COTY INC-CL A (COTY) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:COTY - US2220702037 - Common Stock
3.45 USD
+0.06 (+1.77%)
3.47 USD
+0.02 (+0.58%)
Taking everything into account, COTY scores 3 out of 10 in our fundamental rating. COTY was compared to 36 industry peers in the Personal Care Products industry. While COTY is still in line with the averages on profitability rating, there are concerns on its financial health. COTY is valued quite cheap, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
COTY had positive earnings in the past year.
COTY had a positive operating cash flow in the past year.
In multiple years COTY reported negative net income over the last 5 years.
Each year in the past 5 years COTY had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of -3.28%, COTY is doing worse than 63.89% of the companies in the same industry.
Looking at the Return On Equity, with a value of -10.87%, COTY is in line with its industry, outperforming 44.44% of the companies in the same industry.
COTY's Return On Invested Capital of 4.10% is in line compared to the rest of the industry. COTY outperforms 58.33% of its industry peers.
The Average Return On Invested Capital over the past 3 years for COTY is significantly below the industry average of 11.83%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.28% | ||
| ROE | -10.87% | ||
| ROIC | 4.1% |
ROA(3y)0.45%
ROA(5y)-0.07%
ROE(3y)1.41%
ROE(5y)-0.89%
ROIC(3y)4.63%
ROIC(5y)3.5%
1.3 Margins
With a decent Operating Margin value of 8.52%, COTY is doing good in the industry, outperforming 66.67% of the companies in the same industry.
In the last couple of years the Operating Margin of COTY has grown nicely.
COTY has a Gross Margin of 64.81%. This is comparable to the rest of the industry: COTY outperforms 44.44% of its industry peers.
COTY's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.52% | ||
| PM (TTM) | N/A | ||
| GM | 64.81% |
OM growth 3Y18.51%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.71%
GM growth 5Y2.3%
2. Health
2.1 Basic Checks
COTY has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it 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 worse debt/assets ratio than last year.
2.2 Solvency
COTY has an Altman-Z score of 0.19. This is a bad value and indicates that COTY is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.19, COTY is doing worse than 72.22% of the companies in the same industry.
COTY has a debt to FCF ratio of 14.04. This is a negative value and a sign of low solvency as COTY would need 14.04 years to pay back of all of its debts.
COTY has a Debt to FCF ratio (14.04) which is in line with its industry peers.
COTY has a Debt/Equity ratio of 1.14. This is a high value indicating a heavy dependency on external financing.
COTY has a Debt to Equity ratio of 1.14. This is in the lower half of the industry: COTY underperforms 69.44% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.14 | ||
| Debt/FCF | 14.04 | ||
| Altman-Z | 0.19 |
ROIC/WACC0.66
WACC6.2%
2.3 Liquidity
COTY has a Current Ratio of 0.85. This is a bad value and indicates that COTY is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.85, COTY is not doing good in the industry: 83.33% of the companies in the same industry are doing better.
COTY has a Quick Ratio of 0.85. 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 0.54. This is amonst the worse of the industry: COTY underperforms 83.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.85 | ||
| Quick Ratio | 0.54 |
3. Growth
3.1 Past
COTY shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -54.76%.
Measured over the past years, COTY shows a decrease in Earnings Per Share. The EPS has been decreasing by -6.60% on average per year.
The Revenue has decreased by -5.68% in the past year.
COTY shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.55% yearly.
EPS 1Y (TTM)-54.76%
EPS 3Y-6.6%
EPS 5YN/A
EPS Q2Q%-20%
Revenue 1Y (TTM)-5.68%
Revenue growth 3Y3.57%
Revenue growth 5Y4.55%
Sales Q2Q%-5.64%
3.2 Future
The Earnings Per Share is expected to grow by 27.61% on average over the next years. This is a very strong growth
COTY is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.21% yearly.
EPS Next Y94.51%
EPS Next 2Y50.95%
EPS Next 3Y34.72%
EPS Next 5Y27.61%
Revenue Next Year0.79%
Revenue Next 2Y1.66%
Revenue Next 3Y2.04%
Revenue Next 5Y1.21%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 18.16, which indicates a rather expensive current valuation of COTY.
69.44% of the companies in the same industry are more expensive than COTY, based on the Price/Earnings ratio.
COTY's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.49.
COTY is valuated cheaply with a Price/Forward Earnings ratio of 6.88.
Based on the Price/Forward Earnings ratio, COTY is valued cheaper than 88.89% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.69. COTY is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.16 | ||
| Fwd PE | 6.88 |
4.2 Price Multiples
COTY's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. COTY is cheaper than 75.00% of the companies in the same industry.
88.89% of the companies in the same industry are more expensive than COTY, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.17 | ||
| EV/EBITDA | 7.65 |
4.3 Compensation for Growth
COTY's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as COTY's earnings are expected to grow with 34.72% in the coming years.
