Forensic Analysis · Consumer Staples / Food & Beverage · as of Aug 20, 2026

Coty Inc. (COTY)

A forensic read on Coty Inc. built from its complete SEC filings — financial-health screens, earnings quality, red flags and a price-aware rating. Reproducible math, not opinion.

D · Weak — demands caution

Forensic grade

Distress

Financial health

-1.2

Distress distance

Clean

Earnings quality

Forensic signals

-4.4

P / E (ttm)

-10.4%

ROE

$2.7B

Market cap

0.55%

Dividend yield

-3.7%

Revenue growth

The financial-health reading above compares this company's equity at BOOK value, not at what the market currently pays for it — this free snapshot doesn't pull live market data. Treat it as a rough read, not the final word.

This free snapshot doesn't read filing or proxy text, so the auditor-quality and governance checks that can lower a grade were not evaluated (red flags, auditor quality, say on pay, board independence). Those checks only ever lower a grade, so the full analysis can land below the grade above but never above it — treat it as the most favourable reading, not the settled one.

Coty Inc. earns a D (Weak — demands caution) forensic quality grade, and its balance-sheet distress test reads -1.2, placing it in the Distress zone (based on book value, not market value, since this free snapshot doesn't pull live market data — treat this zone as a rough read, not the final word). 5 forensic signals were flagged in its latest SEC filings, led by return on invested capital.

What the filings flag

2.1%

FY2025

Return on invested capital. Return on invested capital is 2.1% in the latest fiscal year and steady — well below its ~8% cost of capital, and it has been across FY2016–FY2025, so reinvested dollars have not been earning their keep.

+1.4%/yr

FY2022–FY2025

Share-count dilution. Diluted share count changed +4% over the last 3 years to FY2025 (+1.4%/yr). The count is growing: more stock was issued than repurchased over this window, so aggregate results grew faster than their per-share equivalents. That's ~1.4% shaved off per-share growth every year — total profit has to grow that much just to keep earnings-per-share flat, and a stake held since FY2022 has been diluted ~4%.

stopped

FY2020→FY2021

Shareholder returns — halted. Capital returns have STOPPED — $200M of buybacks + dividends in FY2020, but ~$0 in FY2021. A halt usually means the company is conserving cash.

$3.4B

FY2019–FY2020

Goodwill impairments. Took $3.4B of goodwill writedowns across 2 years (FY2019 ($3.3B), FY2020 ($105M)). Writedowns mean past acquisitions underperformed what was paid for them.

-44%

FY2019→FY2020

Dividend — cut. The payout was CUT ~44% in FY2020 (from FY2019) and hasn't been restored since. It still returns some cash, but it is NOT the dependable, rising dividend an unbroken streak implies.

Key fundamentals

Latest Revenue$5.89B

Revenue Growth YoY-3.7%

Revenue CAGR (3yr)+3.6%

Net Margin-6.2%

Free Cash Flow$277.6M

Return on Equity-10.4%

Debt / Equity1.13x

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Data from SEC EDGAR public filings · metrics as of Aug 20, 2026. Forensic signals flag probability, not certainty.