Coty Stock Plummets Amid Earnings Miss and Weak Guidance

Coty Inc. shares plunged 22.3% during Thursday's trading session after the beauty products company reported disappointing fourth-quarter results. The stock's sharp decline contrasted with the S&P 500's modest 0.4% dip.

The company posted a non-GAAP adjusted loss of $0.05 per share on $1.25 billion revenue, missing earnings expectations by $0.07 per share despite beating sales forecasts. Year-over-year sales dropped 8.1%, signaling weakening performance in the consumer goods sector.

Management's guidance offered little comfort to investors, merely reiterating expectations for improved like-for-like sales in the current fiscal year. The prestige-fragrance segment showed some growth, but overall market reaction suggests dwindling confidence in Coty's near-term prospects.