Shares of the company fell on a report that showed it may have overpaid for Kylie Cosmetics. What happened Shares of Coty (COTY -1.40%) were taking a dive today after Forbes removed Kylie Jenner from its list of billionaires and alleged that Jenner inflated the sales volumes of her company, Kylie Cosmetics.
What's happening with Coty's stock?
The deal immediately gave Coty much needed cash in a $750 million preferred equity investment. In July, the company named Sue Nabi as its new CEO, its third in a year, and saw organic revenue plunge 60% in its spring quarter. The stock began to recover in November as its organic sales loss improved to 19% in the September quarter.
Will Coty’s stock recover in 2021?
The stock began to recover in November as its organic sales loss improved to 19% in the September quarter. Shortly after, the company announced its sale of Wella to KKR for $2.5 billion, sharply lowering its debt burden. Coty enters 2021 with a shaky track record and still suffering from headwinds from the coronavirus pandemic.
Why should you hold Coty (Coty) in your portfolio in 2022?
Coty (COTY) has been benefiting from its six strategic pillars and gains from partnerships. Although management expects cost inflation in fiscal 2022, its saving efforts are noteworthy.
What is the target price for Coty?
COTY INC-CL A has an Investment Rating of HOLD; a target price of $9.000000; an Industry Subrating of Low; a Management Subrating of Low; a Safety Subrating of Low; a Financial Strength Subrating of Medium; a Growth Subrating of Medium; and a Value Subrating of High. COTY: What does Argus have to say about COTY?
Is Coty a good stock to buy now?
Coty has received a consensus rating of Buy. The company's average rating score is 2.63, and is based on 5 buy ratings, 3 hold ratings, and no sell ratings.
Is Coty stock expected to go up?
Stock Price Forecast The 13 analysts offering 12-month price forecasts for Coty Inc have a median target of 11.00, with a high estimate of 15.00 and a low estimate of 7.00. The median estimate represents a +56.03% increase from the last price of 7.05.
Why is Coty rising?
Thank Consumer Demand for Cosmetics and Fragrances. Beauty-products firm Coty reported strong fiscal-third-quarter earnings on Monday, and raised guidance.
What is Coty Inc net worth?
$5.52B.How much a company is worth is typically represented by its market capitalization, or the current stock price multiplied by the number of shares outstanding. Coty net worth as of May 10, 2022 is $5.52B. Coty Inc., along with its subsidiaries, manufactures, markets, and distributes beauty products worldwide.
Is COTY undervalued?
Coty - Hold Valuation metrics show that Coty may be undervalued. Its Value Score of B indicates it would be a good pick for value investors. The financial health and growth prospects of COTY, demonstrate its potential to outperform the market. It currently has a Growth Score of B.
Is COTY overvalued?
It's also worth considering Coty's current price-to-book ratio is approximately 2.17 times, well below that of competitors like The Estee Lauder Companies, with a price-to-book ratio of around 19.4 times, suggesting Coty is not currently overvalued.
Is Coty profitable?
The combination of gross margin expansion and accelerated cost savings allowed Coty to deliver profitability above expectations, while simultaneously reinvesting in the business. Specifically, in Q4 working media investments increased triple-digits versus last year and up over 30% versus 4Q19.
How many employees does Coty Inc have?
Coty Inc.The company's logoTypePublicBrandsBourjois Clairol CoverGirl ghd Kylie Cosmetics Max Factor OPI Rimmel Sally Hansen WellaRevenueUS$9.4 billion (2018)Number of employees20,000 (2018)9 more rows
Who owns Coty now?
Cottage Holdco B.V.Coty / Parent organization
Is Coty a Fortune 500 company?
Coty | 2022 Fortune 500 | Fortune.
Is Coty owned by P&G?
Coty Completes Merger with P&G Specialty Beauty Business.
How much did Coty lose in 2020?
