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Coty ( (COTY) ) has shared an announcement.
On December 18, 2025, Coty JV Holding S.à r.l., an indirect subsidiary of Coty Inc., agreed to sell its remaining shareholdings in Rainbow JVCo, which represents Coty’s residual 25.8% stake in professional haircare group Wella, to KKR-managed entities for $750 million in cash plus a non-cash consideration that will give Coty JV a 45% equity interest in the buyer vehicle and rights to a significant share of future Wella exit proceeds. As part of the transaction, Coty JV entered into a new shareholders’ agreement that grants it consent rights on certain corporate actions at the buyer level, board observer rights, and tag-along and drag-along protections, while terminating a prior shareholders’ agreement related to Rainbow JVCo, and Coty expects to record an estimated non-cash impairment charge of approximately $200 million in the quarter ended December 31, 2025. The deal, announced on December 19, 2025, completes Coty’s multi-year program begun in 2020 to monetize and fully divest its Wella stake by the end of calendar 2025, simplifies Coty’s portfolio, and is intended to substantially reduce its financial net leverage through debt repayment using most of the $750 million upfront proceeds, reinforcing its deleveraging strategy and sharpening its strategic focus on core beauty operations.
The most recent analyst rating on (COTY) stock is a Hold with a $3.50 price target. To see the full list of analyst forecasts on Coty stock, see the COTY Stock Forecast page.
Spark’s Take on COTY Stock
According to Spark, TipRanks’ AI Analyst, COTY is a Neutral.
Coty’s overall stock score reflects significant financial and technical challenges, with some positive aspects in cash flow and strategic growth focus. The loss of the Gucci license and litigation are notable risks.
To see Spark’s full report on COTY stock, click here.
More about Coty
Founded in Paris in 1904, Coty Inc. is one of the world’s largest beauty companies, with a portfolio of iconic brands across fragrance, color cosmetics, and skin and body care. The company serves both prestige and mass-market segments, selling its products in more than 120 countries and territories, and positions itself as a global player in consumer beauty and personal care.
Average Trading Volume: 5,904,368
Technical Sentiment Signal: Sell
Current Market Cap: $2.85B
Find detailed analytics on COTY stock on TipRanks’ Stock Analysis page.