TD Cowen analyst Oliver Chen sees “increased urgency” for Coty (COTY) to develop proprietary capabilities and drive innovation after Kering (PPRUY) agreed to sell its beauty unit to L’Oreal (LRLCY). The Gucci license and others will be going to L’Oreal, TD points out. It believes Coty “needs to build and emphasize proprietary formulations, brand-building, and verticalized capabilities that consumers cannot get anywhere else.” TD keeps a Hold rating on Coty with a $4 price target. The stock in morning trading is down 2% to $4.24.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>>
Read More on COTY:
- Gucci license loss ‘material headwind’ for Coty, says Jefferies
- Coty’s Strategic Challenges and Opportunities Amidst Competitive Pressures
- Coty’s Transitional Phase: Balancing Promising Opportunities with Strategic Challenges
- Coty Completes $900 Million Senior Notes Offering
- Coty Announces $900 Million Senior Notes Offering