In a staggering blow to the cosmetics industry, Coty Inc. (NYSE: COTY) saw its shares retreat by 16% today, February 6, 2026, marking the company’s steepest single-day decline in years. The sell-off followed a disappointing second-quarter fiscal 2026 earnings report that laid bare the intensifying challenges facing the beauty
Shares of beauty products company Coty (NYSE:COTY)
fell 12.6% in the afternoon session after the company reported fourth-quarter 2025 results that missed Wall Street's profit expectations.
Beauty products company Coty (NYSE:COTY) reported Q4 CY2025 results topping the market’s revenue expectations, but sales were flat year on year at $1.68 billion. Its non-GAAP profit of $0.14 per share was 24.2% below analysts’ consensus estimates.
Date: February 6, 2026 Introduction The high-stakes world of prestige beauty was sent into a tailspin yesterday as The Estée Lauder Companies Inc. (NYSE: EL) witnessed a dramatic 19.2% collapse in its share price. The sell-off, which represents one of the steepest single-day declines in the company’s nearly 80-year history, came on the heels of [...]
Beauty products company Coty (NYSE:COTY) announced better-than-expected revenue in Q4 CY2025, but sales were flat year on year at $1.68 billion. Its non-GAAP profit of $0.14 per share was 24.2% below analysts’ consensus estimates.
Small-cap stocks can be incredibly lucrative investments because their lack of analyst coverage leads to frequent mispricings.
However, these businesses (and their stock prices) often stay small because their subscale operations make it harder to expand their competitive moats.
Wall Street is overwhelmingly bullish on the stocks in this article, with price targets suggesting significant upside potential.
However, it’s worth remembering that analysts rarely issue sell ratings, partly because their firms often seek other business from the same companies they cover.
Coty has gotten torched over the last six months - since July 2025, its stock price has dropped 35.8% to $3.19 per share. This was partly driven by its softer quarterly results and may have investors wondering how to approach the situation.
As of late 2025, The Estée Lauder Companies (NYSE: EL) stands at a pivotal crossroads in its nearly 80-year history. Once the undisputed champion of the prestige beauty world, the company spent much of the early 2020s navigating a "perfect storm" of inventory gluts, an over-reliance on the Chinese travel retail market, and a leadership [...]
The past year hasn't been kind to the stocks featured in this article.
Each has tumbled to their lowest points in 12 months, leaving investors to decide whether they're witnessing fire sales or falling knives.
Shares of beauty products company Coty (NYSE:COTY)
fell 5.3% in the morning session after the company announced CEO Sue Nabi would step down, prompting a downgrade from Evercore ISI.
The company has had a whirlwind year, selling a stake in Kim K’s Skims, initiating a strategic review of its consumer beauty business, and now having a new interim CEO.
Coty has sold its remaining 25.8% stake in Wella to KKR-managed capital accounts and investment affiliates for an upfront cash payment of $775 million.
Many small-cap stocks have limited Wall Street coverage, giving savvy investors the chance to act before everyone else catches on.
But the flip side is that these businesses have increased downside risk because they lack the scale and staying power of their larger competitors.
Investors can certainly boost their returns by concentrating on stocks trading between $1 and $10.
However, a disciplined approach is necessary because many of these businesses are speculative and lack the underlying fundamentals to support their prices.
Generating cash is essential for any business, but not all cash-rich companies are great investments.
Some produce plenty of cash but fail to allocate it effectively, leading to missed opportunities.
Quarterly earnings results are a good time to check in on a company’s progress, especially compared to its peers in the same sector. Today we are looking at Coty (NYSE:COTY) and the best and worst performers in the personal care industry.
Coty’s third quarter results came in largely as Wall Street anticipated on revenue, but the company’s adjusted profit fell short of consensus estimates. Management attributed the revenue and margin pressures primarily to the ongoing transition away from the Gucci fragrance license, as well as inventory reductions among key retail partners. CEO Sue Nabi acknowledged the operational challenges that arose from uncertainty over the Gucci license, stating, “the uncertainty over the last few years around the fate of the Gucci license… were a challenge for the Coty organization and the Coty reputation.”
