COTY

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Analyst Ratings: RBC Capital's Nik Modi maintains a Buy rating on Coty with a price target of $13.00, while Wells Fargo holds a Hold rating. D.A. Davidson also issued a Buy rating recently.

Stock Performance: Coty's shares closed at $5.65, with a one-year high of $11.81 and a low of $5.35, indicating significant volatility in its stock performance.

Coty Inc. Sells Stake: Coty Inc. has sold its 20% stake in the SKKN by Kim Kardashian brand to SKIMS, ending their partnership, with financial details undisclosed.

Investment Strategy: The proceeds from the sale will be used by Coty to further its deleveraging strategy and invest in innovations across its brand portfolio.

Coty's Stake Sale: Coty Inc. has sold its 20% stake in Kim Kardashian's SKKN brand to SKIMS, marking the end of their partnership and the consolidation of beauty and lifestyle ventures under one brand.

Future Plans for Coty: Following the sale, Coty aims to focus on deleveraging and investing in innovations across its diverse portfolio of beauty brands, while continuing to grow its successful Kylie Cosmetics line.

Coty's Partnership Conclusion: Coty has ended its partnership with Kim Kardashian and the SKKN by Kim brand, selling its 20% stake to SKIMS, which will now consolidate beauty and lifestyle ventures under one brand.

Market Analysis on Coty: Despite challenges, analysts have varied opinions on Coty's stock, with upgrades and price target adjustments from firms like Citi and Piper Sandler, reflecting a mixed outlook on the company's strategic focus and diversification efforts.

Stock Performance Highlights: Accenture's shares dropped 7% after disappointing earnings, while Jabil and Five Below saw gains of 5% and 7%, respectively, due to better-than-expected financial results. Other notable movements included Coty gaining 1.8% from an upgrade, and ProAssurance surging 48% on acquisition news.

Market Reactions: Several companies faced downgrades, including Stellantis and Rivian, which saw declines of 3.6% and 3.4%. Meanwhile, Meta Platforms recovered slightly with a 2.5% increase, and Boston Beer rose 2.8% following a positive analyst upgrade.

Coty's Stock Performance: After a 38% decline in Coty shares, Citi Research upgraded the stock to Buy, citing that current valuations reflect consumer beauty segment weaknesses and potential value from the sale of its Wella business.

Market Outlook: Despite recent slow growth in Coty's topline, analysts maintain a bullish outlook for the company, anticipating medium-term category growth of 3% to 7%, particularly driven by strong demand in the prestige fragrance segment.

Analyst Ratings Overview: Coty has received mixed ratings from 12 analysts, with an average 12-month price target of $8.96, reflecting a decrease from previous estimates and showing a range of bullish to bearish sentiments over the last few months.

Company Performance Insights: Despite having a strong market capitalization and exceptional net margin, Coty faces revenue growth challenges, with a decline of approximately -3.34% in the last three months, indicating underperformance compared to industry peers.

Market Movements: QXO's shares rose 4.8% after announcing an $11 billion acquisition of Beacon Roofing Supply, while PDD Holdings fell 6% due to disappointing earnings. Five Below's shares increased 7.8% following a strong earnings report, whereas Tesla's shares dropped 2.7% after recalling Cybertruck vehicles.

Company Upgrades and Downgrades: Cava and Coty saw share increases after upgrades from JPMorgan and Citi, respectively, while Stellantis and Rivian experienced declines following downgrades. ProAssurance surged nearly 50% on news of its acquisition by The Doctors Company.

Wall Street Stock Ratings: Various firms have made significant upgrades and initiations on stocks, including Scotiabank initiating Microsoft as a buy with a target of $470, Piper Sandler reiterating Tesla as overweight despite lowering its price target, and JPMorgan upgrading Cava to overweight due to expansion potential.

Market Trends and Recommendations: Analysts are cautious about the automotive sector, downgrading Rivian and Stellantis to neutral due to political uncertainties, while other companies like Coty and Boston Beer received upgrades based on growth potential and improving margins.

