4.1300 +0.02 (0.36%)
After hours: 7:50PM EDT
|Bid||4.1100 x 900|
|Ask||4.1400 x 38500|
|Day's range||4.1000 - 4.4000|
|52-week range||3.0200 - 13.4200|
|Beta (5Y monthly)||1.04|
|PE ratio (TTM)||N/A|
|Earnings date||26 Aug 2020 - 31 Aug 2020|
|Forward dividend & yield||N/A (N/A)|
|Ex-dividend date||14 Feb 2020|
|1y target est||5.84|
Investors need to pay close attention to Coty (COTY) stock based on the movements in the options market lately.
Kim Kardashian's latest deal with beauty conglomerate Coty values her company at $1 billion, but questions loom over her own billionaire status.
(Bloomberg) -- Coty Inc., rushing to lift its fortunes after a tough start to the year, is doubling down on the Kardashians.The owner of Max Factor and Covergirl agreed on Monday to buy a 20% stake in Kim Kardashian West’s beauty business for $200 million. The company’s plan to develop skin, hair and nail products under the reality TV star’s brand comes just months after Coty inked a $600 million deal with her sister, Kylie Jenner.The back-to-back tie-ups with members of the same empire are intended to rekindle sales growth and drive e-commerce at Coty, which took a $3 billion writedown last summer in a stunning admission that many of its mass-market brands are out of touch. The question for investors now is whether Coty can strike gold twice with the Hollywood family, repeating the rapid success of Jenner’s cosmetics portfolio with Kardashian West’s smaller line.Coty, whose shares were down 63% this year before the announcement, rose as much as 15% in New York trading Monday.‘Smart Deal’Coty’s move to up the ante with one of the world’s most famous families is “a smart deal” that solidifies the company’s push to boost its direct-to-consumer channel, said Shelly Socol, co-founder of One Rockwell, a brand marketing firm specializing in e-commerce.“They know that they haven’t been as successful with some of their internal brands. This is a way to parlay that, use their knowledge and the Kardashian name,” Socol said in an interview. “Kim’s beauty brand isn’t as big as Kylie’s was, so they’re getting it at a good time.”Investor excitement comes as influencer culture and celebrity sway has reached a crescendo, buoyed by a boost in screentime brought on by the coronavirus pandemic. Legacy consumer companies have found that big-name collaborations, especially those that look good on Instagram, can breathe new life into struggling product lines. The Coty tie-up would further entwine the beauty company in the Kardashian web, tying the beauty company’s prospects more tightly to the family’s ability to appeal to consumers.Deal ConcernBut there’s still concern around the deal and its upside. Morningstar analyst Rebecca Scheuneman said Coty may have paid too much for KKW, which is valued at $1 billion and has no public sales data to back it up. Meanwhile, “it’s risky to build brands around celebrities” when their popularity can sporadically change, Scheuneman said. The move appears especially counterintuitive after Coty terminated celebrity fragrance brands with Lady Gaga, Celine Dion and Tim McGraw in 2018.But still, Socol says, “it’s a price worth paying. You’re not just buying the brand; you’re buying the know-how.”Coty expects the acquisition to be completed in the third quarter, and all the products will be sold through luxury beauty retailers as well as online, according to a statement Monday.News of the deal comes after Seed Beauty, Kardashian West’s partner for her beauty line, won a court order temporarily blocking the reality TV star from sharing trade secrets in their agreement as she pursued the stake sale. Seed Beauty, which typically partners with celebrities to develop cosmetics and manufactures the products, said Coty would gain an “unfair competitive advantage.”The Coty tie-up was announced just days after Kardashian West’s husband, musician and designer Kanye West, announced a partnership with Gap Inc. on a new line of apparel for men, women and kids called Yeezy Gap.(Updates with analyst comments throughout)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Coty Inc has announced that it will acquire 20% stake in Kim Kardashian West’s beauty business worth $200 million, sending shares of the cosmetics maker up over 12%.
