Zacks Investment Research lowered shares of Coty Inc. (NYSE:COTY) from a hold rating to a sell rating in a report issued on Thursday.
According to Zacks, “Coty’s shares have underperformed the Cosmetics & Toiletries industry in the last one year. We note that the consumer beauty segment have been witnessing sluggish results since past many quarters. Though the acquisitions of the P&G Beauty Business, Younique and the Hypermarcas Brands drove consumer beauty segment’s sales by more than 100% in the third-quarter fiscal 2017 results, organically, sales have declined 6%, primarily reflecting a negative price and mix impact. Declines in the retail nail, color cosmetics and hair color categories in the U.S. and mass fragrance in Western Europe and the U.S. are expected to continue to negatively impact business. While the company has a strong portfolio of brands and keeps innovating products to boost its sales, increasing competitive pressure, currency headwinds and changing consumer preferences have been the major deterrents for the company.”
Several other analysts also recently weighed in on COTY. Barclays PLC set a $19.00 target price on Coty and gave the company a hold rating in a research note on Saturday, May 13th. Royal Bank Of Canada restated a hold rating and set a $22.00 target price on shares of Coty in a research note on Sunday, July 16th. BidaskClub downgraded Coty from a sell rating to a strong sell rating in a research note on Wednesday, July 12th. Jefferies Group LLC assumed coverage on Coty in a research note on Friday, June 2nd. They set a hold rating and a $17.00 target price for the company. Finally, Societe Generale assumed coverage on Coty in a research note on Monday, June 12th. They set a buy rating and a $21.00 target price for the company. Four research analysts have rated the stock with a sell rating, eight have issued a hold rating and five have assigned a buy rating to the stock. Coty currently has a consensus rating of Hold and a consensus target price of $23.17.
Coty (NYSE:COTY) opened at 18.92 on Thursday. The company’s 50-day moving average price is $18.86 and its 200 day moving average price is $18.70. The firm’s market capitalization is $14.15 billion. Coty has a 52-week low of $16.95 and a 52-week high of $30.13.
Coty (NYSE:COTY) last issued its quarterly earnings data on Wednesday, May 10th. The company reported $0.15 EPS for the quarter, beating the Zacks’ consensus estimate of $0.11 by $0.04. The business had revenue of $2.03 million for the quarter, compared to analyst estimates of $1.94 billion. Coty had a positive return on equity of 9.12% and a negative net margin of 2.29%. The firm’s revenue for the quarter was down 99.8% on a year-over-year basis. During the same quarter in the prior year, the firm posted $0.09 EPS. Equities research analysts predict that Coty will post $0.75 earnings per share for the current year.
In related news, insider Sebastien Froidefond bought 18,839 shares of the business’s stock in a transaction that occurred on Friday, June 16th. The stock was acquired at an average price of $18.95 per share, for a total transaction of $356,999.05. Following the transaction, the insider now directly owns 81,479 shares of the company’s stock, valued at $1,544,027.05. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Laurent Kleitman bought 4,400 shares of the business’s stock in a transaction that occurred on Friday, June 9th. The shares were bought at an average price of $18.63 per share, with a total value of $81,972.00. Following the transaction, the insider now directly owns 35,400 shares in the company, valued at $659,502. The disclosure for this purchase can be found here. Insiders acquired a total of 188,620 shares of company stock valued at $3,588,363 in the last quarter. Corporate insiders own 16.10% of the company’s stock.
Coty Company Profile
Coty Inc is a beauty company. The Company operates through four segments: Fragrances, Color Cosmetics, Skin & Body Care and Brazil Acquisition. Its fragrance products include a range of men’s and women’s products. Its fragrance brands include Calvin Klein, Marc Jacobs, Davidoff, Chloe, Balenciaga, Beyonce, Bottega Veneta, Miu Miu and Roberto Cavalli.
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