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Investing.com — Coty (NYSE:COTY)’s been on a tear this month, up 111%, and the praise keeps coming.
Shares are up 15% today after Barron’s said it might be time to buy shares, and Seeking Alpha said it’s “positioned itself for a tremendous recovery.”
Seeking Alpha cited new management — long-time industry executive Sue Nabi joined this year — deleveraging and moves into Gen-Z preferred businesses.
On Nov. 6, Coty reported earnings that sent shares soaring. A fiscal 2021 first quarter loss per share of 2 cents was better than the loss of 7 cents that analysts expected. Revenue of $1.12 billion also beat the estimated $1.08 billion. Coty also said it was on track to deliver more than $200 million in savings for the fiscal year.
Little more than a week later, Peter Harf, who has served as chief executive officer and is now executive chairman of Coty, reached a deal to buy shares from KKR & Co (NYSE:KKR)., boosting his personal stake in the company by $150 million, Bloomberg reported.
And today, Citi upgraded Coty to buy from neutral with a price target of $10, up from $4.50, StreetInsider reported.
“We think Coty has the potential to pick a lot of low hanging fruit in terms of accelerating growth, improving margins and deleveraging its balance sheet,” Citi analyst Wendy Nicholson said.
Nicholson is one of two buys on the stock, which has eight holds and no sells.
