Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.
Have you evaluated the performance of Coty's (COTY - Free Report) international operations for the quarter ending June 2026? Given the extensive global presence of this beauty products company, analyzing the patterns in international revenues is crucial for understanding its financial strength and potential for growth.
In today's increasingly interconnected global economy, a company's ability to tap into international markets can be a pivotal factor in shaping its overall financial health and growth trajectory. For investors, understanding a company's reliance on overseas markets has become increasingly crucial, as it offers insights into the company's sustainability of earnings, ability to tap into diverse economic cycles and overall growth potential.
International market involvement serves as insurance against economic downturns at home and enables engagement with economies that are growing more quickly. Still, this move toward diversification is not without its challenges, as it involves navigating through the fluctuations of currencies, geopolitical threats, and the distinctive nature of various markets.
While analyzing COTY's performance for the last quarter, we found some intriguing trends in revenues from its overseas segments that Wall Street analysts commonly model and monitor.
The company's total revenue for the quarter amounted to $1.27 billion, marking an increase of 1.3% from the year-ago quarter. We will next turn our attention to dissecting COTY's international revenue to get a clearer picture of how significant its operations are outside its main base.
A Closer Look at COTY's Revenue Streams AbroadAsia Pacific accounted for 14.6% of the company's total revenue during the quarter, translating to $185.6 million. Revenues from this region represented a surprise of +8.22%, with Wall Street analysts collectively expecting $171.51 million. When compared to the preceding quarter and the same quarter in the previous year, Asia Pacific contributed $173.6 million (13.6%) and $167 million (13.3%) to the total revenue, respectively.
During the quarter, EMEA contributed $528.9 million in revenue, making up 41.7% of the total revenue. When compared to the consensus estimate of $542.89 million, this meant a surprise of -2.58%. Looking back, EMEA contributed $597.6 million, or 46.6%, in the previous quarter, and $574.2 million, or 45.9%, in the same quarter of the previous year.
Prospective Revenues in International MarketsFor the current fiscal quarter, it is anticipated by Wall Street analysts that Coty will post revenues of $1.53 billion, which reflects a decline of 2.7% the same quarter in the previous year. The revenue contributions are expected to be 12.3% from Asia Pacific ($188.5 million), and 45.8% from EMEA ($703.21 million).
Analysts expect the company to report a total annual revenue of $5.7 billion for the full year, marking a decrease of 1.9% compared to last year. The expected revenue contributions from Asia Pacific and EMEA are projected to be 13.6% ($774.96 million), and 48.3% ($2.75 billion) of the total revenue, in that order.
Final ThoughtsCoty's reliance on international markets for revenues offers both opportunities and risks. Hence, keeping an eye on its international revenue trends could significantly help forecast the company's prospects.
In an era of growing international interdependencies and escalating geopolitical disputes, Wall Street analysts are vigilant in tracking these trends for businesses with a global reach, in order to refine their predictions of earnings. It should be noted, however, that a multitude of other elements, such as a company's domestic position, also play a significant role in shaping the earnings forecasts.
At Zacks, we place significant importance on a company's evolving earnings outlook. This is based on empirical evidence demonstrating its strong influence on a stock's short-term price movements. Invariably, there exists a positive relationship -- an upward revision in earnings estimates is typically mirrored by a rise in the stock price.
Our proprietary stock rating tool, the Zacks Rank, with its externally validated exceptional track record, harnesses the power of earnings estimate revisions to serve as a dependable measure for anticipating the short-term price trends of stocks.
Coty, bearing a Zacks Rank #3 (Hold), is expected to mirror the broader market's movements in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
Reviewing Coty's Recent Stock Price TrendsOver the past month, the stock has seen an increase of 3.4% in its value, whereas the Zacks S&P 500 composite has posted an increase of 2.3%. The Zacks Consumer Staples sector, Coty's industry group, has ascended 2.3% over the identical span. In the past three months, there's been an increase of 28.6% in the company's stock price, against a rise of 3.4% in the S&P 500 index. The broader sector has increased by 2.8% during this interval.
Coty Inc. posted a Q4 revenue beat, but weak guidance and lack of FY2027 visibility undermine confidence. Management labels FY2027 another 'transition year,' with recurring strategic churn and no clear turnaround in like-for-like sales trends. The Consumer Beauty division faces a strategic review, with potential divestitures or spin-offs, but execution risk remains until transactions close.
3 Beauty Stocks Off to an Ugly Start—Can 1 Stage a Comeback?Coty NYSE: COTY said it is shifting its internal focus toward retail sell-out and market-share gains as it works through a fiscal 2027 transition year, following a period in which sell-out trailed the broader beauty category.
Executive Chairman and Interim Chief Executive Officer Markus Strobel said the company historically had been more focused on sell-in, or shipments to retailers, and is now changing incentives to better align with consumer demand at the shelf. Market share and sell-out have become important measures in Coty’s fiscal 2027 bonus systems, he said.
Get Coty alerts:
Rebalancing in 2025: Here Are 3 Stocks to Buy Under $10“Our objective is to drive sell-out and to drive market share,” Strobel said. He said Coty expects first-quarter trends to resemble the past two quarters before improving sequentially, supported by incremental innovation, more disciplined spending and a narrower set of investment priorities.
Strobel said the pace at which Coty can reduce its sell-out gap versus the market represents a key source of potential upside or risk. Faster progress would benefit results, while a slower recovery would require the company to manage accordingly.
Consumer Beauty Changes Begin in U.S., Expand to Europe Estée Lauder undergoes a profit makeover to swoon investors Coty has begun a Consumer Beauty performance-improvement effort called Color the Future, which Strobel described as a consumer-focused version of its Coty.Curated initiative. The program began in the U.S. in January and includes simplifying product lineups, reducing the number of SKUs, concentrating investment behind fewer initiatives and prioritizing stronger innovation.
The initial efforts have focused largely on COVERGIRL and Sally Hansen. Strobel said both brands materially reduced their gap versus the category during the year, while Sally Hansen has begun to grow ahead of the market in value.
He attributed the progress more to equity-building advertising and targeted innovation than increased promotions. COVERGIRL has returned to national television advertising, aimed at Gen X consumers, with investment concentrated behind its Simply Ageless and LashBlast franchises. Sally Hansen has also resumed national advertising in nail care, while its Insta-Dri innovation has received a strong consumer response, Strobel said.
The company expects the actions to support Consumer Beauty profitability over time by reducing returns and obsolescence. Strobel said that selling fewer, faster-moving SKUs should lower excess inventory and the risk of products being returned by U.S. retailers when innovation does not sell through.
Coty plans to extend the approach across Europe. The company has already rolled out initiatives in the U.K. and said Rimmel has shown initial traction there, catching up with the category in the latest month. Strobel said brands including Max Factor, Bourjois and Manhattan will be among the European brands receiving the interventions in coming weeks and months.
On shelf space, Strobel said Coty expects its overall U.S. shelf presence to remain stable during fall resets. The company has “lost a bit” and “gained a bit,” he said, but does not currently see a major risk of shelf-space losses. Coty said a roughly 20% reduction in shelf SKUs is not expected to have a material sales impact, as it seeks to allocate space to products with faster turnover.
Pricing, Promotions and Consumer Beauty Review Strobel said prestige beauty faced significant price competition during the October-to-December holiday season, though that pressure has eased since then. In Consumer Beauty, he said companies are becoming more selective about pricing rather than implementing broad-based increases or reductions.
“That differentiation is, I think, going to help stabilize this pricing and promotion environment a little in the next couple of months,” Strobel said.
Coty is continuing its strategic review of Consumer Beauty and intends to conclude it by the end of calendar 2026. Strobel called that deadline a “very strong aspiration,” while noting the company could take additional time if doing so produced a substantially better outcome.
Although Brazil could be easier to separate because it is “very ring-fenced,” Strobel said Coty is not pursuing simply the easiest path. Instead, it is evaluating the Consumer Beauty business as a whole and seeking the option that creates the most value.
Brazil has returned to growth following what Strobel described as a “wobble” early in the year. He said the market is growing, Coty is growing, and the company expects to regain share in the country.
Gucci Exit, Cost Actions and Fiscal 2028 Goal Looking beyond fiscal 2027, Strobel said Coty is targeting a return to growth for its underlying portfolio excluding Gucci in fiscal 2028. The company is seeking to drive growth through a sharper focus on major global brands such as Burberry and Hugo Boss, as well as through more incremental innovation designed to lift entire brand franchises.
As an example, Strobel pointed to BOSS Bottled Beyond, which he said was among the year’s top two male fragrance launches but did not materially lift the broader Hugo Boss franchise. Coty has since launched BOSS Bottled Beyond for Her, beginning in travel retail, to establish a women’s business that it believes can also create a halo effect for the male franchise.
Coty is also bringing in new brands, including Swarovski and Etro, next year, Strobel said. Travel retail remains an important channel because it can provide prominent displays and brand-building opportunities, in addition to sales. He said Coty’s travel-retail business is growing nicely.
The company also plans a restructuring program to address the future loss of Gucci-related sales and profit. Strobel said the program is expected to cover Coty’s go-to-market setup, manufacturing and distribution network, organizational layers and central functions. He said Coty wants its cost-savings and restructuring actions alone to offset the impact, with portfolio growth providing additional support.
Coty said it was pleased with its agreement with Kering related to Gucci, citing compensation equivalent to a year of profit and cash, funds to support debt reduction, restructuring-related proceeds and a resolution to inventory matters. Strobel said the company expects to provide more details on its restructuring plans in coming months, after considering interdependencies with the Consumer Beauty review.
Outlook and Potential Variables On profitability, Strobel said Coty’s ability to reduce the EBITDA decline seen in the prior two quarters could be influenced by conditions in the Middle East, oil prices, tariff refunds and continuing productivity savings. The company has included $20 million to $30 million of costs in its assumptions for oil prices between $90 and $100, he said, and is also awaiting a potential tariff refund of about $30 million.
In closing remarks, Strobel said Coty had seen improvements during the quarter but was not satisfied with its current performance. The company provided guidance only for the first quarter, while targeting fiscal 2027 EBITDA “above $50” and free cash flow close to fiscal 2026 levels, as stated on the call.
“Our priorities are straightforward: improve sell-out, close the gap to market, strengthen profitability,” Strobel said.
About Coty (NYSE: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.
This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].
Continue following MarketBeat
Add MarketBeat as your preferred source on Google to see our latest stories in your feed.
Should You Invest $1,000 in Coty Right Now?Before you consider Coty, you'll want to hear this.
MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Coty wasn't on the list.
While Coty currently has a Reduce rating among analysts, top-rated analysts believe these five stocks are better buys.
View The Five Stocks Here
MarketBeat just released its list of the 7 hottest IPOs expected to hit Wall Street in 2026. See which companies are preparing to go public and why investors are watching closely.
Key Takeaways Coty's Q4 revenues rise 1% and beat estimates, while it reported wider than expected loss per share.Margin pressure from tariffs, lower cost absorption and excess inventory weighed on profitability.Stronger cash flow and lower debt support Coty as it navigates a softer fiscal 2027 start. Coty Inc. (COTY - Free Report) posted a fourth-quarter fiscal 2026 adjusted loss of two cents per share, improving 60% from the year-ago loss of five cents. The result was wider than the Zacks Consensus Estimate of a one-cent loss and represented a negative earnings surprise of 100%.
Net revenues rose 1% year over year to $1,269.2 million and beat the consensus estimate of $1,193 million by 6.4%. Reported sales included a 3% foreign-exchange benefit, while like-for-like (LFL) revenues dipped 1%.
Coty’s shares tumbled more than 5%, following the wider-than-expected loss per share. This Zacks Rank #3 (Hold) stock has dipped 1.6% year to date compared with the industry’s 2.2% drop.
COTY's Margins Face Cost PressureReported and adjusted gross margin was 60.9%, down 140 basis points year over year. Lower cost absorption from soft volumes, elevated excess and obsolescence charges in both divisions, and tariffs weighed on profitability.
Adjusted operating income fell 42% year over year to $39.5 million, while adjusted operating margin contracted 230 basis points year over year to 3.1%. Adjusted EBITDA declined 26% to $93.6 million, with the margin shrinking 270 basis points to 7.4%.
Coty's Prestige Sales Edge HigherPrestige revenues increased 1% on a reported basis to $771.8 million and represented 61% of total sales. Foreign exchange added 2%, while LFL revenues slipped 0.5%, consisting of an estimated 1.5% Middle East conflict headwind. Our model expects Prestige revenues of $731.2 million for the fiscal fourth quarter.
Higher Prestige cosmetics and fragrance sales were partly offset by lower skincare sales. Adjusted operating income decreased 19% year over year to $60.2 million. Reported operating performance faced pressure from lower fragrance shipments, tariff costs, weaker cost absorption and higher fixed costs.
COTY's Consumer Beauty Sales ImproveConsumer Beauty revenues advanced 1% year over year to $497.4 million and accounted for 39% of total sales. The segment benefited 4% from foreign exchange, but LFL revenues fell 3%, including an estimated 1% Middle East headwind. Our model expects Consumer Beauty revenues of $461.6 million.
Mass body and skincare sales increased, partly offset by lower mass color cosmetics sales. The adjusted operating loss widened to $20.7 million from a loss of $7 million, while adjusted EBITDA fell 67% to $7.8 million.
Coty's Regional Trends Stay MixedAmericas revenues climbed 9% year over year to $554.7 million and increased 6% on an LFL basis. Growth was driven by the United States, Brazil and regional Travel Retail, partly offset by soft sales in Canada. Our model expects Americas revenues to drop 3% year over year to $495.9 million.