Coty Inc. (NYSE: COTY) and Kim Kardashian West announced today that they have entered into a strategic transaction to further develop Kardashian West’s business globally. Together, Coty and Kardashian West will focus on entering new beauty categories and global expansion beyond her existing product lines. Kardashian West and her team will lead all creative efforts in terms of product and communications initiatives, building on her remarkable global reach capabilities through social media.
Barclays' analysts say that Robinhood isn't behind the stock market's rally. But others think that it might at least have something to do with it.
(Bloomberg) -- Barclays Plc is calling into question the narrative that mom-and-pop investors have played a major role in driving equities’ massive rebound.By comparing holdings of Robinhood brokerage app users to the daily stock returns for S&P 500 companies, the Barclays analysts found that more customers moving into a stock has corresponded to lower returns, not higher. The analysis uses March 13 as a starting point, while other recent reports from firms such as Bespoke Investment Group finding the opposite conclusion have used longer time horizons.Barclays looked at the entire S&P 500, a group that includes Amazon.com Inc. with shares trading at more than $2,500 each.For individual stocks, they estimated the relationship between daily holding changes and daily returns, finding a negative correlation between a change in the number of Robinhood customers holding a stock and the return of that security.“This analysis is not properly causal, but to us it is compelling evidence that the rally has not been driven by retail enthusiasm at brokers like Robinhood,” the analysts including Ryan Preclaw, head of investment sciences at the firm, wrote in a note Friday.For instance, Coty Inc. as has been the worst performing name in the S&P 500 since mid-March, yet the number of Robinhood accounts that hold Coty has increased sixfold.Earlier in the week, Bespoke reached a different conclusion, by studying lower-priced shares, which are often more attractive to retail investors. They compared the average performance of Russell 3000 securities by decile of their price since Charles Schwab Corp. cut commissions to zero last October to average performance by decile of share price the year prior.They found that the average share with a price in the bottom decile in October is up over 15% since, which “suggests small, active ‘gamblers’ are playing some role in market flows and performance as they look for ‘lottery ticket’ stocks.”The role of retail investors in 45% rebound since late March has been intensely analyzed, as a swarm of tiny buyers chased after recovery plays and insolvency stocks. A record number opened new trading accounts in the first quarter.“The number of instances where retail investors alone can truly drive an industry’s or sector’s performance or the market’s performance is very rare,” said David Donabedian, chief investment officer of CIBC Private Wealth Management. “Pointing to retail investors as the reason for a major market trend is never the whole story.”For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
(Bloomberg) -- Two heavily-indebted beauty firms have bet on Kylie Jenner’s skincare regime to boost sales as locked-down consumers invest less in lipstick and more in their complexions.Last month German cosmetics retailer Douglas GmbH started selling the Kylie Skin range following an exclusive tie-up with U.S.-based manufacturer Coty Inc. to bring the product line to Europe. The appeal of both skincare and Jenner may help mitigate the economic fallout from Covid-19.Both Douglas and Coty, borrowers in the European leverage finance market, are deep in junk territory and risk further downgrades. Moody’s Investors Service last week estimated that Douglas’ core earnings could fall as much as 30% this fiscal year, and recently forecast “significant declines” in Coty’s earnings due to store closures and reduced demand.The two companies are now hoping the break out star of the reality TV show Keeping Up with the Kardashians can help turn things around.“We have one very, very strong and important element, which is playing both in skin and in direct consumer and this is Kylie,” Coty’s Chief Operating and Financial Officer Pierre-Andre Terisse told investors in May. Coty bought a majority stake in Kylie Cosmetics last year.A spokesperson for Kylie Jenner declined to comment.A Douglas representative said that the launch of Kylie Skin has been a “great success” so far and referred to a previous statement about the ratings downgrade which noted that the company’s “robust liquidity position” meant it won’t need external support.A Coty spokesperson wrote that the company is committed to building Kylie’s beauty business into a “global powerhouse brand”.Skincare BetAcross the beauty sector, bricks-and-mortar based businesses are scrambling to keep up with the surge in online shopping. Whereas other retailers that have raised funding in the leveraged debt market, such as U.K.