Coty (NYSE:COTY) Stock Price Expected to Rise, Royal Bank Of Canada Analyst Says

Key Points

• Royal Bank of Canada raised Coty’s price target to $3.50 from $3.00 but kept a “sector perform” rating; the target implied 11.73% downside from the prior close. Analysts’ overall consensus rating is “Reduce,” with an average target of $3.25.
• Coty beat quarterly earnings and revenue expectations, reporting $0.16 per share and $1.56 billion in revenue. However, revenue fell 1.4% year over year, and higher costs are weighing on margins and the near-term profit outlook.
• Core Prestige brands returned to growth and helped narrow the sales decline, while Coty extended its Marc Jacobs Beauty license for 40 years. The company’s strategic review may conclude by the end of 2026, though its outcome remains uncertain.

Coty (NYSE:COTY - Get Free Report) had its price target increased by equities researchers at Royal Bank Of Canada from $3.00 to $3.50 in a report released on Friday, Benzinga reports. The firm currently has a "sector perform" rating on the stock. Royal Bank Of Canada's price objective suggests a potential downside of 11.73% from the stock's previous close.

COTY has been the topic of several other research reports. Jefferies Financial Group upped their price target on Coty from $2.40 to $2.95 and gave the company a "buy" rating in a report on Monday, October 19th. Zacks Research downgraded Coty from a "hold" rating to a "strong sell" rating in a research note on Monday, October 26th. Citigroup boosted their price target on shares of Coty from $2.80 to $3.00 and gave the company a "neutral" rating in a report on Wednesday, October 14th. Morgan Stanley increased their price objective on Coty from $2.50 to $2.75 and gave the stock an "equal weight" rating in a report on Tuesday, August 25th. Finally, Deutsche Bank Aktiengesellschaft restated a "hold" rating and set a $3.00 target price on shares of Coty in a report on Friday, August 21st. One investment analyst has rated the stock with a Buy rating, nine have given a Hold rating and three have issued a Sell rating to the company. According to data from MarketBeat.com, Coty currently has a consensus rating of "Reduce" and an average target price of $3.25.

Coty Stock Performance

COTY stock traded up $0.06 during trading on Friday, hitting $3.96. 4,368,049 shares of the company's stock traded hands, compared to its average volume of 8,715,225. The stock has a market capitalization of $3.49 billion, a price-to-earnings ratio of -6.10, a price-to-earnings-growth ratio of 0.67 and a beta of 0.83. Coty has a 52 week low of $1.82 and a 52 week high of $4.09. The stock has a fifty day moving average price of $2.92 and a two-hundred day moving average price of $2.55. The company has a quick ratio of 0.42, a current ratio of 0.75 and a debt-to-equity ratio of 0.96.

Coty (NYSE:COTY - Get Free Report) last released its quarterly earnings results on Wednesday, November 4th. The company reported $0.16 EPS for the quarter, topping the consensus estimate of $0.12 by $0.04. The business had revenue of $1.56 billion during the quarter, compared to analyst estimates of $1.53 billion. Coty had a negative net margin of 9.74% and a positive return on equity of 7.05%. The company's quarterly revenue was down 1.4% on a year-over-year basis. During the same quarter in the prior year, the firm earned $0.12 earnings per share. As a group, equities analysts anticipate that Coty will post 0.31 EPS for the current fiscal year.

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the company. Fifth Third Bancorp raised its position in Coty by 4.0% during the 3rd quarter. Fifth Third Bancorp now owns 89,855 shares of the company's stock worth $235,000 after purchasing an additional 3,424 shares during the last quarter. Maryland State Retirement & Pension System boosted its holdings in shares of Coty by 52.2% during the 3rd quarter. Maryland State Retirement & Pension System now owns 84,161 shares of the company's stock worth $220,000 after buying an additional 28,874 shares in the last quarter. Illinois Municipal Retirement Fund acquired a new stake in Coty in the third quarter worth $525,000. Gryphon Financial Partners LLC acquired a new stake in shares of Coty in the 3rd quarter valued at about $29,000. Finally, M&G PLC increased its holdings in shares of Coty by 7.9% during the third quarter. M&G PLC now owns 3,675,063 shares of the company's stock valued at $9,592,000 after acquiring an additional 268,653 shares in the last quarter. Institutional investors and hedge funds own 42.36% of the company's stock.

Coty News Roundup

Here are the key news stories impacting Coty this week:

• Positive Sentiment: Adjusted earnings were $0.16 per share versus the $0.12 consensus, while revenue of $1.56 billion topped expectations of $1.53 billion. Coty also reported improved free cash flow. Coty Q1 FY2027 results
• Positive Sentiment: Core Prestige brands returned to growth, helping narrow the company’s sales decline—a constructive sign for Coty’s turnaround. Prestige growth and narrower sales decline
• Positive Sentiment: Coty extended its Marc Jacobs Beauty license for 40 years, providing longer-term continuity for the brand’s beauty business. Marc Jacobs Beauty license extension
• Neutral Sentiment: Management indicated its strategic review could be completed by the end of calendar 2026. The timing and eventual outcome remain uncertain; coverage also referenced a $400 million Gucci-related deal. Strategic review and Gucci deal
• Negative Sentiment: Revenue was down 1.4% year over year, and reports pointed to shrinking margins. Coty also forecast a softer second-quarter profit as higher costs weigh on the turnaround, limiting the impact of the earnings beat. Reuters report on second-quarter outlook

About Coty

Coty Inc is a global beauty company that develops, manufactures and markets fragrances, cosmetics, skin care and body-care products. Its portfolio includes luxury, prestige and mass-market brands, with products sold through department stores, specialty retailers, e-commerce platforms and other distribution channels.

The company's brands have included CoverGirl, Rimmel London, Max Factor, Bourjois, Gucci Beauty, Calvin Klein, Marc Jacobs, Burberry, Hugo Boss and Chloé, among others. Coty also participates in professional beauty through hair-care and salon brands, including the Wella portfolio.

Founded in Paris in 1904 by François Coty, the company built its early reputation in fragrance before expanding into broader beauty categories and international markets.

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