Coty Faces Investor Lawsuits After Earnings Shock and Withdrawn Outlook

Overview

• Plaintiff firms are urging Coty shareholders from November 5, 2025 to February 4, 2026 to seek lead-plaintiff status by May 22, 2026.
• The complaints say Coty misled investors by painting improving trends while the Consumer Beauty unit lagged, margins shrank from higher marketing, and Prestige fragrance growth slowed.
• The suits follow Coty’s Q2 update that revealed a steep deterioration in operating income, which reversed the company’s earlier upbeat tone on fiscal 2026.
• In that report, Consumer Beauty operating income fell more than 70% year over year, Prestige declined more than 18%, and Coty pulled its full‑year EBITDA and free‑cash‑flow guidance as shares dropped more than 8%.
• Hagens Berman says it is probing whether Coty intentionally misled investors, is asking whistleblowers to come forward under the SEC program, and notes no class has been certified yet.