Coty's #UndefineBeauty Campaign: Coty hosted a roundtable to challenge restrictive beauty standards and definitions, urging dictionary publishers to update outdated definitions of beauty. The campaign has gained significant support and aims to reflect diverse visions of beauty in society.

Collective Action for Change: The #UndefineBeauty movement invites public participation through a petition on change.org, emphasizing the importance of redefining beauty standards to empower individuals and promote inclusivity across various perspectives.

ETF Analyst Target Prices: The Vanguard S&P Mid-Cap 400 Value ETF (IVOV) has an implied analyst target price of $112.23, indicating a potential upside of 20.34% from its current trading price of $93.26.

Individual Stock Upside Potential: Notable underlying holdings such as Weatherford International, Amkor Technology, and Coty show significant upside potential based on analyst targets, with expected increases of 82.61%, 58.53%, and 51.28% respectively from their recent prices.

Market Performance: The S&P 500 closed down 1.39%, now 10.18% off its February high, while the Nasdaq 100 and Russell 2000 also saw significant declines. Utilities are the only sector in positive territory this week, with top performers like Consolidated Edison and Exelon.

Commodity and Company Updates: Gold prices reached $3,000, up 12% over three months, and the VanEck Gold Miners ETF rose 3%. Ulta Beauty's quarterly report exceeded expectations but provided weaker full-year guidance, resulting in a 7% after-hours stock increase despite being significantly below its 52-week high.

Analyst Ratings: RBC Capital analyst Nik Modi maintains a Buy rating on Coty with a price target of $13.00, while other analysts have varied opinions, including a Sell rating from Barclays and a recent Buy from Piper Sandler.

Financial Performance: Coty reported a quarterly revenue of $1.67 billion and a net profit of $20.4 million for the quarter ending December 31, showing a decline in both revenue and profit compared to the previous year.

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Price Target Adjustment: Piper Sandler has reduced Coty's price target from $9 to $8 while maintaining an Overweight rating, citing ongoing softness in North America mass cosmetics and Asia but noting that some issues may be temporary.

Positive Outlook: The firm highlights encouraging investments in fragrance and the potential for a significant total shareholder return (TSR) from a future Wella divestiture, which is not yet reflected in the stock's valuation.

Coty Ratings Overview: Goldman Sachs maintains a Hold rating on Coty with a price target of $8.00, while Wells Fargo also holds a similar stance; however, Barclays has issued a Sell rating.

Stock Performance: Coty's shares closed at $5.71, with a one-year high of $13.30 and a low of $5.42, indicating fluctuations in its market performance.

Coty Inc.'s Growth Strategy: Coty Inc. is focused on achieving consistent growth in gross and EBITDA margins, targeting double-digit increases in adjusted earnings per share while reducing leverage to about 2x by the end of 2026.

Upcoming Presentation: The company's CEO Sue Nabi and CFO Laurent Mercier will present updates on their category leadership and financial progress at the 2025 Consumer Analyst Group of New York Conference on February 19.

Industry Performance: The beauty industry is experiencing a sluggish start to 2025, with major companies like L'Oréal and Estée Lauder reporting weak fourth-quarter results and a significant slowdown in growth from 5.5% to 3.5% in the latter half of 2024.

Future Outlook: UBS warns that expectations for a quick recovery in Q2 may be overly optimistic due to ongoing challenges such as rising costs, declining demand in key markets like Asia and North America, and uncertainty surrounding new product launches.

Kris Jenner's Home Sale: Kris Jenner is selling her iconic Hidden Hills home, featured in "Keeping Up With The Kardashians," for $13.5 million after owning it for 15 years and creating many family memories there.

Family Wealth Overview: While Kris Jenner has a net worth of $170 million, her children, particularly Kim Kardashian and Kylie Jenner, have amassed greater fortunes, with Kim valued at $1.7 billion and Kylie at $710 million, largely due to their successful business ventures.