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COTY Investor Alert: Coty Inc. Securities Fraud Lawsuit - Investors With Losses May Seek to Lead the Class Action After Company Allegedly Misled on Growth Timeline: Levi & Korsinsky

Key Dates and Disclosure Events Shareholders Need to Know

NEW YORK, March 30, 2026 (GLOBE NEWSWIRE) -- Levi & Korsinsky, LLP encourages investors who suffered losses in Coty Inc. (NYSE: COTY) to contact the firm. Those who purchased Coty securities between November 5, 2025 and February 4, 2026 may be entitled to recover damages. Find out if you are eligible to recover losses. You may also contact Joseph E. Levi, Esq. at jlevi@levikorsinsky.com or (212) 363-7500.

Coty shares fell from $3.43 to $2.66 per share, a cumulative decline of approximately 22%, after the Company withdrew fiscal year 2026 EBITDA and free cash flow guidance and admitted to disappointing results. The window to apply for lead plaintiff closes on May 22, 2026.

November 5, 2025: Positive Guidance Issued to Investors

On this date, Coty published Q1 fiscal year 2026 results and issued forward guidance. The Company told investors it expected like-for-like sales to return to growth in the second half of FY26, with sell-in and sell-out reaching alignment. Management projected approximately $1 billion in adjusted EBITDA for the full fiscal year and seasonally strong free cash flow exceeding $350 million in the first half, the lawsuit contends.

November 6, 2025: Earnings Call Reinforces Optimistic Projections

During the Q&A session the following day, management doubled down on the upbeat narrative, as alleged in the action. Investors were told the U.S. Prestige fragrance market remained "very strong" with 7% growth, that sell-out performance would converge with sell-in by the end of calendar 2025, and that the Company would return to growth in the second half. Management also cited new product momentum and AI-driven operational efficiencies as catalysts.

February 4, 2026: After-Hours Prepared Remarks Reverse the Narrative

After market close, Coty released prepared remarks that contradicted the prior quarter's optimism. The filing states that the interim CEO acknowledged financial results over the prior 18 months had been "disappointing" and that the stock's prolonged weakness signaled investor skepticism. Q2 Prestige fragrance sell-out was described as "flattish," underperforming the market by several points. Consumer Beauty continued to show a "large gap" relative to the U.S. mass cosmetics category.

February 5, 2026: Full Q2 Results Confirm Deterioration

Coty reported a 6% like-for-like net revenue decrease and a 17% decline in adjusted EBITDA for the six months ended December 31, 2025. Management withdrew full-year FY26 EBITDA and free cash flow guidance entirely and estimated Q3 adjusted EBITDA of only $100 million to $110 million, as set forth in the complaint.

  • November 5, 2025: $1 billion adjusted EBITDA target communicated to investors
  • November 6, 2025: Management affirms second-half growth trajectory on earnings call
  • February 4, 2026: Prepared remarks acknowledge "disappointing" 18-month performance record
  • February 5, 2026: Q2 results reveal 17% adjusted EBITDA decline; FY26 guidance withdrawn
  • February 6, 2026: Stock closes at $2.66, down 22% from pre-disclosure levels

"Timely disclosure of material developments is fundamental to fair and efficient markets. The chronology here raises questions about when known risks should have been shared with Coty's shareholders." -- Joseph E. Levi, Esq.

Submit your claim before the deadline or call (212) 363-7500.

ABOUT THE FIRM -- For over two decades, Levi & Korsinsky has represented shareholders in securities class actions. Ranked in ISS Top 50 for seven consecutive years. Those wishing to serve as lead plaintiff must act by May 22, 2026.

CONTACT:
Levi & Korsinsky, LLP
Joseph E. Levi, Esq.
Ed Korsinsky, Esq.
33 Whitehall Street, 27th Floor
New York, NY 10004
jlevi@levikorsinsky.com
Tel: (212) 363-7500
Fax: (212) 363-7171


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