Coty Inc. (NYSE:COTY) is one of the cheap stocks to buy for the next 3 years. On December 23, Grupo Santander downgraded Coty to Neutral from Outperform with a $3.50 price target. This sentiment was announced as the firm suggested that the company’s transition phase may be extended following the change in leadership.
A day before that, Evercore ISI downgraded Coty to In Line from Outperform with a $7 price target. The shift in rating is largely due to the departure of CEO Sue Nabi, who had been a cornerstone of the firm’s investment thesis. While the firm acknowledged that Coty shares appear fundamentally undervalued at current levels, it noted a lack of visibility regarding the timing and specific catalysts needed to unlock that value. Consequently, Evercore ISI viewed a near-term stock outperformance as unlikely.
On December 19, Bank of America lowered its price target for Coty Inc. (NYSE:COTY) to $3 from $3.50, while maintaining an Underperform rating. In a broad 2026 outlook for the consumer staples sector, the firm noted that consumption growth remains the primary unresolved concern for investors.
Coty Inc. (NYSE:COTY), together with its subsidiaries, manufactures, markets, distributes, and sells branded beauty products worldwide. It operates through two segments: the Prestige and Consumer Beauty.
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Disclosure: None. This article is originally published at Insider Monkey.