EMEA revenues dropped 8% year over year to $528.9 million and declined 10% on an LFL basis, reflecting weakness in the Middle East, Germany and Central and Eastern Europe. We anticipate EMEA revenues to drop 8.5% year over year to $525.4 million.
Asia Pacific revenues rose 11% to $185.6 million and increased 7% on a LFL basis, supported by China, Southeast Asia, Australia and New Zealand, and the regional Travel Retail channel. We expect Asia Pacific revenues to increase 2.7% year over year to $171.5 million.
COTY's Cash Flow and Debt Position StrengthenCash flow from operating activities increased to $116 million from $83.2 million a year earlier. Free cash flow more than doubled to $72.6 million from $34.9 million.
For fiscal 2026, operating cash flow rose to $537.8 million from $492.6 million a year ago, and free cash flow increased to $348.2 million from $277.6 million. Total debt declined to $3.1 billion as of June 30, 2026, from $3.2 billion at March 31, 2026.
Financial net debt decreased to $2.91 billion from $2.96 billion over the same period, while the financial leverage ratio stood at 3.4 times.
Coty's Portfolio Moves Sharpen the FocusCoty agreed with Kering on an early transition of the Gucci Beauty license. The company received $250 million at signing and is set to receive another $150 million no later than Sept. 30, 2027, with up to $30 million contingent on certain criteria.
The company will continue operating the Gucci Beauty brand through at least June 30, 2027. Its mitigation plans include accelerating core brands, maximizing newer portfolio additions and pursuing a significant fixed-cost reduction program. Coty continues to advance its Coty.Curated framework, focusing on sharper portfolio management and stronger execution to drive growth and enhance brand performance.
Coty is gaining momentum across Prestige and Consumer Beauty, driven by successful new launches, strong consumer response to Marc Jacobs Beauty and improving U.S. sell-out trends for CoverGirl and Sally Hansen.
COTY's Fiscal 2027 Outlook Points to TransitionFor the first quarter of fiscal 2027, Coty expects LFL revenues to decrease by a low- to mid-single-digit percentage, with foreign exchange having a neutral reported-revenue impact. Adjusted gross margin is projected to fall 50-100 basis points year over year, while adjusted EBITDA is expected to decline by a low-teens percentage.
Management expects first-quarter adjusted earnings, excluding the equity swap, of 11-13 cents per share. First-half fiscal 2027 free cash flow is projected to exceed $300 million.
Fiscal 2027 is expected to mark a transition toward stronger execution, as Coty advances its strategic review and implements Coty.Curated, with first-quarter EBITDA trends showing sequential improvement from year-over-year trends in the second half of fiscal 2026.
Key Consumer Staple PicksThe Chefs' Warehouse, Inc. (CHEF - Free Report) , which is a distributor of specialty food products in the United States, currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for Chefs' Warehouse's current financial-year sales indicates growth of 10.6% from the prior-year level. CHEF delivered a trailing four-quarter earnings surprise of 30.4%, on average.
Darling Ingredients Inc. (DAR - Free Report) , which produces sustainable natural ingredients derived from edible and inedible bio-nutrients, currently sports a Zacks Rank of 1.
The consensus estimate for Darling Ingredients’ current financial-year sales is expected to rise 12.8% from the year-ago reported figure. DAR delivered a trailing four-quarter earnings surprise of 38.9%, on average.
Utz Brands, Inc. (UTZ - Free Report) , which is a leading manufacturer of a diverse portfolio of salty snacks, currently carries a Zacks Rank #2 (Buy). UTZ delivered a trailing four-quarter earnings surprise of 1.8%, on average.
The Zacks Consensus Estimate for UTZ’s current financial-year sales indicates a jump of 3.7% from the year-ago number.
Cosmetics company Coty (COTY -8.42%), which sells under such well-known brand names as CoverGirl, Jovan, Max Factor, and Nautica, tumbled 10% through 10:10 a.m. ET Thursday after missing on earnings last night.
Heading into its fiscal Q4 2026 report, analysts expected Coty to lose $0.01 per share on just under $1.2 billion in sales for the quarter. In fact, Coty lost $0.02 per share despite sales approaching $1.3 billion.
Image source: Getty Images.
Coty Q4 earnings Coty observed that its results exceeded expectations despite sales growing only 1%. (Curiously, the beauty brand blamed "the Middle East conflict" for weak sales in the quarter.)
CEO Markus Strobel also pointed to "sales and profit ahead of our targets," and "growing free cash flow" as bright spots. And yet, the company's 1% sales growth rate and total lack of profits -- Coty actually lost $0.16 per share when earnings are calculated under generally accepted accounting principles (GAAP), twice as bad as last year's Q4 loss of $0.08 per share -- suggest the quarter was actually quite weak for Coty.
Today's Change
(
-8.42
%) $
-0.26
Current Price
$
2.78
What's next for Coty Coty is working to right the ship, however. It's trying to up "the visibility and recommendation of our brands across AI platforms," for example, leaning into the AI revolution. In an effort to work down its debt load -- $3.4 billion on a company with a market capitalization of only $2.7 billion -- Coty sold its stake in Wella for $750 million last year, and sold its Gucci Beauty license back to the owner for $400 million in July.
Heading into the "transition year" that fiscal 2027 will be, Coty aims to refocus on its core brands and continue paying down debt. With $300 million in positive free cash flow expected in the year's first half -- nearly as much as Coty made in all of fiscal 2026 -- it's on the right track to do that.
Rich Smith has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
U.S. stock futures were mixed this morning, with the Nasdaq 100 futures gaining around 0.1% on Thursday.
Shares of Coty Inc (NYSE:COTY) fell sharply in pre-market trading after the company reported mixed fourth-quarter financial results and issued first-quarter adjusted EPS guidance below estimates.
Coty reported quarterly losses of two cents per share, which missed the consensus estimate for a loss of one cent, according to Benzinga Pro data. Quarterly revenue of $1.27 billion beat the Street estimate of $1.19 billion by 6.25%.
The company disclosed that the Gucci Beauty license exit will result in a step-down in FY28 sales and profit.
Coty shares dipped 7.7% to $2.80 in pre-market trading.
Here are some other stocks moving lower in pre-market trading.
Moderna Inc (NASDAQ:MRNA) shares dipped 12.4% to $153.01 in pre-market trading. Moderna shares jumped 177% on Wednesday after the company and Merck announced topline results from the Phase 3 INTerpath-001 trial met its primary and a key secondary endpoint.Wolfspeed Inc (NYSE:WOLF) declined 12% to $25.60 in pre-market trading after the company reported mixed fourth-quarter financial results.ATRenew Inc (NASDAQ:RERE) fell 7.2% to $4.26 in pre-market trading after the company posted second-quarter results and issued weak third-quarter sales forecast.Agenus Inc (NASDAQ:AGEN) dipped 6.5% to $7.72 in pre-market trading after gaining around 10% on Wednesday.Re/Max Holdings Inc (NYSE:RMAX) fell 6.3% to $13.50 in pre-market trading after gaining over 5% on Wednesday.Latest Private Market Opportunities
Join 400,000+ Investors
LegalZoom.com Inc (NASDAQ:LZ) dipped 6% to $5.51 in pre-market trading following a 3% gain in the previous session.Senseonics Holdings Inc (NASDAQ:SENS) declined 5.6% to $8.60 in pre-market trading after gaining around 5% on Wednesday.Kingsoft Cloud Holdings Ltd (NASDAQ:KC) dropped 5.4% to $11.70 in pre-market trading. Kingsoft Cloud shares gained 14% on Wednesday after the company reported better-than-expected Q2 financial results.John B Sanfilippo & Son Inc (NASDAQ:JBSS) fell 5.3% to $77.00 in pre-market trading following downbeat quarterly earnings.ProQR Therapeutics NV (NASDAQ:PRQR) declined 4.5% to $2.12 in pre-market trading.Petco Health and Wellness Company Inc (NASDAQ:WOOF) fell 4.4% to $2.82 in pre-market trading. Petco recently appointed Jeffrey Naylor to its board of directors.Hamilton Beach Brands Holding Co (NYSE:HBB) declined 2.3% to $32.94 in pre-market trading. Photo via Shutterstock
Market News and Data brought to you by Benzinga APIs
3 Beauty Stocks Off to an Ugly Start—Can 1 Stage a Comeback?Coty NYSE: COTY said its fourth-quarter fiscal 2026 results exceeded its expectations, although the beauty company continued to report lower sales and profitability as it prepares for a transition year centered on portfolio simplification, cost reductions and investment behind core brands.
Executive Chairman and Interim Chief Executive Officer Markus Strobel said the company’s fourth-quarter performance was “an encouraging step” toward more consistent execution, while acknowledging that the business remains below its targeted performance level. Coty plans to use fiscal 2027 to strengthen core franchises, streamline its organization and prepare for the exit of the Gucci Beauty license in fiscal 2028.
Get Coty alerts:
Fourth-Quarter Sales Improve Sequentially Rebalancing in 2025: Here Are 3 Stocks to Buy Under $10Chief Financial Officer Laurent Mercier said fourth-quarter like-for-like sales declined 1%, improving from prior trends and outperforming Coty’s expectation for a mid-single-digit decline. The result reflected stronger-than-anticipated customer orders in the U.S. across prestige fragrances and mass cosmetics, along with a smaller-than-expected effect from the Middle East conflict.
The Middle East conflict reduced fourth-quarter total sales by slightly more than 1%, compared with Coty’s prior estimate of a 2% to 3% impact. For the full fiscal year, like-for-like sales fell 5%.
Estée Lauder undergoes a profit makeover to swoon investors Prestige like-for-like revenue declined 0.5% in the fourth quarter, while prestige fragrance revenue fell 1%. Prestige cosmetics posted double-digit sales and sellout growth, supported by Kylie, Burberry and the early contribution from Marc Jacobs makeup. Coty cited momentum from launches including Boss Bottled Beyond, Cosmic Kylie Jenner Intense and Calvin Klein Euphoria Elixir.
Consumer Beauty like-for-like sales declined 3% in the fourth quarter, but the company said trends improved sequentially. Sally Hansen returned to sales growth, while COVERGIRL’s sellout trends improved and Rimmel gained volume market share in the U.K. during the latest three-month period. Lifestyle fragrances remained pressured, though sales trends improved from earlier quarters.
Mercier said Coty’s sellout performance remained below broader beauty-market growth in both divisions during the second half of fiscal 2026. The prestige market grew approximately 6% in that period, while mass beauty grew about 5%. Coty’s prestige sellout declined 1% and Consumer Beauty sellout fell 2%.
Margins and Profitability Remain Under Pressure Adjusted gross margin was 60.9% in the fourth quarter, down 140 basis points year over year. For fiscal 2026, adjusted gross margin was 63%, down 190 basis points. Coty attributed the decline to lower-volume cost absorption, elevated excess and obsolescence in both divisions, and tariffs.
Adjusted EBITDA fell 26% year over year in the fourth quarter and declined 22% for the full year. The company said top-line pressure, lower gross margins and the year-over-year effect of variable compensation weighed on earnings. Adjusted earnings per share, excluding the equity swap, were breakeven in the fourth quarter and $0.34 for the full fiscal year.
Prestige adjusted EBITDA declined 17% in the quarter and 12% for the full year, though the division maintained a 20.5% adjusted EBITDA margin for fiscal 2026. Consumer Beauty adjusted EBITDA fell 67% year over year in the fourth quarter, reflecting lower sales, supply-chain cost under-absorption, excess and obsolescence, and tariff costs. However, Consumer Beauty EBITDA improved by $32 million sequentially from the third quarter.
Coty’s All-in to Win program generated more than $250 million in productivity and fixed-cost savings during fiscal 2026, ahead of its target. Underlying fixed costs fell 4% year over year despite inflation, the company said. Coty expects to accelerate savings initiatives in fiscal 2027 as it further rightsizes its cost structure.
Cash Flow Supports Debt Reduction Despite a decline of more than $200 million in fiscal 2026 EBITDA, Coty generated $348 million in free cash flow, up roughly $70 million from the prior year and above its guidance. The company attributed the result to working-capital discipline, lower cash bonuses, a $34 million reduction in cash interest paid and $25 million lower capital expenditures.
Net debt stood at $2.9 billion at the end of fiscal 2026, down nearly $840 million year over year. That balance did not include the first tranche of proceeds from Coty’s Gucci agreement received in July. The company exited the year with leverage of about 3.4 times and continues to target leverage of roughly two times over time.
Fiscal 2027 Outlook and Gucci Transition For the first quarter of fiscal 2027, Coty expects like-for-like revenue to decline by a low- to mid-single-digit percentage. Foreign exchange is expected to be neutral. The company forecast an adjusted gross-margin decline of approximately 50 to 100 basis points and an adjusted EBITDA decline in the low-teens percentage range. Adjusted EPS, excluding the equity swap, is expected to be $0.11 to $0.13 per share.
Coty expects more than $300 million in free cash flow during the first half of fiscal 2027. The company did not provide full-year guidance, citing the early stage of its Coty.Curated strategy, uneven quarterly performance and its ongoing strategic review.
Strobel said Coty is planning for Gucci Beauty to leave its portfolio by fiscal 2028. Under its agreement with Kering, Coty received $250 million at signing and expects another $150 million by Sept. 30, 2027, in addition to inventory proceeds. Gucci Beauty represents a low-double-digit percentage of Coty’s total revenue and has profitability broadly in line with the Prestige division, according to the company.
