Is Selling Coty Inc. (COTY) Here a Winning Strategy?

May 24, 2018 - By Adrian Erickson

Coty Inc. (NYSE:COTY) Logo

Investors sentiment decreased to 0.95 in Q4 2017. Its down 0.22, from 1.17 in 2017Q3. It dived, as 29 investors sold Coty Inc. shares while 112 reduced holdings. 42 funds opened positions while 92 raised stakes. 499.23 million shares or 2.30% less from 510.97 million shares in 2017Q3 were reported.
Mackenzie Financial Corp accumulated 0.16% or 3.27 million shares. Bokf Na holds 0.01% in Coty Inc. (NYSE:COTY) or 14,103 shares. Nomura Asset Limited holds 236,834 shares. Rocky Mountain Advisers Lc reported 117 shares. Oppenheimer stated it has 11,839 shares. New York State Teachers Retirement Systems holds 0.03% of its portfolio in Coty Inc. (NYSE:COTY) for 626,971 shares. 90,515 are held by Sg Americas. Ubs Asset Mngmt Americas reported 1.29M shares stake. Cutter Com Brokerage holds 52,854 shares. Gargoyle Inv Advisor reported 31,742 shares. Profund Advsrs stated it has 11,523 shares. Asset Management owns 37,271 shares for 0.02% of their portfolio. State Bank Of New York Mellon Corp reported 0.09% stake. Kentucky-based Kentucky Retirement Sys Insurance Tru Fund has invested 0.04% in Coty Inc. (NYSE:COTY). Rockefeller Finance holds 5,038 shares.

Since February 12, 2018, it had 3 insider buys, and 0 insider sales for $85.36 million activity. 46,700 shares valued at $669,796 were bought by Ramos Daniel E on Friday, May 11. Singer Robert S bought $211,770 worth of Coty Inc. (NYSE:COTY) on Friday, May 11.

The stock of Coty Inc. (NYSE:COTY) hit a new 52-week low and has $12.41 target or 9.00 % below today’s $13.64 share price. The 6 months bearish chart indicates high risk for the $10.24 billion company. The 1-year low was reported on May, 24 by Barchart.com. If the $12.41 price target is reached, the company will be worth $921.33M less.
The 52-week low event is an important milestone for every stock because it shows very negative momentum and is time when sellers come in. During such technical setups, fundamental investors usually stay away and are careful buying the stock.

The stock decreased 1.73% or $0.24 during the last trading session, reaching $13.64. About 2.97M shares traded. Coty Inc. (NYSE:COTY) has risen 0.16% since May 24, 2017 and is uptrending. It has underperformed by 11.39% the S&P500.

Analysts await Coty Inc. (NYSE:COTY) to report earnings on August, 28. COTY’s profit will be $105.07 million for 24.36 P/E if the $0.14 EPS becomes a reality. After $0.13 actual EPS reported by Coty Inc. for the previous quarter, Wall Street now forecasts 7.69 % EPS growth.

Coty Inc. (NYSE:COTY) Ratings Coverage

Among 9 analysts covering Coty Inc (NYSE:COTY), 4 have Buy rating, 1 Sell and 4 Hold. Therefore 44% are positive. Coty Inc had 10 analyst reports since December 12, 2017 according to SRatingsIntel. The stock has “Buy” rating by Stifel Nicolaus on Thursday, February 8. The rating was maintained by JP Morgan on Monday, February 12 with “Underweight”. The rating was maintained by Citigroup on Friday, February 9 with “Buy”. The rating was downgraded by Deutsche Bank to “Hold” on Friday, May 11. As per Thursday, February 8, the company rating was maintained by BMO Capital Markets. As per Tuesday, December 12, the company rating was upgraded by Citigroup. The firm has “Outperform” rating by RBC Capital Markets given on Thursday, December 21. The firm has “Hold” rating by Berenberg given on Thursday, May 10.

More recent Coty Inc. (NYSE:COTY) news were published by: Seekingalpha.com which released: “Coty – Smells Bad” on May 13, 2018. Also Seekingalpha.com published the news titled: “Coty positive on earnings beat” on May 09, 2018. Benzinga.com‘s news article titled: “Deutsche Bank: 4 Reasons Why Coty’s Stock Is No Longer Attractive” with publication date: May 13, 2018 was also an interesting one.

Coty Inc., together with its subsidiaries, makes, markets, sells, and distributes beauty products worldwide. The company has market cap of $10.24 billion. It operates in three divisions: Consumer Beauty, Luxury, and Professional Beauty. It currently has negative earnings. The Consumer Beauty segment offers color cosmetics, retail hair coloring and styling products, body care products, and mass fragrances primarily through hypermarkets, supermarkets, drug stores and pharmacies, mid-tier department stores, and traditional food and drug retailers, as well as own branded e-commerce and direct to consumer Websites.

Coty Inc. (NYSE:COTY) Institutional Positions Chart

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