-based Hut Group, are already fully-established in virtual sales, Douglas has an expensive network of physical stores dotted across Europe to maintain.Both Coty and Douglas also have heavy debt burdens to manage and the success of Kylie Jenner’s brand and others like it will help shape their fortunes after sales cratered in the second quarter.One bright spot for the sector, however, is skincare. “That’s really taken off during lockdown,” Deborah Aitken, from Bloomberg Intelligence, said. Consumers “are not buying make-up so much but skin care is kind of a pick-me-up. For those at home longer and more luxurious skin treatments have become a passion.”Debt MaturitiesDouglas’ shops have now largely re-opened, but a weak recovery from the virus outbreak may threaten its ability to refinance looming debt maturities, Moody’s warned this month.The company, owned by CVC Advisers Ltd., has nearly 2 billion euros ($2.3 billion) of bonds and term loans maturing in 2022, plus a 200 million-euro revolving credit facility that it drew in mid-March as the pandemic hit. CVC didn’t respond to a request for comment.“I don’t see how you end up with a Douglas that profitably runs 2,400 stores in a couple of years’ time,” said Neill Keaney, an analyst for Credit Sights.Coty, meanwhile, has been weighed down by euro and dollar loans and bonds stacked up via a series of acquisitions, which are worth more than $11 billion, according to data compiled by Bloomberg. The firm stands to reduce its debt pile from the $4.3 billion disposal of professional beauty and haircare brands to KKR & Co.Now, having offloaded those assets, the company may be about to tie its fortunes more tightly to the Kardashian/Jenner family, entering talks for a possible collaboration with Jenner’s half-sister Kim Kardashian West.Read more: Coty in Talks With Kim Kardashian After Kylie Jenner DealFor now though there’s pressure on Kylie Jenner’s brand to boost sales for both companies, particularly if Covid-19 continues to disrupt business.Douglas in particular will need to see some tangible results from the Kylie partnership, according to Keaney.“I’m not sure that the margins on those products are going to be sufficient,” he added.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Forbes is out with its annual highest-paid celebrity ranking with makeup mogul Kylie Jenner topping the list — earning $590 million over the past 12 months.
Yahoo Finance's Alexandra Canal breaks down Forbes' highest-paid celebrities list, and how streaming services like Netflix, Amazon and Apple TV+ are paying millions to secure top-level talent.
BARJO encourages purchasers of COTY securities as well as anyone with information to assist in this investigation to contact the attorneys below for more information. On Friday, May 29, 2020, Forbes reported that Kylie Jenner allegedly provided the magazine with misleading information about the value of her cosmetics brand, and that based on public filings by Coty, Kylie Cosmetics was “significantly smaller, and less profitable” than it previously believed and that Kylie Jenner “is not a billionaire.”
Pomerantz LLP is investigating claims on behalf of investors of Coty Inc. (“Coty” or the “Company”) (NYSE: COTY). Such investors are advised to contact Robert S. Willoughby at firstname.lastname@example.org or 888-476-6529, ext. The investigation concerns whether Coty and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices.
INVESTIGATION ALERT: The Schall Law Firm Announces it is Investigating Claims Against Coty Inc.
Federman & Sherwood Investigates Coty, Inc. [Kylie Cosmetics] for Possible Violations of Federal Securities Laws
Rosen Law Firm, a global investor rights law firm, announces it is investigating potential securities claims on behalf of shareholders of Coty Inc. (NYSE: COTY) resulting from allegations that Coty may have issued materially misleading business information to the investing public.
BOSTON, June 01, 2020 -- On Friday, May 29, 2020, Forbes published an article reporting that Kylie Jenner allegedly provided the magazine with misleading financial information.
Coty Announces Appointment of Gordon von Bretten as Chief Transformation Officer to Amplify and Accelerate Coty Transformation
News broke this week on a potential acquisition of American beauty company Coty Inc (NYSE: COTY) by German consumer goods company Henkel AG & Co. (OTC: HENOY). The sale would be a total takeover of Coty and would result in the complete rollup of all company assets into Henkel.