Image source: Coty. Coty's performance went from an organic revenue decline of 1.4% in the fiscal second quarter of 2020, which ended in December 2019, to a 20% organic revenue decline in the subsequent quarter.
Did Coty buy Cover Girl?
Coty came into 2020 carrying a heavy debt burden after a deal to acquire Cover Girl and dozens of other beauty brands from Procter & Gamble didn't deliver the expected results. Those costs were magnified when the pandemic struck and Coty shares fell sharply as sales tanked across much of the cosmetics industry .
What happened
Coty 's ( COTY -1.19% ) problems continued last year, as the cosmetics maker struggled to absorb its acquisition of Cover Girl and other brands from Procter & Gamble and it saw further upheaval in its executive ranks, disrupting a potential turnaround.
So what
Coty shares jumped on second-quarter earnings in February, when the company beat estimates on the top and bottom lines. But those gains were short-lived.
Now what
Coty shares are already up 10% this year as the company has caught a tailwind from the market's recovery, and its leadership transition persisted with the naming of a new chief financial officer, chief global supply officer, and chief operating officer of consumer beauty, in an attempt to shore up the company's pain points.
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What happened
Shares of Coty ( COTY -1.19% ) were taking a dive today after Forbes removed Kylie Jenner from its list of billionaires and alleged that Jenner inflated the sales volumes of her company, Kylie Cosmetics. Coty paid $600 million for a 51% stake in Kyle Cosmetics last November.
So what
The Forbes article portrays the Kardashian-Jenner family as desperate to appear wealthier than they are, and alleges they inflated the sales of Kylie Cosmetics to get the youngest Jenner to appear on Forbes ' billionaires list.
NYSE: COTY
It seems that Coty was aware of what the real sales were at the time, but analysts and the investing public had heard and believed the numbers that had been widely reported in the media earlier. Even based on those numbers, a number of analysts thought that Coty was overpaying for the company, and questioned whether Kylie was a fad.
Now what
The revelations from Forbes come during a busy week for Coty as the company appears to be an acquisition target. Rumors are circulating that Henkel may acquire it, though the parties have been in talks for several months.
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4 Cosmetics Stocks Worth Watching on Robust Industry Trends
The Zacks Cosmetics industry benefits from increased makeup and skincare demand. Also, focus on innovation and product launches is aiding Estee Lauder (EL), Coty (COTY), Helen of Troy (HELE) and Inter Parfums (IPAR).
Coty (COTY) Beats on Q2 Earnings, Raises Bottom-line View
Coty's (COTY) second-quarter fiscal 2022 results reflect higher earnings and revenues on growth across all regions and channels. Management raises fiscal 2022 earnings view.
Coty cancels IPO plans for Brazil unit
"In light of the current economic volatility and adverse financial market conditions in Brazil, we have decided to withdraw from the IPO registration application process for the time being," said Laurent Mercier, Coty's chief financial officer, on a call with analysts.
Financial results from the retailers impressed investors, but there was something else from Burlington Stores that spooked them
Howard grew up in Philadelphia watching the Philly sports teams struggle for championships. He has been investing since 1989 and been a Fool since 2001. Prior to joining The Fool as a contract writer in 2019, Howard worked in the steel business as an engineer for 28 years.
What happened
Three retailers had equally strong quarterly earnings results, but one of the company's stocks went in a different direction. Shares of home retailer Williams-Sonoma ( NYSE:WSM) and beauty and cosmetics company Coty ( NYSE:COTY) soared on the news, but the stock of Burlington Stores ( NYSE:BURL) sank on a warning from the CEO. As of 11:15 a.m.
So what
Each retailer provided impressive rebounds from the pandemic-impacted previous-year period. Burlington reported a 34% increase in total sales compared to the second quarter of 2020, and 19% growth in comparable store sales.
Now what
Coty rode some tailwinds specifically in the sector as more people are socializing or returning to work in person. Its results were also mirrored by fellow beauty retailer Ulta Beauty, which had comparable sales jump 56.3%.
