Core Viewpoint - Coty Inc. is under investigation for potential violations of federal securities laws, following disappointing financial results and claims of overstated demand for its Prestige fragrances [1][2][3]. Company Overview - Coty is a major player in the beauty industry, with a diverse portfolio that includes fragrance, color cosmetics, and skin and body care products. Prestige fragrances represent 60% of the company's revenue [2]. Financial Performance - On August 20, 2025, Coty reported disappointing financial results for Q4 and FY 2025, citing issues such as weaknesses in U.S. execution, retailer inventory buildup, and challenges from previous fiscal year innovations. The company noted a slowdown in cosmetics sales due to various factors, including consumer behavior and specific U.S. market conditions [3]. Stock Market Reaction - Following the release of the financial results, Coty's stock price fell by $1.05, a decline of over 21%, dropping from $4.86 to $3.81 per share within a day [3].

Coty Inc. (NYSE:COTY) Q4 2025 Earnings Q&A Conference Call August 21, 2025 8:00 AM ET Company Participants Laurent Mercier - Chief Financial Officer Sue Y. Nabi - CEO & Director Conference Call Participants Andrea Faria Teixeira - JPMorgan Chase & Co, Research Division Anna Jeanne Lizzul - BofA Securities, Research Division Christopher Michael Carey - Wells Fargo Securities, LLC, Research Division Olivia Tong Cheang - Raymond James & Associates, Inc., Research Division Stephen Robert R. Powers - Deutsche Ba ...

Core Viewpoint - Coty Inc. is under investigation for potential violations of federal securities laws, following disappointing financial results and claims of overstated demand for its Prestige fragrances [1][2][3]. Company Overview - Coty is one of the largest beauty companies globally, with a diverse portfolio that includes fragrance, color cosmetics, and skin and body care products. Prestige fragrances represent 60% of the company's revenues [2]. Financial Performance - On August 20, 2025, Coty reported disappointing financial results for Q4 and FY 2025, citing issues such as weaknesses in U.S. execution, retailer inventory buildup, and challenges from previous fiscal year innovations. The company noted a slowdown in cosmetics sales due to value-seeking behavior and U.S.-specific factors [3]. - Following the announcement of these results, Coty's stock price fell by $1.05 per share, a decline of over 21%, from $4.86 to $3.81 between August 20 and August 21, 2025 [3].

Financial Performance - Coty Inc. ended fiscal 2025 with adjusted EBITDA of $1.08 billion and a margin of 18.4%, reflecting a 60 basis points increase year over year, attributed to disciplined cost controls and productivity gains [1][9] - The All-In To Win program has delivered approximately $850 million in cumulative savings from fiscal 2021 to 2025, with a target of an additional $370 million over the next two years [2][9] Future Outlook - Management has guided for adjusted EBITDA declines in the first half of fiscal 2026, projecting a mid-to-high teens percentage decrease in the first quarter and a low-to-mid teens percentage decrease in the second quarter due to weaker sales and tariff impacts [3][4] - A turnaround is anticipated in the second half of fiscal 2026, supported by a return to sales momentum, major product launches, and benefits from tariff mitigation efforts [3][4] Market Position - Coty's shares have declined by 12.2% in the past month, underperforming the broader Consumer Staples sector, which saw a 3.4% decline, as well as the S&P 500 index's growth of 4.3% during the same period [5] - The stock currently trades at a forward 12-month P/E ratio of 9.28, significantly lower than the industry average of 27.9 and the sector average of 16.92, indicating a modest discount relative to peers [10]

Core Insights - Hagens Berman is investigating Coty Inc. following a 21% drop in its stock price due to "retailer inventory destocking issues" and weak financial results for Q4 and the full year [1][4]. Group 1: Investigation Details - The investigation focuses on whether Coty misled investors regarding its growth and the effectiveness of its digital inventory strategy, SAP S/4HANA [2][5]. - There are concerns that Coty may have shipped excess inventory to retail partners to obscure its own inventory buildup, which could mislead investors about its financial health [3][5]. Group 2: Financial Performance - The August 21 earnings report indicated a significant year-over-year revenue decline in Coty's Prestige and Consumer Beauty segments, which account for approximately 65% and 35% of total revenue, respectively [4]. - The company attributed its poor performance partly to retailer inventory issues that it had previously minimized [4]. Group 3: Legal and Investor Actions - Hagens Berman is urging investors who have suffered losses to come forward and assist in the investigation [2][6]. - The firm has a history of representing investors and has secured over $2.9 billion in similar cases [7].