Coty intends to use the proceeds to reduce debt, invest in core prestige brands and fund organizational optimization. It is developing a fixed-cost savings program expected to begin in the second half of fiscal 2027, targeting its go-to-market structure, manufacturing and distribution footprint, organizational layers and central functions.
The company is also planning larger innovation efforts around brands including Burberry, Hugo Boss, Calvin Klein, Marc Jacobs, Chloé and Kylie, alongside launches in Etro, Swarovski and Marni fragrances. Coty said its objective is to return the underlying portfolio excluding Gucci to growth in fiscal 2028, moderate the mechanical EBITDA decline associated with the Gucci exit, and resume profit recovery in fiscal 2029 and beyond.
About Coty (NYSE: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.
This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].
Continue following MarketBeat
Add MarketBeat as your preferred source on Google to see our latest stories in your feed.
Should You Invest $1,000 in Coty Right Now?Before you consider Coty, you'll want to hear this.
MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Coty wasn't on the list.
While Coty currently has a Reduce rating among analysts, top-rated analysts believe these five stocks are better buys.
View The Five Stocks Here
Discover the 10 Best High-Yield Dividend Stocks for 2026 and secure reliable income in uncertain markets. Download the report now to identify top dividend payers and avoid common yield traps.
For the quarter ended June 2026, Coty (COTY - Free Report) reported revenue of $1.27 billion, up 1.3% over the same period last year. EPS came in at -$0.02, compared to -$0.05 in the year-ago quarter.
The reported revenue represents a surprise of +6.42% over the Zacks Consensus Estimate of $1.19 billion. With the consensus EPS estimate being -$0.01, the EPS surprise was -100%.
While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.
As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.
Here is how Coty performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
Geographic Revenues- Americas: $554.7 million compared to the $534.66 million average estimate based on two analysts. The reported number represents a change of +8.5% year over year.Geographic Revenues- Asia Pacific: $185.6 million compared to the $171.51 million average estimate based on two analysts. The reported number represents a change of +11.1% year over year.Geographic Revenues- EMEA: $528.9 million compared to the $542.89 million average estimate based on two analysts. The reported number represents a change of -7.9% year over year.Net Revenues- Prestige: $771.8 million compared to the $733.89 million average estimate based on four analysts. The reported number represents a change of +1.5% year over year.Net Revenues- Consumer Beauty: $497.4 million versus the four-analyst average estimate of $459.7 million. The reported number represents a year-over-year change of +1.1%.Adjusted Operating Income- Prestige: $60.2 million compared to the $58.31 million average estimate based on two analysts.Adjusted Operating Income- Consumer Beauty: $-20.7 million compared to the $-14.76 million average estimate based on two analysts.View all Key Company Metrics for Coty here>>>
Shares of Coty have returned -0.4% over the past month versus the Zacks S&P 500 composite's +3.3% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.
NEW YORK--(BUSINESS WIRE)--Regulatory News: Coty Inc. (NYSE: COTY; PARIS: COTY) ("Coty" or "the Company") today announced the appointment of Soraya Benchikh as Chief Financial Officer (CFO), effective September 1, 2026. Benchikh succeeds Laurent Mercier. The appointment follows the new operating structure Coty put in place on July 2, which brought commercial decision-making closer to the markets Coty serves and combined research and development, and supply chain, into a single function. Markus.
NEW YORK--(BUSINESS WIRE)--Regulatory News: Coty Inc. (NYSE: COTY) (Paris: COTY) ("Coty" or "the Company") today announced its results for the fourth quarter of fiscal year 2026, ended June 30, 2026. Coty delivered Q4 and FY26 sales, profit, and cash flow ahead of expectations, supported by cost control and the convergence of sales and sell-out. "We closed FY26 on a stronger note, delivering sales and profit ahead of our targets, growing free cash flow even in the face of business headwinds, al.
Coty (COTY.N) on Wednesday posted a surprise increase in fourth-quarter revenue on resilient demand for fragrances and cosmetics, and said it has appointed former British American Tobacco (BATS.L) finance chief Soraya Benchikh as CFO.
Shares of the beauty company were down about 9% in extended trading after it posted a wider-than-expected quarterly loss, although it said fiscal 2027 would be a "transition year".
The company is advancing its "Coty. Curated." strategy to simplify its business and conducting a review of the consumer beauty division.
The review, expected to complete by year-end, could lead to the sale of brands such as CoverGirl and Rimmel.
The company said the CFO change was part of organizational changes it unveiled in early July under its "Coty. Curated" strategy.
Benchikh had also served as president, Europe at Diageo, and is replacing Laurent Mercier, who served as Coty's finance chief for about five years.
The initiative, along with a cost-reduction program, would help offset a likely sales hit in fiscal 2028 from its early return of Gucci Beauty license to Kering (PRTP.PA), Coty said.
Coty's net revenue rose 1.3% to $1.27 billion in the quarter ended June 30, compared with analysts' average estimate of a 4.6% decline, according to data compiled by LSEG.
"Consumer demand for beauty remains resilient, with continued growth in fragrances and cosmetics, although consumers are becoming increasingly selective in their purchasing decisions," the company said.
Coty said it saw a roughly 1% impact from the Middle East conflict, which was less severe than the 2% to 3% hit it forecast in May.
Quarterly adjusted loss per share narrowed to 2 cents from 5 cents a year ago, but was wider than analysts' expectation of a 1-cent loss.
Peers Estee Lauder (EL.N) and Elf Beauty (ELF.N) recently forecast a stronger year ahead on steady demand for beauty products.
Coty, which did not provide annual forecasts, expects like-for-like revenue in the current quarter to decline by a low- to mid-single-digit percentage, compared with an 8% drop last year.
The company guided for revenue to decline by a low- to mid-single-digit percentage as consumers become increasingly selective with their purchases, despite resilient demand for beauty overall.
Coty Inc. (NYSE:COTY) shares fell after the company missed EPS estimates with its fourth-quarter results released after Wednesday’s closing bell.
COTY stock is moving. Watch the price action here. Coty Q4 Details Coty reported quarterly losses of two cents per share, which missed the consensus estimate for a loss of one cent, according to Benzinga Pro data.
Quarterly revenue of $1.27 billion beat the Street estimate of $1.19 billion by 6.25%.
“We closed FY26 on a stronger note, delivering sales and profit ahead of our targets, growing free cash flow even in the face of business headwinds, all while establishing a clear strategic framework and taking decisive action to steadily strengthen our core business in FY27 and beyond,” said Markus Strobel, Interim CEO.
Looking Ahead: Coty expects first-quarter adjusted EPS of 11 cents to 13 cents, versus the 14 cent analyst estimate
Technical AnalysisCoty stock is currently showing a bullish setup, trading well above its short-term moving averages. The 20-day SMA is 9.4% above the price, while the 50-day SMA is 25.4% above, indicating strong upward momentum in the near term.
Read Next
The RSI is at 63.28, which is considered neutral but suggests that momentum is building without being overbought. This positioning indicates that Coty could still have room to run before facing significant selling pressure.
Latest Private Market Opportunities
Join 400,000+ Investors
MACD is currently below its signal line, indicating bearish pressure that could temper the recent gains. Traders should be cautious as this suggests that despite the current bullish price action, momentum may not be as strong as it appears.
Over the past 12 months, Coty has declined by 38.41%, reflecting a challenging longer-term trend. This significant drop highlights the need for traders to consider both the current momentum and the broader context of the stock’s performance.
COTY Stock Price Activity: According to data from Benzinga Pro, Coty stock was down 6.93% to $2.82 in Wednesday’s extended trading.
Photo: Shutterstock
Market News and Data brought to you by Benzinga APIs
, /PRNewswire/ -- Kuehn Law, PLLC, a shareholder litigation law firm, is investigating whether certain officers and directors of Coty, Inc. (NYSE: COTY) breached their fiduciary duties to shareholders.
According to a federal securities lawsuit, Coty misrepresented the true state of the Company's slowing growth in the beauty market, including that its Consumer Beauty segment was underperforming, margins were being compressed by increased marketing investments, and growth in the Prestige fragrance segment was slowing.
If you currently own COTY and purchased prior to November 5, 2025 please contact Sophia Anne Silayan by email at [email protected] or call (833) 672-0814. Kuehn Law pays all case costs and does not charge its investor clients. Shareholders should contact the firm immediately as there may be limited time to enforce your rights.
Why Your Participation Matters:
As a shareholder your voice matters, and by getting involved, you contribute to the integrity and fairness of the financial markets. Your investment. Your voice. Your future.™
Wall Street analysts forecast that Coty (COTY - Free Report) will report quarterly loss of -$0.01 per share in its upcoming release, pointing to a year-over-year increase of 80%. It is anticipated that revenues will amount to $1.19 billion, exhibiting a decrease of 4.8% compared to the year-ago quarter.
The consensus EPS estimate for the quarter has been revised 1.5% lower over the last 30 days to the current level. This reflects how the analysts covering the stock have collectively reevaluated their initial estimates during this timeframe.
Prior to a company's earnings release, it is of utmost importance to factor in any revisions made to the earnings projections. These revisions serve as a critical gauge for predicting potential investor behaviors with respect to the stock. Empirical studies consistently reveal a strong link between trends in earnings estimate revisions and the short-term price performance of a stock.
While investors typically use consensus earnings and revenue estimates as indicators of quarterly business performance, exploring analysts' projections for specific key metrics can offer valuable insights.
Bearing this in mind, let's now explore the average estimates of specific Coty metrics that are commonly monitored and projected by Wall Street analysts.
The consensus estimate for 'Net Revenues- Prestige' stands at $733.89 million. The estimate indicates a year-over-year change of -3.5%.
Analysts expect 'Net Revenues- Consumer Beauty' to come in at $459.70 million. The estimate indicates a change of -6.5% from the prior-year quarter.
The average prediction of analysts places 'Geographic Revenues- Americas' at $534.66 million. The estimate indicates a year-over-year change of +4.6%.
According to the collective judgment of analysts, 'Geographic Revenues- Asia Pacific' should come in at $171.51 million. The estimate indicates a year-over-year change of +2.7%.
The consensus among analysts is that 'Geographic Revenues- EMEA' will reach $542.89 million. The estimate indicates a year-over-year change of -5.5%.
Analysts' assessment points toward 'Adjusted Operating Income- Prestige' reaching $58.31 million. The estimate is in contrast to the year-ago figure of $74.70 million.
View all Key Company Metrics for Coty here>>>
Coty shares have witnessed a change of +10.4% in the past month, in contrast to the Zacks S&P 500 composite's +3.8% move. With a Zacks Rank #3 (Hold), COTY is expected closely follow the overall market performance in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
Key Takeaways Coty expects Q4 LFL revenues to fall by a mid-single-digit percentage amid Middle East disruption. Coty's Prestige segment may benefit from core fragrances, new launches and Marc Jacobs Beauty makeup.Coty expects adjusted EBITDA of $85-$95 million and adjusted EPS from breakeven to a 2-cent loss. Coty Inc. (COTY - Free Report) is likely to witness a top-line decline when it reports fourth-quarter fiscal 2026 earnings on Aug. 19. The Zacks Consensus Estimate for revenues is pegged at around $1.2 billion, indicating a 4.8% decrease from the year-ago period level.
The consensus mark for the bottom line has remained unchanged over the past 30 days at a loss of 1 cent a share, which suggests an increase of 80% from the figure reported in the year-ago period. COTY’s earnings lagged the consensus mark by a wide margin in the trailing four quarters, on average.
Factors Likely to Influence COTY’s Upcoming ResultsCoty’s fourth-quarter fiscal 2026 results are likely to reflect resilient beauty demand, particularly across fragrances and cosmetics, while consumer demand in developed markets remained broadly consistent with recent periods. Management expects moderate sequential improvement in both Prestige and Consumer Beauty, aided by easier year-over-year comparisons.
However, continued disruption in the Middle East is likely to have weighed on sales, with Coty estimating a 2-3% impact on fourth-quarter revenues. Management expects fourth-quarter like-for-like or LFL revenues to be down by mid-single-digit percentage, with foreign currency having a broadly neutral impact.
Prestige trends are likely to have received support from Coty’s core fragrance franchises and recent innovation, including BOSS Bottled Beyond and Calvin Klein Euphoria Elixirs, while the June debut of Marc Jacobs Beauty marked the brand’s expansion into makeup. Consumer Beauty is likely to have seen improving U.S. trends at CoverGirl and Sally Hansen, supported by an increased focus on core franchises and more impactful innovation, although performance remained uneven.
On the margin front, lower shipments, tariffs and elevated excess and obsolescence are likely to have exerted pressure, partly offset by productivity and procurement initiatives. Coty expects adjusted gross margin contraction of 100-200 basis points year over year.
Investments shifted from the third quarter to key fourth-quarter commercial periods (particularly Mother’s Day and Father’s Day) are likely to have supported brand investments during the quarter. Coty expects fourth-quarter adjusted EBITDA of $85-$95 million and adjusted EPS, excluding the equity swap, between breakeven and a loss of 2 cents per share.
Earnings Whispers for COTYOur proven model doesn’t conclusively predict an earnings beat for Coty this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here.
Coty currently carries a Zacks Rank #3 and has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Stocks With the Favorable CombinationHere are some companies worth considering, as our model shows that these have the right combination of elements to beat on earnings this reporting cycle.
