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COTY vs KO

COTY
Coty Inc.
BEARISH
Price
$2.42
Market Cap
$2.13B
Sector
Consumer Defensive
AI Confidence
85%
KO
The Coca-Cola Company
NEUTRAL
Price
$75.97
Market Cap
$326.96B
Sector
Consumer Defensive
AI Confidence
90%

Valuation

P/E Ratio
COTY
--
KO
24.99
Forward P/E
COTY
6.58
KO
21.97
P/B Ratio
COTY
0.6
KO
10.16
P/S Ratio
COTY
0.37
KO
6.82
EV/EBITDA
COTY
6.68
KO
22.47

Profitability

Gross Margin
COTY
63.68%
KO
61.63%
Operating Margin
COTY
9.68%
KO
24.66%
Profit Margin
COTY
-9.13%
KO
27.34%
ROE
COTY
-12.59%
KO
43.32%
ROA
COTY
2.03%
KO
9.15%

Growth

Revenue Growth
COTY
0.5%
KO
2.4%
Earnings Growth
COTY
--
KO
3.6%

Financial Health

Debt/Equity
COTY
0.83
KO
1.4
Current Ratio
COTY
0.79
KO
1.46
Quick Ratio
COTY
0.4
KO
0.89

Dividends

Dividend Yield
COTY
--
KO
2.71%
Payout Ratio
COTY
0.0%
KO
67.11%

AI Verdict

COTY BEARISH

Coty Inc. exhibits severe fundamental weakness, highlighted by a Piotroski F-Score of 2/9, indicating poor financial health and operational deterioration. While valuation metrics like Price/Book (0.60) and Price/Sales (0.37) suggest the stock is deeply undervalued, this is likely a 'value trap' given the negative profit margins and stagnant revenue growth (0.50%). Liquidity is a primary concern with a Current Ratio of 0.79 and a Quick Ratio of 0.40, suggesting potential difficulty meeting short-term obligations. The consistent failure to meet earnings estimates (0/4 beats in the last year) further undermines confidence in management's guidance.

Strengths
Strong Gross Margin of 63.68%
Low Price-to-Book ratio (0.60) suggesting asset value support
Low Forward P/E (6.58) relative to sector averages
Risks
Critical financial health (Piotroski F-Score 2/9)
Severe liquidity risk (Quick Ratio 0.40)
Consistent earnings misses (Average surprise -27.09% over last 4 quarters)
KO NEUTRAL

KO shows neutral fundamentals based on deterministic rules. Financial strength is weak (F-Score 3/9). Mixed signals with both opportunities and risks present.

Strengths
Strong profitability (27.3% margin)
Strong ROE of 43.3%
Risks
Premium vs Graham Number ($22.62)
Weak financial trend (Piotroski F-Score: 3/9)

Compare Another Pair

COTY vs KO: Head-to-Head Comparison

This page compares Coty Inc. (COTY) and The Coca-Cola Company (KO) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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