Morgan Stanley Lowers Coty (NYSE:COTY) Price Target to $4.25

Key Points

• Morgan Stanley has reduced Coty's price target significantly from $5.00 to $4.25, maintaining an "equal weight" rating, which suggests a potential upside of 9.85% from its previous closing price.
• Other firms, including Goldman Sachs and Canaccord Genuity, have also lowered their price targets for Coty, indicating a trend of diminishing expectations for the stock's performance.
• Coty's recent earnings report showed a miss on expected EPS, reporting ($0.05) per share, despite a revenue of $1.25 billion for the quarter, which was higher than analyst estimates.

Coty (NYSE:COTY - Get Free Report) had its target price dropped by investment analysts at Morgan Stanley from $5.00 to $4.25 in a research note issued on Monday,Benzinga reports. The firm presently has an "equal weight" rating on the stock. Morgan Stanley's price objective would indicate a potential upside of 9.85% from the company's previous close.

Several other research firms have also recently commented on COTY. The Goldman Sachs Group lowered their price target on shares of Coty from $6.00 to $4.50 and set a "neutral" rating for the company in a report on Friday. Canaccord Genuity Group decreased their price objective on Coty from $5.00 to $4.00 and set a "hold" rating for the company in a report on Friday. Jefferies Financial Group lowered Coty from a "buy" rating to a "hold" rating and dropped their target price for the company from $6.00 to $4.00 in a report on Thursday. Wells Fargo & Company reduced their price target on Coty from $5.00 to $4.00 and set an "equal weight" rating for the company in a report on Friday. Finally, JPMorgan Chase & Co. reduced their price target on Coty from $6.00 to $5.00 and set a "neutral" rating for the company in a report on Thursday, May 8th. Four equities research analysts have rated the stock with a Buy rating, thirteen have given a Hold rating and two have issued a Sell rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of "Hold" and a consensus target price of $6.19.

Coty Trading Down 1.6%

Coty stock traded down $0.0610 during trading on Monday, hitting $3.8690. The company had a trading volume of 1,087,909 shares, compared to its average volume of 7,979,576. Coty has a 1-year low of $3.75 and a 1-year high of $9.97. The company has a current ratio of 0.77, a quick ratio of 0.46 and a debt-to-equity ratio of 1.06. The company's 50 day simple moving average is $4.86 and its 200-day simple moving average is $5.13. The stock has a market cap of $3.37 billion, a price-to-earnings ratio of -8.83, a price-to-earnings-growth ratio of 0.35 and a beta of 2.00.

Coty (NYSE:COTY - Get Free Report) last posted its earnings results on Wednesday, August 20th. The company reported ($0.05) earnings per share for the quarter, missing the consensus estimate of $0.01 by ($0.06). The company had revenue of $1.25 billion during the quarter, compared to analyst estimates of $1.20 billion. Coty had a negative net margin of 6.24% and a positive return on equity of 5.18%. The firm's revenue for the quarter was down 8.1% on a year-over-year basis. During the same quarter last year, the business posted ($0.03) EPS. As a group, analysts expect that Coty will post 0.39 EPS for the current fiscal year.

Institutional Trading of Coty

Several large investors have recently bought and sold shares of COTY. GAMMA Investing LLC raised its position in shares of Coty by 140.2% in the 1st quarter. GAMMA Investing LLC now owns 5,506 shares of the company's stock valued at $30,000 after purchasing an additional 3,214 shares in the last quarter. UMB Bank n.a. boosted its position in shares of Coty by 137.1% during the second quarter. UMB Bank n.a. now owns 6,851 shares of the company's stock worth $32,000 after buying an additional 3,962 shares during the period. Caitong International Asset Management Co. Ltd increased its stake in shares of Coty by 1,006.7% during the first quarter. Caitong International Asset Management Co. Ltd now owns 7,304 shares of the company's stock valued at $40,000 after acquiring an additional 6,644 shares during the period. Shay Capital LLC acquired a new stake in shares of Coty during the 2nd quarter valued at $46,000. Finally, FORA Capital LLC acquired a new position in Coty in the 2nd quarter worth approximately $47,000. Institutional investors and hedge funds own 42.36% of the company's stock.

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.

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