- Coty Inc. is one of the largest beauty conglomerates owning a large portfolio of brands of color cosmetics as well as skin and body care.
- Management expects to execute cost control, optimize its supply chain through speed and agility, and intensive e-commerce investments.
- Selling certain non-performing brands, buying others, and strengthening the balance sheet, Coty will most likely be interesting for the investment community.
- I included sales of $5-$6.3 billion, an EBITDA around $269 million and $844 million, and a D&A of $585-$312 million. The result would include an unlevered free cash flow that ranges from $704 million to $1.026 billion.
- I believe that the downside risk is less significant than the upside potential.
For further details see:
Coty's Transformation Agenda Could Make The Stock Run 40% Up