COTY INC-CL A (COTY.PA) Stock Fundamental Analysis
EPA:COTY - Euronext Paris - Matif - US2220702037 - Common Stock - Currency: EUR
COTY gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 13 industry peers in the Personal Care Products industry. COTY has a bad profitability rating. Also its financial health evaluation is rather negative. COTY has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year COTY was profitable.
In the past year COTY had a positive cash flow from operations.
In multiple years COTY reported negative net income over the last 5 years.
Of the past 5 years COTY 4 years had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of 0.00%, COTY is not doing good in the industry: 84.62% of the companies in the same industry are doing better.
With a Return On Equity value of 0.01%, COTY is not doing good in the industry: 84.62% of the companies in the same industry are doing better.
COTY's Return On Invested Capital of 4.44% is on the low side compared to the rest of the industry. COTY is outperformed by 92.31% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for COTY is significantly below the industry average of 11.63%.
The last Return On Invested Capital (4.44%) for COTY is above the 3 year average (3.16%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0% | ||
| ROE | 0.01% | ||
| ROIC | 4.44% |
ROA(3y)1.68%
ROA(5y)-0.65%
ROE(3y)5.64%
ROE(5y)-5.48%
ROIC(3y)3.16%
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 0.00%, COTY is doing worse than 84.62% of the companies in the same industry.
COTY has a Operating Margin of 10.25%. This is in the lower half of the industry: COTY underperforms 61.54% of its industry peers.
In the last couple of years the Operating Margin of COTY has grown nicely.
With a decent Gross Margin value of 65.40%, COTY is doing good in the industry, outperforming 61.54% of the companies in the same industry.
COTY's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.25% | ||
| PM (TTM) | 0% | ||
| GM | 65.4% |
OM growth 3Y39.33%
OM growth 5Y19.8%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y2.4%
GM growth 5Y1.28%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so COTY is destroying value.
COTY has more shares outstanding than it did 1 year ago.
COTY has more shares outstanding than it did 5 years ago.
COTY has a better debt/assets ratio than last year.
2.2 Solvency
COTY has an Altman-Z score of 0.43. This is a bad value and indicates that COTY is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of COTY (0.43) is worse than 92.31% of its industry peers.
COTY has a debt to FCF ratio of 12.20. This is a negative value and a sign of low solvency as COTY would need 12.20 years to pay back of all of its debts.
COTY has a worse Debt to FCF ratio (12.20) than 84.62% of its industry peers.
A Debt/Equity ratio of 0.93 indicates that COTY is somewhat dependend on debt financing.
The Debt to Equity ratio of COTY (0.93) is worse than 61.54% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.93 | ||
| Debt/FCF | 12.2 | ||
| Altman-Z | 0.43 |
ROIC/WACC0.7
WACC6.34%
2.3 Liquidity
COTY has a Current Ratio of 0.71. This is a bad value and indicates that COTY is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of COTY (0.71) is worse than 92.31% of its industry peers.
COTY has a Quick Ratio of 0.71. This is a bad value and indicates that COTY is not financially healthy enough and could expect problems in meeting its short term obligations.
COTY has a Quick ratio of 0.45. This is amonst the worse of the industry: COTY underperforms 92.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.71 | ||
| Quick Ratio | 0.45 |
3. Growth
3.1 Past
The earnings per share for COTY have decreased strongly by -50.88% in the last year.
Measured over the past years, COTY shows a decrease in Earnings Per Share. The EPS has been decreasing by -9.43% on average per year.
COTY shows a small growth in Revenue. In the last year, the Revenue has grown by 1.35%.
Measured over the past years, COTY shows a decrease in Revenue. The Revenue has been decreasing by -0.55% on average per year.
EPS 1Y (TTM)-50.88%
EPS 3Y40.71%
EPS 5Y-9.43%
EPS Q2Q%-56%
Revenue 1Y (TTM)1.35%
Revenue growth 3Y9.74%
Revenue growth 5Y-0.55%
Sales Q2Q%-3.34%
3.2 Future
COTY is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 17.33% yearly.
The Revenue is expected to grow by 5.33% on average over the next years.
EPS Next Y9.68%
EPS Next 2Y19.17%
EPS Next 3Y16.83%
EPS Next 5Y17.33%
Revenue Next Year-2.88%
Revenue Next 2Y-0.09%
Revenue Next 3Y1.05%
Revenue Next 5Y5.33%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
COTY is valuated rather expensively with a Price/Earnings ratio of 20.69.
Based on the Price/Earnings ratio, COTY is valued cheaply inside the industry as 92.31% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 29.35. COTY is valued slightly cheaper when compared to this.
With a Price/Forward Earnings ratio of 10.55, the valuation of COTY can be described as very reasonable.
Based on the Price/Forward Earnings ratio, COTY is valued cheaply inside the industry as 92.31% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.10, COTY is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.69 | ||
| Fwd PE | 10.55 |
4.2 Price Multiples
84.62% of the companies in the same industry are more expensive than COTY, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, COTY is valued a bit cheaper than 76.92% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.53 | ||
| EV/EBITDA | 8.04 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
A more expensive valuation may be justified as COTY's earnings are expected to grow with 16.83% in the coming years.
