Goldman has recently initiated Coty Inc (COTY) stock to Neutral rating, as announced on December 13, 2024, according to Finviz. Earlier, on November 13, 2024, TD Cowen had reduced the stock from a Buy to Hold, setting a price target of $8.50 for COTY stock. Barclays also reduced Underweight rating with a price target of $7. Additionally, Deutsche Bank reiterated Buy rating on October 16, 2024, with a target price of $12. Jefferies analysts, in their report published on October 7, 2024, also raised Buy rating and set a price target of $12 for Coty Inc’s stock. Analyst ratings are significant because they provide insights into stock performance expectations, influencing investor decisions and market sentiment.
Coty Inc (COTY) Stock Trading Recap
On Tuesday, Coty Inc (COTY) stock saw a decline, ending the day at $6.74 which represents a decrease of $-0.03 or -0.44% from the prior close of $6.77. The stock opened at $6.78 and touched a low of $6.68 during the day, reaching a high of $6.84. The volume of shares traded was 3.37 million falling short of the average volume of 5.45 million.
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COTY Stock Performance and Moving Averages
In recent trading, Coty Inc (COTY) stock price has shown some volatility, fluctuating -1.46% over the last five trades and -11.55% over the past 30 trades. This represents a notable shift from earlier in the year. Over the last six months, the stock has risen by -34.12%, and it has plunged by -26.82% in the previous three months. Currently, COTY is trading at -3.60%, -7.12%, and -26.87% relative to its 20-Day, 50-Day, and 200-Day Simple Moving Averages, respectively.
As of the latest trading close, COTY, a Consumer Defensive sector stock, is trading -49.32% below its 52-week high but remains 2.28% above its 52-week low. The Average True Range (ATR) (14 days) of 0.22 highlights the stock’s average volatility, providing insight into how much the price typically fluctuates. This measure is crucial for understanding potential price swings and assessing overall market risk.
Coty Inc’s Profitability and Valuation Ratios
Coty Inc’s profitability metrics reveal financial health. The company currently boasts an operating margin of 9.72% and a profit margin of 2.56%, with a gross margin of -34.12%. The profit margin, also known as the revenue ratio or gross profit ratio, measures how efficiently a company converts sales into net income; higher margins indicate greater profitability.
In terms of valuation, Coty Inc’s market capitalization stands at $5.86 billion. Market cap represents the total value of all outstanding shares and is a key indicator of a company’s market value. The stock’s price-to-earnings (P/E) ratio is 40, assessing the company’s valuation relative to its earnings. The forward P/E ratio, which uses projected earnings for the next financial year, is 10.86. Additionally, the Price-to-Sales Ratio is 0.95, reflecting the market’s valuation of the company’s sales, while the Price-to-Book Ratio is 1.45, comparing the market value to the company’s book value.
Understanding Insider Trading
Investors often prefer to invest in shares held by company insiders, as management is typically more aligned with the company’s success and shareholder interests. Currently, insiders own just 57.88% of Coty Inc (COTY)’s shares, while financial institutions hold 40.12%.
Notable insider trades include Singer Robert S, Director at Coty Inc (COTY), who sold 90000 shares on Mar 04 ’24, at $12.56 each, totaling $1.13 million. On Mar 06 ’24, Singer Robert S, Director, sold 30000 shares for $12.7 each, amounting to $0.38 million. Additionally, on Mar 06 ’24, Singer Robert S sold 20000 shares at $12.72 each, generating $0.25 million.