Is Coty Stock a Good Investment?
Coty Investment Advice | COTY |
- Examine Coty's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Coty's leadership team and their track record. Good management can help Coty navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Personal Care Products space and any emerging trends that could impact Coty's business and its evolving consumer preferences.
- Compare Coty's performance and market position to its competitors. Analyze how Coty is positioned in terms of product offerings, innovation, and market share.
- Check if Coty pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Coty's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Coty Inc stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Coty Inc is a good investment.
Sell | Buy |
Strong Hold
Market Performance | Very Weak | Details | |
Volatility | Somewhat reliable | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Below Average | Details | |
Economic Sensitivity | Follows the market closely | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Buy | Details | |
Financial Strenth (F Score) | Strong | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine Coty Stock
Researching Coty's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 61.0% of the company shares are held by company insiders. The company has price-to-book (P/B) ratio of 1.57. Some equities with similar Price to Book (P/B) outperform the market in the long run. Coty Inc has Price/Earnings To Growth (PEG) ratio of 0.23. The entity last dividend was issued on the 14th of February 2020.
To determine if Coty is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Coty's research are outlined below:
| Coty Inc generated a negative expected return over the last 90 days | |
| Coty Inc currently holds 4.26 B in liabilities with Debt to Equity (D/E) ratio of 1.35, which is about average as compared to similar companies. Coty Inc has a current ratio of 0.65, indicating that it has a negative working capital and may not be able to pay financial obligations when due. Note, when we think about Coty's use of debt, we should always consider it together with its cash and equity. | |
| Coty Inc has a strong financial position based on the latest SEC filings | |
| About 61.0% of Coty shares are held by company insiders | |
| Latest headline from thelincolnianonline.com: Coty Hits New 12-Month Low Whats Next |
Coty Quarterly Good Will |
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Coty uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Coty Inc. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Coty's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 7th of February 2024 Upcoming Quarterly Report | View | |
| 14th of May 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 27th of August 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 30th of June 2023 Last Financial Announcement | View |
Earnings surprises can significantly impact Coty's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Coty's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2024-05-06 | 2024-03-31 | 0.06 | 0.05 | -0.01 | 16 | ||
2023-08-22 | 2023-06-30 | 0.02 | 0.01 | -0.01 | 50 | ||
2019-11-06 | 2019-09-30 | 0.06 | 0.07 | 0.01 | 16 | ||
2015-08-13 | 2015-06-30 | 0.07 | 0.08 | 0.01 | 14 | ||
2022-05-09 | 2022-03-31 | 0.01 | 0.03 | 0.02 | 200 | ||
2017-05-10 | 2017-03-31 | 0.13 | 0.15 | 0.02 | 15 | ||
2014-08-28 | 2014-06-30 | 0.05 | 0.03 | -0.02 | 40 | ||
2013-09-17 | 2013-06-30 | 0.01 | 0.03 | 0.02 | 200 |
Know Coty's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Coty is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Coty Inc backward and forwards among themselves. Coty's institutional investor refers to the entity that pools money to purchase Coty's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Dz Bank Ag Deutsche Zentral-genossenschaftsbank Frankfurt Am Main | 2024-09-30 | 6.8 M | Thrivent Financial For Lutherans | 2024-09-30 | 6.5 M | Geode Capital Management, Llc | 2024-09-30 | 6.2 M | Morgan Stanley - Brokerage Accounts | 2024-06-30 | 6.1 M | Norges Bank | 2024-06-30 | 5.7 M | Bank Of America Corp | 2024-06-30 | 4.2 M | Deutsche Bank Ag | 2024-06-30 | 4.1 M | Vaughan Nelson Scarbrgh & Mccullough Lp | 2024-06-30 | 4 M | Point72 Asset Management, L.p. | 2024-09-30 | 3.4 M | Blackrock Inc | 2024-06-30 | 41.4 M | Vanguard Group Inc | 2024-09-30 | 35.6 M |
Coty's market capitalization trends
The company currently falls under 'Mid-Cap' category with a current market capitalization of 6.37 B.Market Cap |
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Coty's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.02 | 0.02 | |
| Return On Capital Employed | 0.06 | 0.06 | |
| Return On Assets | 0.01 | 0.01 | |
| Return On Equity | 0.02 | 0.02 |
Determining Coty's profitability involves analyzing its financial statements and using various financial metrics to determine if Coty is a good buy. For example, gross profit margin measures Coty's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Coty's profitability and make more informed investment decisions.
Coty's Earnings Breakdown by Geography
Please note, the imprecision that can be found in Coty's accounting process means that the reasonable investor should take a skeptical approach toward the financial statement analysis of Coty Inc. Check Coty's Beneish M Score to see the likelihood of Coty's management manipulating its earnings.