Core Viewpoint - Coty Inc. is under investigation for potential violations of federal securities laws, following disappointing financial results and claims of overstated demand for its Prestige fragrances [1][2][3]. Group 1: Company Overview - Coty Inc. is one of the largest beauty companies globally, with a diverse portfolio that includes fragrance, color cosmetics, and skin and body care products [2]. - Prestige fragrances represent 60% of Coty's revenues, indicating a significant reliance on this segment [2]. Group 2: Financial Performance - On August 20, 2025, Coty reported disappointing financial results for Q4 and FY 2025, citing issues such as weaknesses in U.S. execution and retailer inventory buildup [3]. - The company's stock price fell by $1.05, a decline of over 21%, from $4.86 to $3.81 per share following the announcement of these results [3]. Group 3: Market Dynamics - Coty indicated that the slowdown in cosmetics sales was influenced by value-seeking consumer behavior, fatigue with innovation, and specific U.S. factors such as in-store security measures and immigration policy changes [3].

贝伦贝格将科蒂集团的目标价从6.5美元下调至5.05美元，评级从"买入"降至"持有"。(格隆汇) ...

NEW YORK, Sept. 10, 2025 (GLOBE NEWSWIRE) -- Pomerantz LLP is investigating claims on behalf of investors of Coty Inc. (“Coty” or the “Company”) (NYSE: COTY).  Such investors are advised to contact Danielle Peyton at newaction@pomlaw.com or 646-581-9980, ext. 7980. The investigation concerns whether Coty and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices.  [Click here for information about joining the class action] On August 20, 2025, Coty issu ...

Analyst Downgrades - Canaccord Genuity analyst Austin Moeller downgraded Bioceres Crop Solutions Corp. from Buy to Hold, lowering the price target from $6.5 to $2.5, with shares closing at $2.24 [6] - Compass Point analyst Floris Van Dijkum downgraded BXP, Inc. from Buy to Neutral, setting a price target of $75, with shares closing at $72.40 [6] - UBS analyst Manav Gupta downgraded Hess Midstream LP from Buy to Neutral, reducing the price target from $45 to $43, with shares closing at $40.70 [6] - Berenberg analyst Fulvio Cazzol downgraded Coty Inc. from Buy to Hold, lowering the price target from $6.5 to $5.05, with shares closing at $4.25 [6] - Evercore ISI Group analyst Amit Daryanani downgraded HP Inc. from Outperform to In-Line, maintaining a price target of $29, with shares closing at $29.04 [6]

Core Viewpoint - Coty Inc. is under investigation for potential violations of federal securities laws, following disappointing financial results and claims of overstated demand for its Prestige fragrances [1][2][3]. Group 1: Company Overview - Coty Inc. is one of the largest beauty companies globally, with a diverse portfolio that includes fragrance, color cosmetics, and skin and body care products [2]. - Prestige fragrances represent 60% of Coty's revenues, indicating a significant reliance on this segment [2]. Group 2: Financial Performance - On August 20, 2025, Coty reported disappointing financial results for Q4 and FY 2025, citing issues such as weaknesses in U.S. execution and retailer inventory buildup [3]. - The company's stock price fell by $1.05, a decline of over 21%, from $4.86 to $3.81 per share following the announcement of these results [3]. Group 3: Market Dynamics - Coty indicated that there was a slowdown in cosmetics sales due to value-seeking behavior among consumers and fatigue with innovation, alongside U.S.-specific challenges [3]. - Retailers had reportedly overstocked inventory, contradicting Coty's claims of strong demand for its products [2].