy rating, eighteen have issued a Hold rating and three have given a Sell rating to the company’s stock. Based on data from MarketBeat, Coty presently has an average rating of “Reduce” and an average price target of $4.82.

Hedge Funds Weigh In On Coty

A number of large investors have recently added to or reduced their stakes in COTY. Robeco Institutional Asset Management B.V. acquired a new stake in shares of Coty in the fourth quarter valued at about $32,000. Cornerstone Wealth Management LLC purchased a new position in Coty during the fourth quarter worth approximately $37,000. North Dakota State Investment Board purchased a new stake in Coty in the 4th quarter valued at $37,000. Objective Capital Management LLC acquired a new position in Coty in the 4th quarter valued at about $43,000. Finally, United Capital Financial Advisors LLC acquired a new stake in Coty during the third quarter worth $43,000. 42.36% of the stock is currently owned by institutional investors and hedge funds.

Coty Price Performance

The company has a market cap of $2.36 billion, a PE ratio of -5.88, a P/E/G ratio of 0.24 and a beta of 0.95. The company has a quick ratio of 0.54, a current ratio of 0.85 and a debt-to-equity ratio of 1.05. The stock has a 50-day simple moving average of $3.21 and a 200 day simple moving average of $3.85.

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.