Coty Inc. (COTY) PT Lowered to $16.50 at DA Davidson
DA Davidson analyst Linda Bolton Weiser lowered the price target on Coty Inc. (NYSE: COTY) to $16.50 (from $17.50) while maintaining a Buy rating.
The analyst comments "BUY-rated COTY reported a F3Q24 beat, with both organic sales and EBITDA +10%. Prestige fragrance market growth accelerated to mid-teens from ~10% in F2Q and Coty gained share. F4Q24 has a hard prior-year comp due to retailer re-stocking, and we are trimming our organic sales to +4% Y/Y from +6%; F1Q25 acceleration is expected. We are maintaining our FY24E EBITDA, but trimming FY25 to +9% Y/Y from +11%, to be conservative ahead of guidance issuance. Coty is executing well, with above-industry growth and declining financial leverage. We are lowering our PT to $16.50 from $17.50, based on 13.5x CY25E EBITDA of $1,254M (reduced from $1,285M)."