Beauty products company Coty (NYSE:COTY) will be reporting earnings this Wednesday afternoon. Here’s what to expect.
Coty missed analysts’ revenue expectations by 1% last quarter, reporting revenues of $1.30 billion, down 6.2% year on year. It was a mixed quarter for the company, with a solid beat of analysts’ EBITDA estimates but a significant miss of analysts’ EPS estimates.
Is Coty a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Coty’s revenue to decline 11.6% year on year to $1.21 billion, a deceleration from its flat revenue in the same quarter last year. Adjusted earnings are expected to come in at $0.02 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Coty has missed Wall Street’s revenue estimates four times over the last two years.
Looking at Coty’s peers in the personal care segment, some have already reported their Q2 results, giving us a hint as to what we can expect. USANA delivered year-on-year revenue growth of 10.8%, beating analysts’ expectations by 4.7%, and BeautyHealth reported a revenue decline of 13.7%, topping estimates by 4.6%. USANA traded up 12.4% following the results while BeautyHealth was also up 18.1%.
Read our full analysis of USANA’s results here and BeautyHealth’s results here.
Investors in the personal care segment have had steady hands going into earnings, with share prices up 2% on average over the last month. Coty is up 4.4% during the same time and is heading into earnings with an average analyst price target of $6.44 (compared to the current share price of $4.98).
Unless you’ve been living under a rock, it should be obvious by now that generative AI is going to have a huge impact on how large corporations do business. While Nvidia and AMD are trading close to all-time highs, we prefer a lesser-known (but still profitable) semiconductor stock benefiting from the rise of AI. Click here to access our free report on our favorite semiconductor growth story.
StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here.