PEG (NY)0.19
PEG (5Y)N/A
EPS Next 2Y50.95%
EPS Next 3Y34.72%
5. Dividend
5.1 Amount
No dividends for COTY!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
3.45
+0.06 (+1.77%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupHousehold & Personal Products
GICS IndustryPersonal Care Products
Earnings (Last)
Earnings (Next)
Inst Owners35.54%
Inst Owner Change-3.31%
Ins Owners5.87%
Ins Owner Change0.18%
Market Cap3.02B
Revenue(TTM)5.80B
Net Income(TTM)-396.10M
Analysts68
Price Target5.03 (45.8%)
Short Float %7.3%
Short Ratio4.3
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0.02
Dividend Growth(5Y)-43.22%
DP-3.36%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-199.21%
Min EPS beat(2)-378.2%
Max EPS beat(2)-20.22%
EPS beat(4)0
Avg EPS beat(4)-132.08%
Min EPS beat(4)-378.2%
Max EPS beat(4)-20.22%
EPS beat(8)1
Avg EPS beat(8)-88.91%
EPS beat(12)3
Avg EPS beat(12)-21.1%
EPS beat(16)6
Avg EPS beat(16)-4.41%
Revenue beat(2)1
Avg Revenue beat(2)0.21%
Min Revenue beat(2)-1.98%
Max Revenue beat(2)2.4%
Revenue beat(4)1
Avg Revenue beat(4)-1.74%
Min Revenue beat(4)-4.85%
Max Revenue beat(4)2.4%
Revenue beat(8)2
Avg Revenue beat(8)-1.52%
Revenue beat(12)5
Avg Revenue beat(12)-0.51%
Revenue beat(16)7
Avg Revenue beat(16)-0.57%
PT rev (1m)-3.05%
PT rev (3m)-18.56%
EPS NQ rev (1m)-1.61%
EPS NQ rev (3m)-3.46%
EPS NY rev (1m)-3.19%
EPS NY rev (3m)-16.25%
Revenue NQ rev (1m)0.12%
Revenue NQ rev (3m)1.26%
Revenue NY rev (1m)0.62%
Revenue NY rev (3m)-0.51%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.16 | ||
| Fwd PE | 6.88 | ||
| P/S | 0.52 | ||
| P/FCF | 10.17 | ||
| P/OCF | 6.15 | ||
| P/B | 0.83 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.65 |
EPS(TTM)0.19
EY5.51%
EPS(NY)0.5
Fwd EY14.53%
FCF(TTM)0.34
FCFY9.83%
OCF(TTM)0.56
OCFY16.25%
SpS6.63
BVpS4.17
TBVpS-4.12
PEG (NY)0.19
PEG (5Y)N/A
Graham Number4.22
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.28% | ||
| ROE | -10.87% | ||
| ROCE | 5.19% | ||
| ROIC | 4.1% | ||
| ROICexc | 4.22% | ||
| ROICexgc | 19.54% | ||
| OM | 8.52% | ||
| PM (TTM) | N/A | ||
| GM | 64.81% | ||
| FCFM | 5.12% |
ROA(3y)0.45%
ROA(5y)-0.07%
ROE(3y)1.41%
ROE(5y)-0.89%
ROIC(3y)4.63%
ROIC(5y)3.5%
ROICexc(3y)4.79%
ROICexc(5y)3.61%
ROICexgc(3y)25.33%
ROICexgc(5y)19.37%
ROCE(3y)5.86%
ROCE(5y)4.43%
ROICexgc growth 3Y14.73%
ROICexgc growth 5YN/A
ROICexc growth 3Y23.65%
ROICexc growth 5YN/A
OM growth 3Y18.51%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.71%
GM growth 5Y2.3%
F-Score3
Asset Turnover0.48
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.14 | ||
| Debt/FCF | 14.04 | ||
| Debt/EBITDA | 4.61 | ||
| Cap/Depr | 47.21% | ||
| Cap/Sales | 3.34% | ||
| Interest Coverage | 2.25 | ||
| Cash Conversion | 54.24% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.85 | ||
| Quick Ratio | 0.54 | ||
| Altman-Z | 0.19 |
F-Score3
WACC6.2%
ROIC/WACC0.66
Cap/Depr(3y)53.88%
Cap/Depr(5y)45.01%
Cap/Sales(3y)3.89%
Cap/Sales(5y)3.74%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-54.76%
EPS 3Y-6.6%
EPS 5YN/A
EPS Q2Q%-20%
EPS Next Y94.51%
EPS Next 2Y50.95%
EPS Next 3Y34.72%
EPS Next 5Y27.61%
Revenue 1Y (TTM)-5.68%
Revenue growth 3Y3.57%
Revenue growth 5Y4.55%
Sales Q2Q%-5.64%
Revenue Next Year0.79%
Revenue Next 2Y1.66%
Revenue Next 3Y2.04%
Revenue Next 5Y1.21%
EBIT growth 1Y-17.12%
EBIT growth 3Y22.74%
EBIT growth 5YN/A
EBIT Next Year20.14%
EBIT Next 3Y8.85%
EBIT Next 5Y7.02%
FCF growth 1Y-32.37%
FCF growth 3Y-20.5%
FCF growth 5YN/A
OCF growth 1Y-24.4%
OCF growth 3Y-12.15%
OCF growth 5YN/A
COTY INC-CL A / COTY FAQ
What is the fundamental rating for COTY stock?
ChartMill assigns a fundamental rating of 3 / 10 to COTY.
What is the valuation status for COTY stock?
ChartMill assigns a valuation rating of 8 / 10 to COTY INC-CL A (COTY). This can be considered as Undervalued.
What is the profitability of COTY stock?
COTY INC-CL A (COTY) has a profitability rating of 4 / 10.
What are the PE and PB ratios of COTY INC-CL A (COTY) stock?
The Price/Earnings (PE) ratio for COTY INC-CL A (COTY) is 18.16 and the Price/Book (PB) ratio is 0.83.
How financially healthy is COTY INC-CL A?
The financial health rating of COTY INC-CL A (COTY) is 0 / 10.