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Investing.com -- Coty (NYSE:COTY) stock rose 11% following a report from WWD that the beauty company is exploring a potential sale, according to industry sources.
The publication reported that Coty is in the very early stages of discussions about potentially selling off its business in two parts - separating its luxury division from its consumer division. Multiple sources confirmed to WWD that the company is considering this strategic move.
Coty, which owns brands like CoverGirl, Rimmel, and Kylie Cosmetics, has not officially commented on the report. The company has been working to transform its business in recent years under the leadership of CEO Sue Nabi, focusing on premiumization and expanding its skincare portfolio.
If confirmed, a sale of Coty could represent one of the larger transactions in the beauty sector in recent years, given the company’s portfolio of well-known brands and global presence.
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