Generating cash is essential for any business, but not all cash-rich companies are great investments.
Some produce plenty of cash but fail to allocate it effectively, leading to missed opportunities.
Shares of beauty products company Coty (NYSE:COTY)
jumped 8.1% in the morning session after a company disclosure revealed that CEO Sue Nabi purchased $1 million worth of its stock.
The low valuation multiples for value stocks provide a margin of safety that growth stocks rarely offer.
However, the challenge lies in determining whether these cheap assets are genuinely undervalued or simply on sale due to their potentially deteriorating business models.
Markets dipped Thursday as Coty issued a dismal forecast, Gilead faced headwinds with its new HIV drug, and investors turned cautious ahead of Fed Chair Powell’s Jackson Hole speech. Solid PMI data complicated the interest rate outlook, stalling hopes for imminent rate cuts.
Shares of beauty products company Coty (NYSE:COTY)
fell 19.4% in the morning session after the company reported a surprise loss for its second quarter as key profitability metrics declined.
Coty Inc (NYSE:COTY) shares are tumbling Thursday after the company posted a surprise loss for the fourth quarter. Multiple analysts also cut price targets on the stock following the print.
As the US market prepares to open on Thursday, let's get an early glimpse into the pre-market session and identify the stocks leading the pack in terms of gains and losses.
Beauty products company Coty (NYSE:COTY) reported Q2 CY2025 results exceeding the market’s revenue expectations, but sales fell by 8.1% year on year to $1.25 billion. Its non-GAAP loss of $0.05 per share was significantly below analysts’ consensus estimates.