Target Corporation (TGT - Free Report) currently has an Earnings ESP of +5.09% and a Zacks Rank of 2. The consensus estimate for the quarterly revenues is pinned at $26.1 billion, which indicates 3.4% growth from the figure reported in the prior-year quarter. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for Target’s upcoming quarter’s EPS is pegged at $2.25, which implies 9.8% growth year over year. TGT delivered a trailing four-quarter earnings surprise of 8.2%, on average.
Dollar General Corporation (DG - Free Report) currently has an Earnings ESP of +1.61 and a Zacks Rank of 3. The Zacks Consensus Estimate for quarterly revenues is pegged at $11.2 billion, which indicates an increase of 4.2% from the figure reported in the prior-year quarter.
The Zacks Consensus Estimate for Dollar General’s second-quarter fiscal 2026 EPS is pegged at $2.00, implying 7.5% year-over-year growth. DG has a trailing four-quarter earnings surprise of roughly 21%, on average.
Ross Stores, Inc. (ROST - Free Report) currently has an Earnings ESP of +4.03% and a Zacks Rank of 3. The consensus estimate for Ross Stores’ quarterly revenues is pinned at $6.1 billion, which suggests 10.7% growth from the figure reported in the prior-year quarter.
The Zacks Consensus Estimate for the upcoming quarter’s EPS is pegged at $1.92, which calls for a 10.7% jump year over year. ROST delivered a trailing four-quarter earnings surprise of 10.2%, on average.
First Trust Advisors LP raised its position in Coty (NYSE:COTY – Free Report) by 827.5% in the 1st quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 2,018,890 shares of the company’s stock after purchasing an additional 1,801,209 shares during the quarter. First Trust Advisors LP owned 0.23% of Coty worth $4,058,000 as of its most recent SEC filing.
Several other large investors have also recently bought and sold shares of COTY. Shay Capital LLC bought a new position in Coty in the 2nd quarter valued at approximately $46,000. FORA Capital LLC bought a new stake in Coty during the 2nd quarter worth approximately $47,000. Robeco Institutional Asset Management B.V. acquired a new position in Coty in the 4th quarter valued at approximately $32,000. Vident Advisory LLC acquired a new position in Coty in the 2nd quarter valued at approximately $50,000. Finally, United Capital Financial Advisors LLC bought a new position in shares of Coty during the third quarter valued at $43,000. 42.36% of the stock is currently owned by institutional investors.
Coty Trading Down 3.3% COTY opened at $2.81 on Thursday. Coty has a twelve month low of $1.82 and a twelve month high of $5.08. The company has a fifty day moving average of $2.27 and a 200-day moving average of $2.38. The stock has a market cap of $2.48 billion, a PE ratio of -4.54, a price-to-earnings-growth ratio of 0.84 and a beta of 0.97. The company has a quick ratio of 0.49, a current ratio of 0.82 and a debt-to-equity ratio of 0.97.
Coty (NYSE:COTY – Get Free Report) last released its earnings results on Tuesday, May 5th. The company reported ($0.03) earnings per share (EPS) for the quarter. The firm had revenue of $1.28 billion during the quarter, compared to analyst estimates of $1.27 billion. Coty had a negative net margin of 9.20% and a positive return on equity of 4.59%. Coty’s quarterly revenue was down 1.3% on a year-over-year basis. During the same quarter in the previous year, the firm earned $0.01 EPS. On average, sell-side analysts predict that Coty will post 0.22 EPS for the current year.
Wall Street Analysts Forecast Growth A number of equities analysts have recently commented on COTY shares. Royal Bank Of Canada reiterated an “outperform” rating and set a $8.00 price target on shares of Coty in a report on Monday, May 4th. Citigroup increased their price objective on Coty from $2.50 to $2.80 and gave the company a “neutral” rating in a report on Thursday, May 7th. TD Cowen raised their target price on Coty from $2.30 to $2.90 and gave the stock a “hold” rating in a research report on Thursday, May 7th. Morgan Stanley set a $2.50 target price on Coty in a report on Thursday, May 7th. Finally, Barclays reduced their price target on Coty from $2.50 to $2.00 and set an “underweight” rating on the stock in a research report on Tuesday, April 14th. One analyst has rated the stock with a Buy rating, thirteen have issued a Hold rating and three have given a Sell rating to the company. According to MarketBeat, the company currently has a consensus rating of “Reduce” and a consensus target price of $3.70.
View Our Latest Analysis on COTY
Coty Company Profile (Free Report)
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.
See Also Five stocks we like better than Coty SpaceX: Love the Company, But the Stock Is a Harder Call Ulta’s Growth Is Real, But So Are the Risks BWX Technologies Is Turning the AI Power Problem Into a Nuclear Growth Story Meta’s Earnings Drop Shows Wall Street Wants More Than Ad Growth
Receive News & Ratings for Coty Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Coty and related companies with MarketBeat.com's FREE daily email newsletter.
« PREVIOUS HEADLINEFirst Trust Advisors LP Purchases Shares of 93,677 Guardian Pharmacy Services, Inc. $GRDN
NEXT HEADLINE »Iron Mountain Incorporated $IRM Shares Acquired by Empowered Funds LLC
NEW YORK, July 27, 2026 (GLOBE NEWSWIRE) -- Kuehn Law, PLLC, a shareholder litigation law firm, is investigating whether certain officers and directors of Coty, Inc. (NYSE: COTY) breached their fiduciary duties to shareholders.
According to a federal securities lawsuit, Coty misrepresented the true state of the Company’s slowing growth in the beauty market, including that its Consumer Beauty segment was underperforming, margins were being compressed by increased marketing investments, and growth in the Prestige fragrance segment was slowing.
If you currently own COTY and purchased prior to November 5, 2025 please contact Sophia Anne Silayan by email at [email protected] or call (833) 672-0814. Kuehn Law pays all case costs and does not charge its investor clients. Shareholders should contact the firm immediately as there may be limited time to enforce your rights.
Why Your Participation Matters:
As a shareholder your voice matters, and by getting involved, you contribute to the integrity and fairness of the financial markets. Your investment. Your voice. Your future.™
Key Takeaways Coty will return the Gucci Beauty license early in a deal worth about $400 million.COTY plans to use the proceeds to reduce debt and invest in its core prestige fragrance and beauty brands.Coty will manage Gucci Beauty through at least June 30, 2027, while both firms resolve pending litigation. Coty Inc. (COTY - Free Report) is making a strategic move to simplify its business and strengthen financial position. The beauty company has agreed to return the Gucci Beauty license to Kering about a year before the original contract was set to expire. In return, Coty will receive around $400 million, giving it more flexibility to reduce debt and invest in the core brands.
Under the agreement, Coty will continue managing Gucci Beauty through at least June 30, 2027. The company will receive $250 million upfront, with another $150 million due by Sept. 30, 2027, although up to $30 million of that amount depends on certain conditions being met. Coty will also sell enough Gucci Beauty inventory to Kering to support the transition and expects to incur about $30 million in cash taxes related to the transaction. Both companies have also agreed to resolve all pending litigation related to the Gucci Beauty license, removing a legal overhang ahead of the transition.
This move marks the end of a successful chapter for Coty, which has managed the Gucci Beauty business since 2016. Gucci Beauty sales have grown more than 60% since 2019, driven by popular fragrance lines such as Gucci Flora, Bloom, Guilty and Alchemist Garden. While the license will end earlier than originally planned, the agreement gives Coty greater financial flexibility to focus on its long-term priorities.
The transaction also aligns with Coty's broader strategic direction. Management has repeatedly emphasized that deleveraging remains its top capital allocation priority while focusing investments on fewer, higher-impact brands under the Coty.Curated strategy. The company is also working to simplify the business, reduce costs and improve cash flow. This agreement supports those goals by strengthening Coty's balance sheet and giving it greater flexibility to invest in the core prestige brands.
Coty’s Zacks Rank & Share Price PerformanceShares of this Zacks Rank #3 (Hold) company have gained 14.9% in the past month compared with the broader Consumer Staples sector, the industry and the S&P 500 index’s rise of 3.9%, 4.5% and 1.6%, respectively.
COTY Stock's Past Month Performance
Image Source: Zacks Investment Research
Is COTY a Value Play Stock?Coty currently trades at a forward 12-month P/E ratio of 6.31, below the industry and the sector’s average of 19.33 and 17.11, respectively. This valuation positions the stock at a modest discount relative to both its direct peers and the broader consumer staples sector.
COTY P/E Ratio (Forward 12 Months)
Image Source: Zacks Investment Research
Stocks to ConsiderThe Estee Lauder Companies Inc. (EL - Free Report) manufactures, markets and sells skin care, makeup, fragrance and hair care products worldwide. It currently sports a Zacks Rank of 1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for Estee Lauder’s current fiscal-year sales and earnings calls for growth of 4.5% and 59.6%, respectively, from the year-ago reported numbers. EL delivered a trailing four-quarter average earnings surprise of 39.1%.
Five Below, Inc. (FIVE - Free Report) operates as a specialty value retailer in the United States and currently flaunts a Zacks Rank #1. FIVE delivered a trailing four-quarter earnings surprise of 70.1%, on average.
The Zacks Consensus Estimate for Five Below’s current fiscal-year sales and earnings calls for growth of 14.7% and 34.3%, respectively, from the year-ago reported numbers.
Dollar Tree, Inc. (DLTR - Free Report) is an operator of discount variety stores offering a broad assortment of everyday consumables and discretionary merchandise. DLTR currently carries a Zacks Rank #2 (Buy). The company delivered a trailing four-quarter average earnings surprise of 32.1%.
The Zacks Consensus Estimate for Dollar Tree’s current fiscal-year earnings and sales indicates growth of 21.4% and 6.5%, respectively, from the year-ago actuals.
In connection with the deal, Kering expects to license out the Gucci beauty brand to L'Oréal starting in mid-2027, which will begin their 50-year exclusive licensing agreement ahead of schedule.
NEW YORK--(BUSINESS WIRE)--Regulatory News: Coty Inc. (NYSE: COTY) (Paris: COTY) (“Coty” or “the Company”) today announced that it has entered into an agreement to transition the Gucci Beauty license back to Kering for a consideration of approximately $400 million. Under the terms of the agreement, Coty will continue to operate the Gucci Beauty brand through at least June 30, 2027, ending the license approximately one year ahead of the original license term. Markus Strobel, Executive Chairman a.
Today, Coty Inc. (NYSE: COTY) (Paris: COTY) announced a set of organizational changes that advance its Coty.Curated strategy by bringing commercial decision-making closer to the center and enabling the company to move faster.
Executive Chairman and interim CEO Markus Strobel will take direct control of Prestige commercial operations, with Coty’s regional leaders reporting to him. The change brings leadership closer to the markets, speeds up decision-making, and sharpens accountability for sell-out and market share.
As part of these changes, Coty will integrate Prestige R&D and sustainability with supply chain into one simplified function under the interim leadership of Graeme Carter, Chief Supply Chain Officer. Bringing prestige innovation, sustainability, and supply chain together under one leader streamlines how the company develops and delivers behind its core businesses. Gordon von Bretten, President of Consumer Beauty, will continue to drive an already integrated model in Consumer Beauty.
Caroline Andreotti, Chief Commercial Officer Prestige, will leave Coty at the end of September after three years in the role and almost two decades with the company. She shaped Coty’s global commercial strategy, its relationships with key customers and partners, and its leadership in prestige.
Dr. Shimei Fan, Chief Scientific and Sustainability Officer, will leave Coty at the end of August. She led the company’s R&D organization and sustainability agenda, helped launch key innovations, and oversaw significant progress including multiple ESG ratings upgrades and the first approval of Coty’s science-based carbon reduction targets by the SBTi.
Markus Strobel, Executive Chairman and interim CEO, said: “Coty.Curated is about clarity and focus, and a simpler operating model helps us deliver on that. It positions us to keep building behind our core brands and to support our teams as the business moves forward. I want to thank Caroline and Shimei for their leadership and their many years of contribution to Coty, and wish them every success for their future endeavors.”
People and Purpose leadership transition
Priya Srinivasan, Chief People and Purpose Officer, has decided to step down for personal reasons and will leave Coty in August. She led the global people function, including leadership development and engagement, and played an important role in advancing Coty’s talent agenda.
Séverine Charbon will join Coty as Chief People and Purpose Officer effective September 1. She brings more than 25 years of international experience in talent strategy and organizational transformation, most recently as Chief Talent Officer International at Publicis Groupe.
Strobel added: “Priya has been a thoughtful and trusted leader, and a real champion of our people and culture. She has strengthened how we develop talent, deepened employee engagement, and helped make Coty a place where people can do their best work. We are grateful for everything she has given to Coty and wish her the very best in the future. We now look forward to Séverine joining Coty at this important time and continuing to build on the strong foundations in place.”
ABOUT COTY INC.
Founded in Paris in 1904, Coty is one of the world’s largest beauty companies, with a portfolio of beloved brands across fragrance, color cosmetics, and skin and body care. Coty serves consumers around the world, selling prestige and mass‑market products in over 120 countries and territories. Together with its brands, Coty empowers people to express the beauty of their individuality – and is committed to transforming the beauty industry to become more sustainable and inclusive through its Beauty That Lasts strategy.
Learn more at coty.com or follow us on LinkedIn and Instagram.
NEW YORK, May 20, 2026 (GLOBE NEWSWIRE) -- Bronstein, Gewirtz & Grossman, LLC, a nationally recognized investor-rights law firm, announces that a class action lawsuit has been filed against Coty Inc. (NYSE: COTY) and certain of its officers.