PEG (NY)2.14
PEG (5Y)N/A
EPS Next 2Y19.17%
EPS Next 3Y16.83%
5. Dividend
5.1 Amount
No dividends for COTY!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
EPA:COTY (3/7/2025, 7:00:00 PM)
5.38
+0.11 (+2.09%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupHousehold & Personal Products
GICS IndustryPersonal Care Products
Earnings (Last)
Earnings (Next)
Inst Owners38.7%
Inst Owner ChangeN/A
Ins Owners5.9%
Ins Owner ChangeN/A
Market Cap4.69B
Analysts73.85
Price Target8.69 (61.52%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0.01
Dividend Growth(5Y)-49.18%
DP4433.33%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-34.26%
Min EPS beat(2)-47.48%
Max EPS beat(2)-21.04%
EPS beat(4)0
Avg EPS beat(4)-63.86%
Min EPS beat(4)-166.84%
Max EPS beat(4)-20.1%
EPS beat(8)2
Avg EPS beat(8)23.49%
EPS beat(12)5
Avg EPS beat(12)30.11%
EPS beat(16)7
Avg EPS beat(16)27.11%
Revenue beat(2)0
Avg Revenue beat(2)-3.58%
Min Revenue beat(2)-4.85%
Max Revenue beat(2)-2.31%
Revenue beat(4)0
Avg Revenue beat(4)-2.72%
Min Revenue beat(4)-4.85%
Max Revenue beat(4)-0.89%
Revenue beat(8)4
Avg Revenue beat(8)-0.44%
Revenue beat(12)6
Avg Revenue beat(12)-0.29%
Revenue beat(16)7
Avg Revenue beat(16)-0.47%
PT rev (1m)-11.57%
PT rev (3m)-12.63%
EPS NQ rev (1m)-27.85%
EPS NQ rev (3m)-27.81%
EPS NY rev (1m)-18.71%
EPS NY rev (3m)-19.2%
Revenue NQ rev (1m)-6.95%
Revenue NQ rev (3m)-7.72%
Revenue NY rev (1m)-4.26%
Revenue NY rev (3m)-4.7%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.69 | ||
| Fwd PE | 10.55 | ||
| P/S | 0.84 | ||
| P/FCF | 17.53 | ||
| P/OCF | 9.46 | ||
| P/B | 1.35 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.04 |
EPS(TTM)0.26
EY4.83%
EPS(NY)0.51
Fwd EY9.48%
FCF(TTM)0.31
FCFY5.7%
OCF(TTM)0.57
OCFY10.57%
SpS6.43
BVpS4
TBVpS-3.64
PEG (NY)2.14
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0% | ||
| ROE | 0.01% | ||
| ROCE | 6.95% | ||
| ROIC | 4.44% | ||
| ROICexc | 4.57% | ||
| ROICexgc | 26.67% | ||
| OM | 10.25% | ||
| PM (TTM) | 0% | ||
| GM | 65.4% | ||
| FCFM | 4.77% |
ROA(3y)1.68%
ROA(5y)-0.65%
ROE(3y)5.64%
ROE(5y)-5.48%
ROIC(3y)3.16%
ROIC(5y)N/A
ROICexc(3y)3.27%
ROICexc(5y)N/A
ROICexgc(3y)18.34%
ROICexgc(5y)N/A
ROCE(3y)4.95%
ROCE(5y)N/A
ROICexcg growth 3Y73.18%
ROICexcg growth 5Y49.37%
ROICexc growth 3Y62.67%
ROICexc growth 5Y29.53%
OM growth 3Y39.33%
OM growth 5Y19.8%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y2.4%
GM growth 5Y1.28%
F-Score5
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.93 | ||
| Debt/FCF | 12.2 | ||
| Debt/EBITDA | 3.38 | ||
| Cap/Depr | 59.15% | ||
| Cap/Sales | 4.07% | ||
| Interest Coverage | 2.82 | ||
| Cash Conversion | 51.6% | ||
| Profit Quality | 96833.3% | ||
| Current Ratio | 0.71 | ||
| Quick Ratio | 0.45 | ||
| Altman-Z | 0.43 |
F-Score5
WACC6.34%
ROIC/WACC0.7
Cap/Depr(3y)48.05%
Cap/Depr(5y)42.24%
Cap/Sales(3y)3.77%
Cap/Sales(5y)4.15%
Profit Quality(3y)489.65%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-50.88%
EPS 3Y40.71%
EPS 5Y-9.43%
EPS Q2Q%-56%
EPS Next Y9.68%
EPS Next 2Y19.17%
EPS Next 3Y16.83%
EPS Next 5Y17.33%
Revenue 1Y (TTM)1.35%
Revenue growth 3Y9.74%
Revenue growth 5Y-0.55%
Sales Q2Q%-3.34%
Revenue Next Year-2.88%
Revenue Next 2Y-0.09%
Revenue Next 3Y1.05%
Revenue Next 5Y5.33%
EBIT growth 1Y-3.97%
EBIT growth 3Y52.89%
EBIT growth 5Y19.15%
EBIT Next Year37.8%
EBIT Next 3Y15.84%
EBIT Next 5Y11.84%
FCF growth 1Y-35.03%
FCF growth 3Y36.64%
FCF growth 5Y11.64%
OCF growth 1Y-15.52%
OCF growth 3Y24.47%
OCF growth 5Y-0.79%