Coty (NYSE:COTY) Reaches New 52-Week Low Following Weak Earnings

Coty Inc. (NYSE:COTY - Get Free Report)'s share price reached a new 52-week low on Wednesday after the company announced weaker than expected quarterly earnings. The stock traded as low as $4.49 and last traded at $4.52, with a volume of 2180897 shares. The stock had previously closed at $5.17.

The company reported $0.01 earnings per share for the quarter, missing the consensus estimate of $0.05 by ($0.04). The firm had revenue of $1.30 billion for the quarter, compared to the consensus estimate of $1.31 billion. Coty had a return on equity of 6.34% and a net margin of 0.22%. The firm's quarterly revenue was down 6.2% on a year-over-year basis. During the same quarter in the previous year, the business earned $0.05 EPS.

Wall Street Analysts Forecast Growth

A number of brokerages have issued reports on COTY. Berenberg Bank began coverage on shares of Coty in a research report on Tuesday, March 25th. They set a "buy" rating and a $7.50 target price on the stock. Citigroup lowered their price objective on Coty from $8.00 to $6.50 and set a "buy" rating on the stock in a research note on Thursday. DA Davidson reiterated a "buy" rating and set a $12.50 target price on shares of Coty in a research report on Thursday, February 6th. Canaccord Genuity Group reissued a "hold" rating and set a $5.00 target price (down from $8.00) on shares of Coty in a report on Thursday. Finally, Piper Sandler dropped their price target on Coty from $9.00 to $8.00 and set an "overweight" rating for the company in a research note on Monday, February 24th. Two research analysts have rated the stock with a sell rating, eight have assigned a hold rating and nine have given a buy rating to the company. According to MarketBeat.com, Coty presently has an average rating of "Hold" and an average price target of $7.80.

Institutional Investors Weigh In On Coty

A number of hedge funds and other institutional investors have recently bought and sold shares of COTY. Charles Schwab Investment Management Inc. raised its position in Coty by 14.6% in the first quarter. Charles Schwab Investment Management Inc. now owns 3,535,430 shares of the company's stock valued at $19,339,000 after purchasing an additional 450,413 shares during the last quarter. Vanguard Group Inc. increased its stake in shares of Coty by 5.8% in the first quarter. Vanguard Group Inc. now owns 37,645,488 shares of the company's stock valued at $205,921,000 after buying an additional 2,055,771 shares during the period. US Bancorp DE raised its holdings in Coty by 182.7% in the 1st quarter. US Bancorp DE now owns 26,776 shares of the company's stock valued at $146,000 after buying an additional 17,303 shares during the last quarter. Bayforest Capital Ltd acquired a new stake in Coty during the 1st quarter worth approximately $219,000. Finally, XTX Topco Ltd bought a new stake in Coty during the 1st quarter worth approximately $736,000. Institutional investors own 42.36% of the company's stock.

Coty Stock Performance

The company's 50-day simple moving average is $5.22 and its 200-day simple moving average is $6.38. The stock has a market capitalization of $4.07 billion, a price-to-earnings ratio of -467.00, a PEG ratio of 0.81 and a beta of 1.90. The company has a current ratio of 0.71, a quick ratio of 0.45 and a debt-to-equity ratio of 0.85.

About Coty

Coty Inc, together with its subsidiaries, manufactures, markets, distributes, and sells beauty products worldwide. It operates through Prestige and Consumer Beauty segments. The company provides fragrance, color cosmetics, and skin and body care products. It offers Prestige segment products primarily through prestige retailers, including perfumeries, department stores, e-retailers, direct-to-consumer websites, and duty-free shops under the Burberry, Calvin Klein, Chloe, Davidoff, Escada, Gucci, Hugo Boss, Jil Sander, Joop!, Kylie Jenner, Lancaster, Marc Jacobs, Miu Miu, Orveda, philosophy, SKKN BY KIM, and Tiffany & Co brands.