This lawsuit seeks to recover damages against Defendants for alleged violations of the federal securities laws on behalf of all persons and entities that purchased or otherwise acquired Coty securities between November 5, 2025 and February 4, 2026, both dates inclusive (the “Class Period”). Such investors are encouraged to join this case by visiting the firm’s site: bgandg.com/COTY.
Coty Case Details
The Complaint alleges that, throughout the Class Period, Defendants made materially false and misleading statements and/or failed to disclose that:
(1) Defendants issued overwhelmingly positive statements regarding Coty’s growth and profitability prospects for fiscal year 2026;
(2) Coty’s growth in the beauty market was slowing, including underperformance in its Consumer Beauty segment;
(3) The Company’s margins were being pressured by increased marketing expenditures;
(4) Growth in Coty’s Prestige fragrance segment was decelerating; and
(5) As a result, Defendants’ statements about Coty’s business, operations, and prospects were materially false and misleading at all relevant times.
What's Next for Coty Investors?
A class action lawsuit has already been filed. If you wish to review a copy of the Complaint, you can visit the firm’s site: bgandg.com/COTY. or you may contact Peretz Bronstein, Esq. or his Client Relations Manager, Nathan Miller, of Bronstein, Gewirtz & Grossman, LLC at 917-590-0911. If you suffered a loss in Coty you have until May 22, 2026, to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn't require that you serve as lead plaintiff.
No Cost to Coty Investors
We, Bronstein, Gewirtz & Grossman LLC, represent investors in class actions on a contingency fee basis. That means we will ask the court to reimburse us for out-of-pocket expenses and attorneys’ fees, usually a percentage of the total recovery, only if we are successful.
Why Bronstein, Gewirtz & Grossman, LLC for Coty Securities Class Action?
Bronstein, Gewirtz & Grossman, LLC is a nationally recognized firm that represents investors in securities fraud class actions and shareholder derivative suits. Our firm has recovered hundreds of millions of dollars for investors nationwide. More at www.bgandg.com
"Our practice centers on restoring investor capital and ensuring corporate accountability, which serves to uphold the essential integrity of the marketplace," said Peretz Bronstein, Founding Partner of Bronstein, Gewirtz & Grossman, LLC.
Follow us for updates on LinkedIn, X, Facebook, or Instagram.
Contact Info
Peretz Bronstein, Esq. or Nathan Miller
Bronstein, Gewirtz & Grossman, LLC
917-590-0911 | [email protected]
Attorney advertising.
Prior results do not guarantee similar outcomes.
LOS ANGELES--(BUSINESS WIRE)--The Law Offices of Frank R. Cruz reminds investors of the upcoming May 22, 2026 deadline to participate as a lead plaintiff in the securities fraud class action lawsuit filed on behalf of investors who acquired Coty Inc. (“Coty” or the “Company”) (NYSE: COTY) common stock between May 7, 2025 and February 4, 2026, inclusive (the “Class Period”).
IF YOU ARE AN INVESTOR WHO LOST MONEY ON COTY INC. (COTY), CLICK HERE TO PARTICIPATE IN THE SECURITIES FRAUD LAWSUIT.
What Happened?
On February 5, 2026, Coty released its second quarter fiscal 2026 financial results, revealing results below market expectations, including that net revenue decreased 6% on a like-for-like basis, reported gross margins decreased 200 basis points, and adjusted operating income declined 19%. The Company also withdrew its 2026 guidance for EBITDA and lowered its near-term outlook, stating “Coty anticipates Q3 gross margins to decline 200 to 300 basis points” and “approximately breakeven EPS.”
In the Company’s earnings call, recently appointed interim CEO, Markus Strobel, noted “we have not been delivering at the level we should” and the Company would need to invest in “disciplined execution, operational effectiveness and sufficient multiyear marketing support.” The Company’s CFO, Laurent Mercier also noted “the main headwind is from Consumer Beauty.”
On this news, Coty’s stock price fell $0.49, or 15.56%, to close at $2.66 per share on February 6, 2026, thereby injuring investors.
What Is The Lawsuit About?
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors that: (1) Coty’s Consumer Beauty segment was underperforming; (2) margins were compressed by increased marketing investments; (3) there was slowing growth in the Prestige fragrance marker; and (4) as a result, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.
If you purchased or otherwise acquired Coty securities between May 7, 2025 and February 4, 2026, the deadline to seek appointment as the lead plaintiff in the securities fraud class action is May 22, 2026.
Contact Us To Participate or Learn More:
If you wish to learn more about this class action, or if you have any questions concerning this announcement or your rights or interests with respect to the pending class action lawsuit, please contact us:
Frank R. Cruz
The Law Offices of Frank R. Cruz,
2121 Avenue of the Stars, Suite 800,
Century City, California 90067
Email us at: [email protected]
Call us at: 310-914-5007
Visit our website at www.frankcruzlaw.com
Follow us for updates on Twitter: twitter.com/FRC_LAW
If you inquire by email, please include your mailing address, telephone number, and number of shares purchased.
To be a member of the class action you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the class action. This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
New York, New York--(Newsfile Corp. - May 20, 2026) - Bronstein, Gewirtz & Grossman, LLC, a nationally recognized investor-rights law firm, announces that a class action lawsuit has been filed against Coty Inc. (NYSE: COTY) and certain of its officers.
This lawsuit seeks to recover damages against Defendants for alleged violations of the federal securities laws on behalf of all persons and entities that purchased or otherwise acquired Coty securities between November 5, 2025 and February 4, 2026, both dates inclusive (the "Class Period"). Such investors are encouraged to join this case by visiting the firm's site: bgandg.com/COTY.
Coty Case Details
The Complaint alleges that, throughout the Class Period, Defendants made materially false and misleading statements and/or failed to disclose that:
Defendants issued overwhelmingly positive statements regarding Coty's growth and profitability prospects for fiscal year 2026; Coty's growth in the beauty market was slowing, including underperformance in its Consumer Beauty segment; The Company's margins were being pressured by increased marketing expenditures; Growth in Coty's Prestige fragrance segment was decelerating; and As a result, Defendants' statements about Coty's business, operations, and prospects were materially false and misleading at all relevant times.What's Next for Coty Investors?
A class action lawsuit has already been filed. If you wish to review a copy of the Complaint, you can visit the firm's site: bgandg.com/COTY, or you may contact Peretz Bronstein, Esq. or his Client Relations Manager, Nathan Miller, of Bronstein, Gewirtz & Grossman, LLC at 917-590-0911. If you suffered a loss in Coty you have until May 22, 2026, to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn't require that you serve as lead plaintiff.
No Cost to Coty Investors
We, Bronstein, Gewirtz & Grossman LLC, represent investors in class actions on a contingency fee basis. That means we will ask the court to reimburse us for out-of-pocket expenses and attorneys' fees, usually a percentage of the total recovery, only if we are successful.
Why Bronstein, Gewirtz & Grossman, LLC for Coty Securities Class Action?
Bronstein, Gewirtz & Grossman, LLC is a nationally recognized firm that represents investors in securities fraud class actions and shareholder derivative suits. Our firm has recovered hundreds of millions of dollars for investors nationwide. More at www.bgandg.com
"Our practice centers on restoring investor capital and ensuring corporate accountability, which serves to uphold the essential integrity of the marketplace," said Peretz Bronstein, Founding Partner of Bronstein, Gewirtz & Grossman, LLC.
Follow us for updates on LinkedIn, X, Facebook, or Instagram.
Attorney advertising.
Prior results do not guarantee similar outcomes.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/295229
Source: Bronstein, Gewirtz & Grossman, LLC
Ready to Announce with Confidence? Send us a message and a member of our TMX Newsfile team will contact you to discuss your needs.
San Francisco, California--(Newsfile Corp. - May 20, 2026) - National shareholder rights law firm Hagens Berman alerts Coty Inc. (NYSE: COTY) investors that a new securities class action lawsuit has been filed in the U.S. District Court for the Southern District of New York.
The newly filed litigation significantly expands the timeframe for recovery. The action is brought on behalf of all investors who purchased or otherwise acquired Coty common stock between May 7, 2025 and February 4, 2026, inclusive (the "Expanded Class Period").
The firm urges investors in Coty who suffered significant losses to submit your losses now. The firm also encourages witnesses who may be able to assist in the investigation to contact its attorneys.
View our latest video summary of the allegations:
Cannot view this video? Visit:
https://www.youtube.com/watch?v=jQoWASUHcgI
Lead Plaintiff Deadline: May 22, 2026
Expand Class Period: May 7, 2025 - Feb. 4, 2026
Visit: www.hbsslaw.com/investor-fraud/coty
Contact the Firm Now: [email protected]
844-916-0895
Coty Inc. (COTY) Securities Class Action: The Expanded Class Period and Core Allegations
While the initial complaint filed against Coty focused on statements made in November 2025, the newly expanded litigation alleges that Coty's campaign of misrepresentation began earlier, on May 7, 2025.
According to the lawsuit, on May 6, 2025, during post-market hours, Coty and its senior executives disseminated overwhelmingly positive material representations concerning the company's growth potential and operational health heading into fiscal year 2026. Management repeatedly assured the market that it possessed a strong innovation pipeline, predictable retail trends, and the operational discipline necessary to steadily improve fragrance and beauty sales.
In reality, the complaint alleges that throughout the Expanded Class Period, severe, structural headwinds were concealed from the investing public. Specifically, it is alleged that Coty failed to disclose that:
The Consumer Beauty market was severely underperforming and lagging behind competitors;Profit margins were being aggressively compressed by escalating, unsustainable marketing investments; andPrestige fragrance growth was experiencing a sharp, undisclosed deceleration.The Truth Emerges
Investors began to learn the true state of Coty's business through a series of sudden operational updates. On December 12, 2025, Coty abruptly announced the departure of its CEO, Sue Y. Nabi, without an adequate operational explanation, causing an immediate drop in share value.
The full extent of the operational collapse was laid bare after the market closed on February 4 and 5, 2026, when Coty announced its Q2 2026 financial results. The company revealed that operating income in its Consumer Beauty segment had plummeted by over 70% year-over-year, while Prestige operating income dropped over 18%. Compounding the shock, Coty completely withdrew its full-year fiscal 2026 EBITDA and free cash flow guidance, while acknowledging a severe lack of "operational discipline."
On this devastating news, the price of Coty common stock collapsed, falling roughly 22% from a closing price of $3.43 per share on February 4, 2026, to $2.66 per share on February 6, 2026, erasing hundreds of millions of dollars in shareholder value.
What This Means for Investors
The filing of the expanded complaint does not alter the upcoming May 22, 2026 deadline to seek appointment as Lead Plaintiff.
If you invested in Coty during the Expanded Class Period and have substantial losses, or have knowledge that may assist the firm's investigation, submit your losses now »
If you'd like more information and answers to frequently asked questions about the Coty case and the firm's investigation, read more »
"We're investigating the extended period of alleged misrepresentations which is alleged to have harmed investors who bought into Coty's growth narrative as early as spring of last year. " said Reed Kathrein, the Hagens Berman partner leading the firm's investigation of the pending claims.
Whistleblowers: Persons with non-public information regarding Coty should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email [email protected].
# # #
About Hagens Berman
Hagens Berman is a global plaintiffs' rights complex litigation firm focusing on corporate accountability. The firm is home to a robust practice and represents investors as well as whistleblowers, workers, consumers and others in cases achieving real results for those harmed by corporate negligence and other wrongdoings. Hagens Berman's team has secured more than $2.9 billion in this area of law. More about the firm and its successes can be found at hbsslaw.com. Follow the firm for updates and news at @ClassActionLaw.
Contact:
Reed Kathrein, 844-916-0895
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/298302
Source: Hagens Berman Sobol Shapiro LLP
Ready to Announce with Confidence? Send us a message and a member of our TMX Newsfile team will contact you to discuss your needs.
, /PRNewswire/ -- National shareholder rights law firm Hagens Berman alerts Coty Inc. (NYSE: COTY) investors that a new securities class action lawsuit has been filed in the U.S. District Court for the Southern District of New York.
The newly filed litigation significantly expands the timeframe for recovery. The action is brought on behalf of all investors who purchased or otherwise acquired Coty common stock between May 7, 2025 and February 4, 2026, inclusive (the "Expanded Class Period").
The firm urges investors in Coty who suffered significant losses to submit your losses now. The firm also encourages witnesses who may be able to assist in the investigation to contact its attorneys.
View our latest video summary of the allegations: youtu.be/jQoWASUHcgI
Lead Plaintiff Deadline: May 22, 2026
Expand Class Period: May 7, 2025 – Feb. 4, 2026
Visit: www.hbsslaw.com/investor-fraud/coty
Contact the Firm Now: [email protected]
844-916-0895
Coty Inc. (COTY) Securities Class Action: The Expanded Class Period and Core Allegations
While the initial complaint filed against Coty focused on statements made in November 2025, the newly expanded litigation alleges that Coty's campaign of misrepresentation began earlier, on May 7, 2025.
According to the lawsuit, on May 6, 2025, during post-market hours, Coty and its senior executives disseminated overwhelmingly positive material representations concerning the company's growth potential and operational health heading into fiscal year 2026. Management repeatedly assured the market that it possessed a strong innovation pipeline, predictable retail trends, and the operational discipline necessary to steadily improve fragrance and beauty sales.
