Citi Reiterates Neutral Rating on Coty Inc. (COTY)

Citi analyst Filippo Falorni reiterated a Neutral rating and $10.00 price target on Coty Inc. (NYSE: COTY).

The analyst comments "COTY announced preliminary F1Q’25 results with LFL sales +4-5% (below guidance +6%, as we highlighted as a risk in our preview, and below consensus’ +5.8%) driven by a slowdown in U.S. mass beauty volumes in the second half of F1Q25 and tight order/inventory management from retailers resulting in sell-in tracking below sell-through in the U.S., Australia, China, Asia TR (which each represent LSD% of COTY’s net sales). Despite strong gross margin expansion, the company expects F1Q’25 EBITDA to be flat to moderately lower Y/Y vs. F1Q’24 $360M (vs. prior guidance at the low end of $386-393M), reflecting the softer topline trend, investments in brand support, the timing of certain fixed costs, and impact from the Lacoste license divestiture. COTY expects moderate F2Q’25 LFL sales growth and some acceleration in LFL growth F2H’25. For FY’25, COTY is maintaining its EBITDA guidance for +9-11%."

For an analyst ratings summary and ratings history on Coty Inc. click here. For more ratings news on Coty Inc. click here.

Shares of Coty Inc. closed at $9.17 yesterday.

You May Also Be Interested In

• Apple suing OpenAI over alleged misappropriation of trade secrets
• Stardust Solar cancels 266,666 units issued in error from private placement
• Iran denies requesting talks with US, defies Trump