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 total revenues, highlighting the significance of this segment to the company's financial health [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, retailer inventory buildup, and challenges from previous fiscal year innovations [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 consumer behavior, fatigue with innovation, and specific U.S. factors such as in-store theft measures and immigration policy changes [3].
COTY SECURITIES NOTICE: Coty Inc. Securities Fraud Investigation is Pending – Contact BFA Law if You Lost Money