In reality, the complaint alleges that throughout the Expanded Class Period, severe, structural headwinds were concealed from the investing public. Specifically, it is alleged that Coty failed to disclose that:
The Consumer Beauty market was severely underperforming and lagging behind competitors; Profit margins were being aggressively compressed by escalating, unsustainable marketing investments; and Prestige fragrance growth was experiencing a sharp, undisclosed deceleration. The Truth Emerges
Investors began to learn the true state of Coty's business through a series of sudden operational updates. On December 12, 2025, Coty abruptly announced the departure of its CEO, Sue Y. Nabi, without an adequate operational explanation, causing an immediate drop in share value.
The full extent of the operational collapse was laid bare after the market closed on February 4 and 5, 2026, when Coty announced its Q2 2026 financial results. The company revealed that operating income in its Consumer Beauty segment had plummeted by over 70% year-over-year, while Prestige operating income dropped over 18%. Compounding the shock, Coty completely withdrew its full-year fiscal 2026 EBITDA and free cash flow guidance, while acknowledging a severe lack of "operational discipline."
On this devastating news, the price of Coty common stock collapsed, falling roughly 22% from a closing price of $3.43 per share on February 4, 2026, to $2.66 per share on February 6, 2026, erasing hundreds of millions of dollars in shareholder value.
What This Means for Investors
The filing of the expanded complaint does not alter the upcoming May 22, 2026 deadline to seek appointment as Lead Plaintiff.
If you invested in Coty during the Expanded Class Period and have substantial losses, or have knowledge that may assist the firm's investigation, submit your losses now »
If you'd like more information and answers to frequently asked questions about the Coty case and the firm's investigation, read more »
"We're investigating the extended period of alleged misrepresentations which is alleged to have harmed investors who bought into Coty's growth narrative as early as spring of last year." said Reed Kathrein, the Hagens Berman partner leading the firm's investigation of the pending claims.
Whistleblowers: Persons with non-public information regarding Coty should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email [email protected].
About Hagens Berman
Hagens Berman is a global plaintiffs' rights complex litigation firm focusing on corporate accountability. The firm is home to a robust practice and represents investors as well as whistleblowers, workers, consumers and others in cases achieving real results for those harmed by corporate negligence and other wrongdoings. Hagens Berman's team has secured more than $2.9 billion in this area of law. More about the firm and its successes can be found at hbsslaw.com. Follow the firm for updates and news at @ClassActionLaw.
Faruqi & Faruqi, LLP Securities Litigation Partner James (Josh) Wilson Encourages Investors Who Suffered Losses In Coty To Contact Him Directly To Discuss Their Options
If you purchased or acquired securities in Coty between November 5, 2025 and February 4, 2026 and would like to discuss your legal rights, call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310).
[You may also click here for additional information]
, /PRNewswire/ -- Faruqi & Faruqi, LLP, a leading national securities law firm, is investigating potential claims against Coty Inc. ("Coty" or the "Company") (NYSE: COTY) and reminds investors of the May 22, 2026 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company.
Faruqi & Faruqi is a leading national securities law firm with offices in New York, Pennsylvania, California and Georgia. The firm has recovered hundreds of millions of dollars for investors since its founding in 1995. See www.faruqilaw.com.
James (Josh) Wilson, Faruqi & Faruqi Senior Partner (PRNewsfoto/Faruqi & Faruqi, LLP) As detailed below, the complaint alleges that the Company and its executives violated federal securities laws by making false and/or misleading statements and/or failing to disclose the true state of Coty's slowing growth in the beauty market, notably, the Consumer Beauty market was underperforming, margins were compressed by increased marketing investments and there was slowing growth in its Prestige fragrance segment. Such statements absent these material facts caused Plaintiff and other shareholders to purchase Coty's securities at artificially inflated prices.
After the market closed on February 4 and 5, 2026, Coty announced its financial results for the second quarter fiscal year 2026, unveiling disappointing earnings results with worsening performance in the Consumer Beauty segment. The Company also noted the recent transition of its Chief Executive Officer in conjunction with the below-expectation results. Coty further withdrew its fiscal year 2026 guidance for EBITDA and revised the Company's near-term outlook downward. Coty attributed its results and lowered guidance to a combination of macroeconomic factors including rising costs and uncertain consumer demand and lack of "operational discipline" in both Prestige and Consumer Beauty segments.
Investors and analysts reacted immediately to Coty's revelation. The price of Coty's common stock declined from a closing market price of $3.43 per share on February 4, 2026, to $2.66 per share on February 6, 2026, a decline of about 22%.
The court-appointed lead plaintiff is the investor with the largest financial interest in the relief sought by the class who is adequate and typical of class members who directs and oversees the litigation on behalf of the putative class. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. Your ability to share in any recovery is not affected by the decision to serve as a lead plaintiff or not.
Faruqi & Faruqi, LLP also encourages anyone with information regarding Coty's conduct to contact the firm, including whistleblowers, former employees, shareholders and others.
To learn more about the Coty class action, go to www.faruqilaw.com/COTY or call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310).
Follow us for updates on LinkedIn, on X, or on Facebook.
Attorney Advertising. The law firm responsible for this advertisement is Faruqi & Faruqi, LLP (www.faruqilaw.com). Prior results do not guarantee or predict a similar outcome with respect to any future matter. We welcome the opportunity to discuss your particular case. All communications will be treated in a confidential manner.
LOS ANGELES, May 21, 2026 (GLOBE NEWSWIRE) -- The Schall Law Firm, a national shareholder rights litigation firm, reminds investors of a class action lawsuit against Coty Inc. (“Coty” or “the Company”) (NYSE: COTY) for violations of §§10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder by the U.S. Securities and Exchange Commission.
Investors who purchased the Company’s securities between November 5, 2025 and February 4, 2026, inclusive (the “Class Period”), are encouraged to contact the firm before May 22, 2026.
If you are a shareholder who suffered a loss, click here to participate.
We also encourage you to contact Brian Schall of the Schall Law Firm, 2049 Century Park East, Suite 2460, Los Angeles, CA 90067, at 310-301-3335, to discuss your rights free of charge. You can also reach us through the firm's website at www.schallfirm.com, or by email at [email protected].
The class, in this case, has not yet been certified, and until certification occurs, you are not represented by an attorney. If you choose to take no action, you can remain an absent class member.
According to the Complaint, the Company made false and misleading statements to the market. Coty made overwhelmingly positive statements about its growth prospects for fiscal year 2026. Despite its promises, the Company’s growth was slowing and its Consumer Beauty segment was underperforming. The Company’s increasing marketing spend impacts its margins. Based on these facts, the Company’s public statements were false and materially misleading throughout the class period. When the market learned the truth about Coty, investors suffered damages.
Join the case to recover your losses.
The Schall Law Firm represents investors around the world and specializes in securities class action lawsuits and shareholder rights litigation.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and rules of ethics.
CONTACT:
The Schall Law Firm
Brian Schall, Esq.,
www.schallfirm.com
Office: 310-301-3335 [email protected]
, /PRNewswire/ -- Pomerantz LLP announces that a class action lawsuit has been filed against Coty Inc. ("Coty" or the "Company") (NYSE: COTY) and certain of its former officers. The class action, filed in the United States District Court for the Southern District of New York, and docketed under 26-cv-04034, is on behalf of all investors who purchased or otherwise acquired Coty common stock between May 7, 2025, to February 4, 2026, inclusive (the "Class Period"), seeking to recover damages caused by Defendants' violations of the federal securities laws (the "Class").
If you are an investor who purchased or otherwise acquired Coty securities during the Class Period, you have until May 22, 2026, to ask the Court to appoint you as Lead Plaintiff for the class. A copy of the Complaint can be obtained at www.pomerantzlaw.com. To discuss this action, contact Danielle Peyton at [email protected] or 646-581-9980 (or 888.4-POMLAW), toll-free, Ext. 7980. Those who inquire by e-mail are encouraged to include their mailing address, telephone number, and the number of shares purchased.
[Click here for information about joining the class action]
Coty, together with its subsidiaries, manufactures, markets, distributes, and sells branded beauty products worldwide. It operates through two segments: Prestige and Consumer Beauty. The Company provides fragrance, color cosmetics, and skin and body care products through prestige retailers, including perfumeries, department stores, e-retailers, direct-to-consumer websites, and duty-free shops.
Defendants provided investors with material information concerning Coty's growth potential for the fiscal year 2026. Defendants' statements included, among other things, confidence in the Company's ability to drive growth and profitability in the fiscal year 2026 by improving fragrance sales, building a strong innovation pipeline and making operational improvements.
Defendants provided these overwhelmingly positive statements to investors while, at the same time, disseminating materially false and misleading statements and/or concealing material adverse facts concerning the true state of Coty's slowing growth in the beauty market, notably, the Consumer Beauty market was underperforming, margins were compressed by increased marketing investments and there was slowing growth in its Prestige fragrance segment. Such statements absent these material facts caused Plaintiff and other shareholders to purchase Coty's securities at artificially inflated prices.
After the market closed on February 4 and 5, 2026, Coty announced its financial results for the second quarter of fiscal year 2026, unveiling disappointing earnings results with worsening performance in the Consumer Beauty segment. The Company also noted the recent transition of its Chief Executive Officer in conjunction with the below-expectation results. Coty further withdrew its fiscal year 2026 guidance for EBITDA and revised the Company's near-term outlook downward. Coty attributed its results and lowered guidance to a combination of macroeconomic factors including rising costs and uncertain consumer demand and lack of "operational discipline" in both Prestige and Consumer Beauty segments.
Investors and analysts reacted immediately to Coty's revelation. The price of Coty's common stock declined from a closing market price of $3.43 per share on February 4, 2026, to $2.66 per share on February 6, 2026, a decline of about 22%.
Pomerantz LLP, with offices in New York, Chicago, Los Angeles, London, Paris, and Tel Aviv, is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, Pomerantz pioneered the field of securities class actions. Today, more than 85 years later, Pomerantz continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered billions of dollars in damages awards on behalf of class members. See www.pomlaw.com.
Attorney advertising. Prior results do not guarantee similar outcomes.
Bragar Eagel & Squire, P.C. Litigation Partner Brandon Walker Encourages Investors Who Suffered Losses In Coty To Contact Him Directly To Discuss Their Options
If you purchased or acquired Coty common stock between November 5, 2025, to February 4, 2026 and would like to discuss your legal rights, call Bragar Eagel & Squire partner Brandon Walker or Melissa Fortunato directly at (212) 355-4648.
Click here to participate in the action.
NEW YORK, May 21, 2026 (GLOBE NEWSWIRE) --
What’s Happening?
Bragar Eagel & Squire, P.C., a nationally recognized stockholder rights law firm, announces that a class action lawsuit has been filed against Coty, Inc. (“Coty” or the “Company”) (NYSE:COTY) in the United States District Court for the Southern District of New York on behalf of all persons and entities who purchased or otherwise acquired Coty common stock between November 5, 2025, to February 4, 2026, both dates inclusive (the “Class Period”).Investors have until May 22, 2026 to apply to the Court to be appointed as lead plaintiff in the lawsuit. What are the Allegation Details?
According to the lawsuit, throughout the Class Period, defendants made false and/or misleading statements and/or concealed material adverse facts concerning the true state of Coty's slowing growth in the beauty market, notably, the Consumer Beauty market was underperforming, margins were compressed by increased marketing investments and there was slowing growth in its Prestige fragrance segment. When the true details entered the market, the lawsuit claims that investors suffered damages.
What are the Next Steps?
If you purchased or otherwise acquired Coty shares and suffered a loss, are a long-term stockholder, have information, would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Brandon Walker or Melissa Fortunato by email at [email protected], telephone at (212) 355-4648, or by filling out this contact form. There is no cost or obligation to you.
About Bragar Eagel & Squire, P.C.:
Bragar Eagel & Squire, P.C. is a nationally recognized law firm with offices in New York, South Carolina, and California. The firm represents individual and institutional investors in securities, derivative, and commercial litigation as well as individuals in consumer protection and data privacy litigation. The firm has a nationwide practice and routinely handles cases in both federal and state courts. For more information about the firm, please visit www.bespc.com. Attorney advertising. Prior results do not guarantee similar outcomes.
Follow us for updates on LinkedIn and Facebook, and keep up with other news by following Brandon Walker, Esq. on LinkedIn.
Faruqi & Faruqi, LLP Securities Litigation Partner James (Josh) Wilson Encourages Investors Who Suffered Losses In Coty To Contact Him Directly To Discuss Their Options
If you purchased or acquired securities in Coty between November 5, 2025 and February 4, 2026 and would like to discuss your legal rights, call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310).
[You may also click here for additional information]
NEW YORK--(BUSINESS WIRE)--Faruqi & Faruqi, LLP, a leading national securities law firm, is investigating potential claims against Coty Inc. (“Coty” or the “Company”) (NYSE: COTY) and reminds investors of the May 22, 2026 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company.
The complaint alleges that the Company and its executives violated federal securities laws by making false and/or misleading statements
Share Faruqi & Faruqi is a leading national securities law firm with offices in New York, Pennsylvania, California and Georgia. The firm has recovered hundreds of millions of dollars for investors since its founding in 1995. See www.faruqilaw.com.
As detailed below, the complaint alleges that the Company and its executives violated federal securities laws by making false and/or misleading statements and/or failing to disclose the true state of Coty’s slowing growth in the beauty market, notably, the Consumer Beauty market was underperforming, margins were compressed by increased marketing investments and there was slowing growth in its Prestige fragrance segment. Such statements absent these material facts caused Plaintiff and other shareholders to purchase Coty’s securities at artificially inflated prices.
