A securities class action has been filed against Coty Inc. (COTY) on behalf of all investors who purchased or otherwise acquired Coty common stock between November 5, 2025 through February 4, 2026. This case has been filed in the USDC – SDNY.
On February 5, 2026, Coty reported its financial results for the second quarter of fiscal year 2026. Among other items, Coty disclosed non-GAAP earnings per share of $0.14, missing the consensus estimate by $0.04. Coty also withdrew its full-year 2026 guidance and unveiled a turnaround strategy aimed at refocusing on core brands.
On this news, Coty’s stock price fell $0.49 per share, or 15.56%, to close at $2.66 per share on February 6, 2026.
The complaint alleges that during the Class Period, Defendants made materially false and misleading statements and engaged in a scheme to deceive the market and a course of conduct that artificially inflated the price of Coty’s common stock and operated as a fraud or deceit on Class Period purchasers of Coty’s common stock by materially misleading the investing public. Later, Defendants’ prior misrepresentations and fraudulent conduct became apparent to the market, the price of Coty’s common stock materially declined, as the prior artificial inflation came out of the price over time. As a result of their purchases of Coty’s common stock during the Class Period, members of the Class suffered economic loss.