Coty Inc. COTY delivered positive growth in its Americas business in the fourth quarter of fiscal 2026. Net revenues reached $554.7 million, up 9% from $511.2 million a year earlier, while like-for-like (“LFL”) sales increased 6%. The LFL figure included immaterial help from Argentina tied to significant price increases caused by hyperinflation.
The regional increase was driven primarily by higher sales in the United States, Brazil and the regional Travel Retail channel, partly offset by lower sales in Canada. The United States was an important contributor during the quarter, with stronger-than-expected customer orders across both prestige fragrances and mass cosmetics. Consumer Beauty sell-out trends also improved in the United States, with Coty citing early signs of progress for Sally Hansen and CoverGirl.
Sally Hansen showed notable retail improvement. According to Coty’s fiscal fourth-quarter earnings call, the brand’s U.S. value sales rose 5% in the latest four-week period compared with 6% category growth, narrowing the gap to one percentage point. Unit sales also increased 5% compared with a flat category. CoverGirl’s retail value sales improved from a 6% decline over the last 52 weeks to slightly positive in the latest four weeks, while unit declines narrowed from 8% to nearly flat. It also returned to sales growth in the fiscal fourth quarter, increasing a mid-single-digit percentage.
The fiscal fourth-quarter performance marked a clear improvement from the full-year Americas trend. For fiscal 2026, regional revenues totaled $2.34 billion, down 1% on a reported basis and 3% LFL. In comparison, the LFL growth recorded in the fiscal fourth quarter highlighted a stronger finish for the region and contrasted with Coty’s overall 1% LFL sales decline for the period.
Coty’s Zacks Rank & Share Price Performance
Shares of this Zacks Rank #3 (Hold) company have gained 36.2% in the past three months compared with the industry and the S&P 500 index’s rise of 18.8% and 5%, respectively. Coty also outpaced the broader Consumer Staples sector, which declined 0.8% over the same period.
COTY Stock's Past 3 Months Performance
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Is COTY a Value Play Stock?
Coty currently trades at a forward 12-month P/E ratio of 8.8, below the industry and the sector’s average of 21.65 and 16.65, respectively. This valuation positions the stock at a modest discount relative to both its direct peers and the broader consumer staples sector.
COTY P/E Ratio (Forward 12 Months)
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Stocks to Consider
The Chefs' Warehouse, Inc. CHEF distributes specialty food and center-of-the-plate products in the United States, the Middle East and Canada. At present, CHEF flaunts a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
The consensus estimate for Chefs' Warehouse’s current fiscal-year sales and earnings implies growth of 10.6% and 33.7%, respectively, from the year-ago reported figures. Chefs' Warehouse delivered a trailing four-quarter earnings surprise of 30.4%, on average.
Luckin Coffee Inc. LKNCY offers retail services of freshly brewed drinks and pre-made food and beverage items in the People's Republic of China. The company currently sports a Zacks Rank of 1. Luckin Coffee delivered a trailing four-quarter earnings surprise of 6.6%, on average.
The Zacks Consensus Estimate for Luckin Coffee’s current financial-year sales and earnings indicates growth of 33.3% and 40.8%, respectively, from the prior-year reported levels.
Utz Brands UTZ engages in the manufacture, marketing and distribution of snack foods in the United States and presently carries a Zacks Rank of 2 (Buy). UTZ delivered a trailing four-quarter earnings surprise of 1.8%, on average.
The Zacks Consensus Estimate for Utz Brands’ current financial-year sales indicates growth of 3.7% from the year-ago numbers.
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