After the market closed on February 4 and 5, 2026, Coty announced its financial results for the second quarter fiscal year 2026, unveiling disappointing earnings results with worsening performance in the Consumer Beauty segment. The Company also noted the recent transition of its Chief Executive Officer in conjunction with the below-expectation results. Coty further withdrew its fiscal year 2026 guidance for EBITDA and revised the Company’s near-term outlook downward. Coty attributed its results and lowered guidance to a combination of macroeconomic factors including rising costs and uncertain consumer demand and lack of “operational discipline” in both Prestige and Consumer Beauty segments.
Investors and analysts reacted immediately to Coty’s revelation. The price of Coty’s common stock declined from a closing market price of $3.43 per share on February 4, 2026, to $2.66 per share on February 6, 2026, a decline of about 22%.
The court-appointed lead plaintiff is the investor with the largest financial interest in the relief sought by the class who is adequate and typical of class members who directs and oversees the litigation on behalf of the putative class. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. Your ability to share in any recovery is not affected by the decision to serve as a lead plaintiff or not.
Faruqi & Faruqi, LLP also encourages anyone with information regarding Coty’s conduct to contact the firm, including whistleblowers, former employees, shareholders and others.
To learn more about the Coty class action, go to www.faruqilaw.com/COTY or call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310).
Follow us for updates on LinkedIn, on X, or on Facebook.
Attorney Advertising. The law firm responsible for this advertisement is Faruqi & Faruqi, LLP (www.faruqilaw.com). Prior results do not guarantee or predict a similar outcome with respect to any future matter. We welcome the opportunity to discuss your particular case. All communications will be treated in a confidential manner.
SAN FRANCISCO, May 22, 2026 (GLOBE NEWSWIRE) -- National shareholder rights law firm Hagens Berman alerts Coty Inc. (NYSE: COTY) investors that a new securities class action lawsuit has been filed in the U.S. District Court for the Southern District of New York.
The newly filed litigation significantly expands the timeframe for recovery. The action is brought on behalf of all investors who purchased or otherwise acquired Coty common stock between May 7, 2025 and February 4, 2026, inclusive (the “Expanded Class Period”).
The firm urges investors in Coty who suffered significant losses to submit your losses now. The firm also encourages witnesses who may be able to assist in the investigation to contact its attorneys.
View our latest video summary of the allegations: youtu.be/jQoWASUHcgI
Coty Inc. (COTY) Securities Class Action: The Expanded Class Period and Core Allegations
While the initial complaint filed against Coty focused on statements made in November 2025, the newly expanded litigation alleges that Coty’s campaign of misrepresentation began earlier, on May 7, 2025.
According to the lawsuit, on May 6, 2025, during post-market hours, Coty and its senior executives disseminated overwhelmingly positive material representations concerning the company's growth potential and operational health heading into fiscal year 2026. Management repeatedly assured the market that it possessed a strong innovation pipeline, predictable retail trends, and the operational discipline necessary to steadily improve fragrance and beauty sales.
In reality, the complaint alleges that throughout the Expanded Class Period, severe, structural headwinds were concealed from the investing public. Specifically, it is alleged that Coty failed to disclose that:
The Consumer Beauty market was severely underperforming and lagging behind competitors;Profit margins were being aggressively compressed by escalating, unsustainable marketing investments; andPrestige fragrance growth was experiencing a sharp, undisclosed deceleration. The Truth Emerges
Investors began to learn the true state of Coty’s business through a series of sudden operational updates. On December 12, 2025, Coty abruptly announced the departure of its CEO, Sue Y. Nabi, without an adequate operational explanation, causing an immediate drop in share value.
The full extent of the operational collapse was laid bare after the market closed on February 4 and 5, 2026, when Coty announced its Q2 2026 financial results. The company revealed that operating income in its Consumer Beauty segment had plummeted by over 70% year-over-year, while Prestige operating income dropped over 18%. Compounding the shock, Coty completely withdrew its full-year fiscal 2026 EBITDA and free cash flow guidance, while acknowledging a severe lack of "operational discipline."
On this devastating news, the price of Coty common stock collapsed, falling roughly 22% from a closing price of $3.43 per share on February 4, 2026, to $2.66 per share on February 6, 2026, erasing hundreds of millions of dollars in shareholder value.
What This Means for Investors
The filing of the expanded complaint does not alter the upcoming May 22, 2026 deadline to seek appointment as Lead Plaintiff.
If you invested in Coty during the Expanded Class Period and have substantial losses, or have knowledge that may assist the firm’s investigation, submit your losses now »
If you’d like more information and answers to frequently asked questions about the Coty case and the firm’s investigation, read more »
“We’re investigating the extended period of alleged misrepresentations which is alleged to have harmed investors who bought into Coty’s growth narrative as early as spring of last year. ” said Reed Kathrein, the Hagens Berman partner leading the firm’s investigation of the pending claims.
Whistleblowers: Persons with non-public information regarding Coty should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email [email protected].
About Hagens Berman
Hagens Berman is a global plaintiffs’ rights complex litigation firm focusing on corporate accountability. The firm is home to a robust practice and represents investors as well as whistleblowers, workers, consumers and others in cases achieving real results for those harmed by corporate negligence and other wrongdoings. Hagens Berman’s team has secured more than $2.9 billion in this area of law. More about the firm and its successes can be found at hbsslaw.com. Follow the firm for updates and news at @ClassActionLaw.
WHY: Rosen Law Firm, a global investor rights law firm, reminds purchasers of common stock of Coty Inc. (NYSE: COTY) between November 5, 2025 and February 4, 2026, inclusive (the “Class Period”), of the important May 22, 2026 lead plaintiff deadline.
SO WHAT: If you purchased Coty common stock during the Class Period you may be entitled to compensation without payment of any out of pocket fees or costs through a contingency fee arrangement.
WHAT TO DO NEXT: To join the Coty class action, go to https://rosenlegal.com/submit-form/?case_id=47083 or call Phillip Kim, Esq. toll-free at 866-767-3653 or email [email protected] for information on the class action. A class action lawsuit has already been filed. If you wish to serve as lead plaintiff, you must move the Court no later than May 22, 2026. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation.
WHY ROSEN LAW: We encourage investors to select qualified counsel with a track record of success in leadership roles. Often, firms issuing notices do not have comparable experience, resources, or any meaningful peer recognition. Many of these firms do not actually handle securities class actions, but are merely middlemen that refer clients or partner with law firms that actually litigate the cases. Be wise in selecting counsel. The Rosen Law Firm represents investors throughout the globe, concentrating its practice in securities class actions and shareholder derivative litigation. Rosen Law Firm has achieved, at that time, the largest ever securities class action settlement against a Chinese Company. Rosen Law Firm was Ranked No. 1 by ISS Securities Class Action Services for number of securities class action settlements in 2017. The firm has been ranked in the top 4 each year since 2013 and has recovered hundreds of millions of dollars for investors. In 2019 alone the firm secured over $438 million for investors. In 2020, founding partner Laurence Rosen was named by law360 as a Titan of Plaintiffs’ Bar. Many of the firm’s attorneys have been recognized by Lawdragon and Super Lawyers.
DETAILS OF THE CASE: According to the lawsuit, throughout the Class Period, defendants made false and/or misleading statements and/or concealed material adverse facts concerning the true state of Coty’s slowing growth in the beauty market, notably, the Consumer Beauty market was underperforming, margins were compressed by increased marketing investments and there was slowing growth in its Prestige fragrance segment. When the true details entered the market, the lawsuit claims that investors suffered damages.
To join the Coty class action, go to https://rosenlegal.com/submit-form/?case_id=47083 or call Phillip Kim, Esq. toll-free at 866-767-3653 or email [email protected] for information on the class action.
No Class Has Been Certified. Until a class is certified, you are not represented by counsel unless you retain one. You may select counsel of your choice. You may also remain an absent class member and do nothing at this point. An investor’s ability to share in any potential future recovery is not dependent upon serving as lead plaintiff.
Follow us for updates on LinkedIn: https://www.linkedin.com/company/the-rosen-law-firm, on Twitter: https://twitter.com/rosen_firm or on Facebook: https://www.facebook.com/rosenlawfirm/.
Attorney Advertising. Prior results do not guarantee a similar outcome.
-------------------------------
Contact Information:
Laurence Rosen, Esq.
Phillip Kim, Esq.
The Rosen Law Firm, P.A.
275 Madison Avenue, 40th Floor
New York, NY 10016
Tel: (212) 686-1060
Toll Free: (866) 767-3653
Fax: (212) 202-3827 [email protected]
www.rosenlegal.com
, /PRNewswire/ -- Glancy Prongay Wolke & Rotter LLP announces that investors with losses have opportunity to lead the securities fraud class action lawsuit against Coty Inc. ("Coty" or the "Company") (NYSE: COTY).
IF YOU SUFFERED A LOSS ON YOUR COTY INVESTMENTS, CLICK HERE BEFORE MAY 22, 2026 (LEAD PLAINTIFF DEADLINE) TO PARTICIPATE IN THE SECURITIES FRAUD LAWSUIT
What Is The Lawsuit About?
The complaint filed alleges that, between May 7, 2025 and February 4, 2026, Defendants failed to disclose to investors that: (1) Coty's Consumer Beauty segment was underperforming; (3) margins were compressed by increased marketing investments; (3) there was slowing growth in the Prestige fragrance marker; and (4) as a result, Defendants' positive statements about the Company's business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.
Contact Us To Participate or Learn More:
If you wish to learn more about this action, or if you have any questions concerning this announcement or your rights or interests with respect to these matters, please contact us.
Charles Linehan, Esq.,
Glancy Prongay Wolke & Rotter LLP,
1925 Century Park East, Suite 2100,
Los Angeles California 90067
Email: [email protected]
Telephone: 310-201-9150 (Toll-Free: 888-773-9224)
Visit our website at www.glancylaw.com.
Follow us for updates on LinkedIn, Twitter, or Facebook.
If you inquire by email, please include your mailing address, telephone number and number of shares purchased.
To be a member of the class action you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the class action.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
Contact Us:
Glancy Prongay Wolke & Rotter LLP,
1925 Century Park East, Suite 2100,
Los Angeles, CA 90067
New York, New York--(Newsfile Corp. - May 22, 2026) - Bronstein, Gewirtz & Grossman, LLC, a nationally recognized investor-rights law firm, announces that a class action lawsuit has been filed against Coty Inc. (NYSE: COTY) and certain of its officers.
This lawsuit seeks to recover damages against Defendants for alleged violations of the federal securities laws on behalf of all persons and entities that purchased or otherwise acquired Coty securities between November 5, 2025 and February 4, 2026, both dates inclusive (the "Class Period"). Such investors are encouraged to join this case by visiting the firm's site: bgandg.com/COTY.
Coty Case Details
The Complaint alleges that, throughout the Class Period, Defendants made materially false and misleading statements and/or failed to disclose that:
Defendants issued overwhelmingly positive statements regarding Coty's growth and profitability prospects for fiscal year 2026; Coty's growth in the beauty market was slowing, including underperformance in its Consumer Beauty segment; The Company's margins were being pressured by increased marketing expenditures; Growth in Coty's Prestige fragrance segment was decelerating; and As a result, Defendants' statements about Coty's business, operations, and prospects were materially false and misleading at all relevant times.What's Next for Coty Investors?
A class action lawsuit has already been filed. If you wish to review a copy of the Complaint, you can visit the firm's site: bgandg.com/COTY, or you may contact Peretz Bronstein, Esq. or his Client Relations Manager, Nathan Miller, of Bronstein, Gewirtz & Grossman, LLC at 917-590-0911. If you suffered a loss in Coty you have until May 22, 2026, to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn't require that you serve as lead plaintiff.
No Cost to Coty Investors
We, Bronstein, Gewirtz & Grossman LLC, represent investors in class actions on a contingency fee basis. That means we will ask the court to reimburse us for out-of-pocket expenses and attorneys' fees, usually a percentage of the total recovery, only if we are successful.
Why Bronstein, Gewirtz & Grossman, LLC for Coty Securities Class Action?
Bronstein, Gewirtz & Grossman, LLC is a nationally recognized firm that represents investors in securities fraud class actions and shareholder derivative suits. Our firm has recovered hundreds of millions of dollars for investors nationwide. More at www.bgandg.com
"Our practice centers on restoring investor capital and ensuring corporate accountability, which serves to uphold the essential integrity of the marketplace," said Peretz Bronstein, Founding Partner of Bronstein, Gewirtz & Grossman, LLC.
Follow us for updates on LinkedIn, X, Facebook, or Instagram.
Attorney advertising.
Prior results do not guarantee similar outcomes.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/295230
Source: Bronstein, Gewirtz & Grossman, LLC
Ready to Announce with Confidence? Send us a message and a member of our TMX Newsfile team will contact you to discuss your needs.
NEW YORK--(BUSINESS WIRE)--Rosen Law Firm, a global investor rights law firm, reminds investors about a class action lawsuit on behalf of purchasers of common stock of Coty Inc. (NYSE: COTY) between November 5, 2025 and February 4, 2026. Coty describes itself as a company that “together with its subsidiaries, manufactures, markets, distributes, and sells branded beauty products worldwide.”
For more information, submit a form, email attorney Phillip Kim, or give us a call at 866-767-3653.
The Allegations: Rosen Law Firm is Investigating the Allegations that Coty Inc. (NYSE: COTY) Misled Investors Regarding its Business Operations.
