Deep Dive Into Coty Stock: Analyst Perspectives (12 Ratings)

Coty COTY underwent analysis by 12 analysts in the last quarter, revealing a spectrum of viewpoints from bullish to bearish.

The table below summarizes their recent ratings, showcasing the evolving sentiments within the past 30 days and comparing them to the preceding months.

Analysts have set 12-month price targets for Coty, revealing an average target of $8.96, a high estimate of $13.00, and a low estimate of $6.00. This current average has decreased by 11.46% from the previous average price target of $10.12.

Exploring Analyst Ratings: An In-Depth Overview

The standing of Coty among financial experts is revealed through an in-depth exploration of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Coty. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Delving into assessments, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings communicate expectations for the relative performance of Coty compared to the broader market.
• Price Targets: Analysts gauge the dynamics of price targets, providing estimates for the future value of Coty's stock. This comparison reveals trends in analysts' expectations over time.

Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Coty's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.

Stay up to date on Coty analyst ratings.

Get to Know Coty Better

Coty is a global beauty maker that focuses on fragrance (59% of sales) and color cosmetics (28%), with limited exposure to skincare (5%) and body care (8%). For the fragrance business, Coty licenses luxury and high-end brands including Gucci, Burberry, Hugo Boss, Davidoff, and Calvin Klein, while its consumer cosmetics business focuses on acquired mass brands such as CoverGirl, Max Factor, Rimmel, Sally Hansen, and Bourjois. It also collaborates with social media celebrities Kim Kardashian and Kylie Jenner to launch makeup products bearing their names. By region, Coty generates close to 44% of sales from Europe, 42% from the Americas, and 14% from Asia-Pacific. German investment firm JAB is a controlling shareholder, with a 53% stake.

Coty's Economic Impact: An Analysis

Market Capitalization Analysis: With an elevated market capitalization, the company stands out above industry averages, showcasing substantial size and market acknowledgment.

Revenue Challenges: Coty's revenue growth over 3 months faced difficulties. As of 31 December, 2024, the company experienced a decline of approximately -3.34%. This indicates a decrease in top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Consumer Staples sector.

Net Margin: Coty's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of 1.22%, the company showcases strong profitability and effective cost management.

Return on Equity (ROE): Coty's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 0.52% ROE, the company effectively utilizes shareholder equity capital.

Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 0.17%, the company showcases effective utilization of assets.

Debt Management: Coty's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 0.97.

The Core of Analyst Ratings: What Every Investor Should Know

Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.

Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.

Beyond their standard evaluations, some analysts contribute predictions for metrics like growth estimates, earnings, and revenue, furnishing investors with additional guidance. Users of analyst ratings should be mindful that this specialized advice is shaped by human perspectives and may be subject to variability.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.