Evaluate Coty's management efficiency
Coty Inc has return on total asset (ROA) of 0.0297 % which means that it generated a profit of $0.0297 on every $100 spent on assets. This is way below average. Similarly, it shows a return on stockholder's equity (ROE) of 0.0441 %, meaning that it created $0.0441 on every $100 dollars invested by stockholders. Coty's management efficiency ratios could be used to measure how well Coty manages its routine affairs as well as how well it operates its assets and liabilities. Return On Tangible Assets is likely to rise to 0.02 in 2024. Return On Capital Employed is likely to rise to 0.06 in 2024. At this time, Coty's Return On Assets are fairly stable compared to the past year. Asset Turnover is likely to rise to 0.57 in 2024, whereas Other Current Assets are likely to drop slightly above 368.3 M in 2024.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 4.86 | 4.40 | |
| Tangible Book Value Per Share | (3.69) | (3.87) | |
| Enterprise Value Over EBITDA | 12.45 | 11.82 | |
| Price Book Value Ratio | 2.23 | 2.12 | |
| Enterprise Value Multiple | 12.45 | 11.82 | |
| Price Fair Value | 2.23 | 2.12 | |
| Enterprise Value | 16 B | 9.9 B |
Understanding the operational decisions made by Coty management offers insights into its financial robustness. This evaluation is crucial for assessing the stock's investment potential.
Beta 1.914 |
Basic technical analysis of Coty Stock
As of the 25th of November, Coty shows the Mean Deviation of 1.62, risk adjusted performance of (0.15), and Standard Deviation of 2.26. Coty Inc technical analysis gives you the methodology to make use of historical prices and volume patterns to determine a pattern that approximates the direction of the firm's future prices.Coty's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Coty insiders, such as employees or executives, is commonly permitted as long as it does not rely on Coty's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Coty insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Coty's Outstanding Corporate Bonds
Coty issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Coty Inc uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Coty bonds can be classified according to their maturity, which is the date when Coty Inc has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
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Understand Coty's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Coty's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | (0.15) | |||
| Market Risk Adjusted Performance | (0.73) | |||
| Mean Deviation | 1.62 | |||
| Coefficient Of Variation | (504.28) | |||
| Standard Deviation | 2.26 | |||
| Variance | 5.12 | |||
| Information Ratio | (0.26) | |||
| Jensen Alpha | (0.53) | |||
| Total Risk Alpha | (0.82) | |||
| Treynor Ratio | (0.74) | |||
| Maximum Drawdown | 15.9 | |||
| Value At Risk | (2.91) | |||
| Potential Upside | 2.85 | |||
| Skewness | (1.14) | |||
| Kurtosis | 6.0 |
| Risk Adjusted Performance | (0.15) | |||
| Market Risk Adjusted Performance | (0.73) | |||
| Mean Deviation | 1.62 | |||
| Coefficient Of Variation | (504.28) | |||
| Standard Deviation | 2.26 | |||
| Variance | 5.12 | |||
| Information Ratio | (0.26) | |||
| Jensen Alpha | (0.53) | |||
| Total Risk Alpha | (0.82) | |||
| Treynor Ratio | (0.74) | |||
| Maximum Drawdown | 15.9 | |||
| Value At Risk | (2.91) | |||
| Potential Upside | 2.85 | |||
| Skewness | (1.14) | |||
| Kurtosis | 6.0 |
Consider Coty's intraday indicators
Coty intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Coty stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Coty Corporate Filings
8K | 21st of November 2024 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
F4 | 19th of November 2024 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
| 26th of September 2024 Other Reports | ViewVerify | |
| 31st of May 2024 Other Reports | ViewVerify |
Coty Stock media impact
Far too much social signal, news, headlines, and media speculation about Coty that are available to investors today. That information is available publicly through Coty media outlets and privately through word of mouth or via Coty internal channels. However, regardless of the origin, that massive amount of Coty data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Coty news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Coty relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Coty's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Coty alpha.
Coty Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Coty can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Coty Inc Historical Investor Sentiment
Investor biases related to Coty's public news can be used to forecast risks associated with an investment in Coty. The trend in average sentiment can be used to explain how an investor holding Coty can time the market purely based on public headlines and social activities around Coty Inc. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Coty's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Coty and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average Coty news discussions. The higher the estimate score, the more favorable the investor's outlook on Coty.
Coty Corporate Directors
| Mariasun Larregui | Independent Director | Profile | |
| Anna Makanju | Independent Director | Profile | |
| Olivier Goudet | Independent Director | Profile | |
| Erhard Schoewel | Independent Director | Profile |
Additional Tools for Coty Stock Analysis
When running Coty's price analysis, check to measure Coty's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Coty is operating at the current time. Most of Coty's value examination focuses on studying past and present price action to predict the probability of Coty's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Coty's price. Additionally, you may evaluate how the addition of Coty to your portfolios can decrease your overall portfolio volatility.