According to the lawsuit, throughout the Class Period, defendants made false and/or misleading statements and/or concealed material adverse facts concerning the true state of Coty’s slowing growth in the beauty market, notably, the Consumer Beauty market was underperforming, margins were compressed by increased marketing investments and there was slowing growth in its Prestige fragrance segment. When the true details entered the market, the lawsuit claims that investors suffered damages.
What Now: You may be eligible to participate in the class action against Coty Inc. Shareholders who want to serve as lead plaintiff for the class must file their motions with the court by May 22, 2026. A lead plaintiff is a representative party who acts on behalf of other class members in directing the litigation. You do not have to participate in the case to be eligible for a recovery. If you choose to take no action, you can remain an absent class member. For more information, click here.
All representation is on a contingency fee basis. Shareholders pay no fees or expenses.
About Rosen Law Firm: Some law firms issuing releases about this matter do not actually litigate securities class actions. Rosen Law Firm does. Rosen Law Firm is a recognized leader in shareholder rights litigation, dedicated to helping shareholders recover losses, improving corporate governance structures, and holding company executives accountable for their wrongdoing. Since its inception, Rosen Law Firm has obtained over $1 billion for shareholders.
Follow us for updates on LinkedIn: https://www.linkedin.com/company/the-rosen-law-firm, on Twitter: https://twitter.com/rosen_firm or on Facebook: https://www.facebook.com/rosenlawfirm/.
Attorney Advertising. Prior results do not guarantee a similar outcome.
Rosen Law Firm, a global investor rights law firm, reminds investors about a class action lawsuit on behalf of purchasers of common stock of Coty Inc. (NYSE: COTY) between November 5, 2025 and February 4, 2026. Coty describes itself as a company that “together with its subsidiaries, manufactures, markets, distributes, and sells branded beauty products worldwide.”
For more information, submit a form, email attorney Phillip Kim, or give us a call at 866-767-3653.
The Allegations: Rosen Law Firm is Investigating the Allegations that Coty Inc. (NYSE: COTY) Misled Investors Regarding its Business Operations.
According to the lawsuit, throughout the Class Period, defendants made false and/or misleading statements and/or concealed material adverse facts concerning the true state of Coty’s slowing growth in the beauty market, notably, the Consumer Beauty market was underperforming, margins were compressed by increased marketing investments and there was slowing growth in its Prestige fragrance segment. When the true details entered the market, the lawsuit claims that investors suffered damages.
What Now: You may be eligible to participate in the class action against Coty Inc. Shareholders who want to serve as lead plaintiff for the class must file their motions with the court by May 22, 2026. A lead plaintiff is a representative party who acts on behalf of other class members in directing the litigation. You do not have to participate in the case to be eligible for a recovery. If you choose to take no action, you can remain an absent class member. For more information, click here.
All representation is on a contingency fee basis. Shareholders pay no fees or expenses.
About Rosen Law Firm: Some law firms issuing releases about this matter do not actually litigate securities class actions. Rosen Law Firm does. Rosen Law Firm is a recognized leader in shareholder rights litigation, dedicated to helping shareholders recover losses, improving corporate governance structures, and holding company executives accountable for their wrongdoing. Since its inception, Rosen Law Firm has obtained over $1 billion for shareholders.
Follow us for updates on LinkedIn: https://www.linkedin.com/company/the-rosen-law-firm, on Twitter: https://twitter.com/rosen_firm or on Facebook: https://www.facebook.com/rosenlawfirm/.
Attorney Advertising. Prior results do not guarantee a similar outcome.
View source version on businesswire.com: https://www.businesswire.com/news/home/20260522771626/en/
, /PRNewswire/ -- The Gross Law Firm issues the following notice to shareholders of Coty Inc. (NYSE: COTY).
Shareholders who purchased shares of COTY during the class period listed are encouraged to contact the firm regarding possible lead plaintiff appointment. Appointment as lead plaintiff is not required to partake in any recovery.
CLASS PERIOD: November 5, 2025 to February 4, 2026
ALLEGATIONS: According to the complaint, defendants provided overwhelmingly positive statements to investors while, at the same time, disseminating materially false and misleading statements and/or concealing material adverse facts concerning the true state of Coty's slowing growth in the beauty market, notably, the Consumer Beauty market was underperforming, margins were compressed by increased marketing investments and there was slowing growth in its Prestige fragrance segment. After the market closed on February 4 and 5, 2026, Coty announced its financial results for the second quarter fiscal year 2026, unveiling disappointing earnings results with worsening performance in the Consumer Beauty segment. The Company also noted the recent transition of its Chief Executive Officer in conjunction with the below-expectation results. Coty further withdrew its fiscal year 2026 guidance for EBITDA and revised the Company's near-term outlook downward. Coty attributed its results and lowered guidance to a combination of macroeconomic factors including rising costs and uncertain consumer demand and lack of "operational discipline" in both Prestige and Consumer Beauty segments. Following this news, the price of Coty's common stock declined from a closing market price of $3.43 per share on February 4, 2026, to $2.66 per share on February 6, 2026, a decline of about 22%.
DEADLINE: May 22, 2026 Shareholders should not delay in registering for this class action. Register your information here: https://securitiesclasslaw.com/securities/coty-inc-loss-submission-form-3/?id=186860&from=4
NEXT STEPS FOR SHAREHOLDERS: Once you register as a shareholder who purchased shares of COTY during the timeframe listed above, you will be enrolled in a portfolio monitoring software to provide you with status updates throughout the lifecycle of the case. The deadline to seek to be a lead plaintiff is May 22, 2026. There is no cost or obligation to you to participate in this case.
WHY GROSS LAW FIRM? The Gross Law Firm is a nationally recognized class action law firm, and our mission is to protect the rights of all investors who have suffered as a result of deceit, fraud, and illegal business practices. The Gross Law Firm is committed to ensuring that companies adhere to responsible business practices and engage in good corporate citizenship. The firm seeks recovery on behalf of investors who incurred losses when false and/or misleading statements or the omission of material information by a company lead to artificial inflation of the company's stock. Attorney advertising. Prior results do not guarantee similar outcomes.
CONTACT:
The Gross Law Firm
15 West 38th Street, 12th floor
New York, NY, 10018
Email: [email protected]
Phone: (646) 453-8903
It has been about a month since the last earnings report for Coty (COTY - Free Report) . Shares have lost about 28.3% in that time frame, underperforming the S&P 500.
Will the recent negative trend continue leading up to its next earnings release, or is Coty due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its latest earnings report in order to get a better handle on the important drivers.
Coty Loss Widens in Q3, Consumer Beauty Revenues Decline 4%Coty posted weaker-than-expected third-quarter fiscal 2026 results. The company reported an adjusted loss of three cents per share against the Zacks Consensus Estimate of breakeven earnings. Results also compared unfavorably with adjusted earnings of a penny in the year-ago quarter.
Net revenues were $1,281.6 million, down 1% year over year, and slightly below the Zacks Consensus Estimate of $1,285 million. The metric included a 6% gain from foreign exchange. On a like-for-like (LFL) basis, revenues declined 7%, reflecting disruptions tied to the Middle East conflict.
Gross margin was 61.8%, down 230 basis points (bps) year over year, as supply-chain cost under-absorption from lower sales, higher excess and obsolescence in Consumer Beauty, and tariff-related freight costs weighed on results. Adjusted gross margin was 61.8%, down 250 bps.
Adjusted operating income plunged 51% to $72.4 million on soft sales and gross profit, with the adjusted operating margin contracting 580 basis points to 5.6%. Adjusted EBITDA declined 38% to $127 million, with adjusted EBITDA margin down 580 basis points to 9.9%.
Coty’s Segment-Wise PerformancePrestige revenues were $830.9 million, essentially flat on a reported basis year over year, but declined 5% on a LFL basis, reflecting slower category growth. The quarter included an anticipated 2% headwind from Middle East-related conflict. The company’s Prestige strategy has been anchored by major brands like Burberry, Hugo Boss, Calvin Klein, Marc Jacobs, Chloe and Kylie Cosmetics. Year to date through the fiscal year, major launches continue to perform well, including BOSS Bottled Beyond and Cosmic by Kylie Jenner Intense. The adjusted operating margin in the segment decreased 420 basis points to 14.9%.
Consumer Beauty revenues came in at $450.7 million, down 4% year over year on a reported basis and down 10% on a LFL basis, including a 1%-headwind from the conflict in the Middle East. The segment recorded an adjusted operating loss of $51.3 million, wider than a loss of $10.9 million in the year-ago quarter. However, the company is seeing encouraging signs in Consumer Beauty, with brands like CoverGirl and Sally Hansen gradually closing the gap with the broader category in terms of retail sales, while continuing to outperform the category when measured by unit sales.
COTY’s Regional HighlightsAmericas: By geography, the Americas posted revenues of $510.4 million, down 4% year over year on a reported basis and down 6% on a LFL basis, primarily reflecting lower sales in the US and Canada. This was somewhat offset by increased sales in the Americas Travel Retail channel.
EMEA: Revenues were $597.6 million, down 2% reported and 11% on a LFL basis, due to weaker performance in the Middle East, France, and Central and Eastern Europe.
Asia Pacific: The segment was the standout, with revenues rising 9% to $173.6 million on a reported basis and 5% on a LFL basis, supported by higher sales in China, Korea, Japan and the Asia Travel Retail channel.
COTY’s Strategic & Financial UpdatesThe company’s curated strategic framework, which was unveiled last quarter, focuses on setting clearer priorities, directing investments more selectively, enhancing execution capabilities and strengthening support for its core businesses to drive focused growth. COTY is integrating this framework into its fiscal 2027 plans across both divisions, with a focus on streamlining and efficiency. This includes lowering the number of smaller launches, reducing marketing asset production costs, partly through broader use of AI across owned brands, while increasing spending on consumer engagement. It is working to simplify its operating model, aimed at driving stronger sell-out performance and expanding market share in time.
The company ended the quarter with financial net debt of $2.96 billion and a leverage ratio (net debt to adjusted EBITDA) of 3.4. Free cash flow was $275.6 million at the end of the nine months ending March 31, 2026. Cash and cash equivalents were $257.1 million at quarter end.
Coty’s OutlookConsumer demand for beauty stays resilient, with strength in fragrances and cosmetics. While the Middle East conflict weighs on sales trends, consumer demand in developed markets has been broadly consistent with recent periods. Nevertheless, Coty’s curated strategic framework, focusing on core brands and markets, reducing portfolio complexity and realizing savings opportunities to aid investments in consumer engagement and protect profitability, appears encouraging.
For the fourth quarter of fiscal 2026, Coty expects LFL revenues to decrease by a mid-single-digit percentage, indicating a moderate sequential improvement from the third-quarter sales trends. This reflects a benefit from an easy year-over-year comparison base, mainly offset by headwinds in the Middle East business, which is likely to impact Q4 sales by an expected 2-3%. On a reported basis, management predicts foreign exchange to have a neutral effect in the impending quarter.
Adjusted gross margins are likely to decline by roughly 100-200 bps year over year on operating deleverage from weaker shipments, tariff impacts, and elevated, though sequentially lower, excess and obsolescence, somewhat offset by productivity and procurement efforts. For Q4, Coty envisions adjusted EBITDA of $85-$95 million and adjusted EPS, excluding the equity swap, of breakeven to a loss of two cents per share.
For fiscal 2026, Coty anticipates adjusted EBITDA of approximately $838-$848 million, with adjusted EPS, excluding the equity swap, of 33-35 cents. Management forecasts free cash flow in the fourth quarter to be neutral to moderately positive, representing the seasonality of the business and working capital management.
For the Prestige division, the company continues to drive growth through a series of brand-building initiatives and product innovations across its fragrance portfolio. It is expanding the global reach of the Fall 2025 BOSS Bottled Beyond launch, with the BOSS Bottled franchise benefiting from share fiscal year-to-date across key markets, alongside U.S. distribution expansion and share gains for Hugo Boss in the US. A new Burberry Her campaign featuring Olivia Dean is reinforcing the strength of the franchise.
Looking ahead, the company is set to launch Calvin Klein Euphoria Elixirs in Spring 2026, a global female fragrance launch, with encouraging initial indicators in Europe and Travel Retail Americas. It is also elevating its Chloé Atelier des Fleurs line with the introduction of Les Essences Méditerranéennes, which is gaining strong traction in China. In addition, Marc Jacobs Beauty is set to debut in June 2026. Key launches are expected for fiscal 2027 across its core brands, including the introduction of a new Swarovski fragrance expected in the next year.
Consumer Beauty division is seeing progress with CoverGirl and Sally Hansen closing the gap with their respective categories in terms of retail sales. Both brands continue to outperform on a volume basis on robust performance from recent Spring product innovations. It continues to expand and strengthen its global presence for adidas, driven by the adidas Vibes scenting collection.
How Have Estimates Been Moving Since Then?In the past month, investors have witnessed a upward trend in estimates revision.
The consensus estimate has shifted 51.84% due to these changes.
VGM ScoresAt this time, Coty has a subpar Growth Score of D, though it is lagging a bit on the Momentum Score front with an F. However, the stock has a score of A on the value side, putting it in the top 20% for this investment strategy.
Overall, the stock has an aggregate VGM Score of C. If you aren't focused on one strategy, this score is the one you should be interested in.
OutlookEstimates have been broadly trending upward for the stock, and the magnitude of these revisions looks promising. Interestingly, Coty has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.