COTYCAUTIOUS

COTY Current Ratio Analysis

0.82x

Higher than 42% of Consumer Defensive sector peers

Updated 121h ago·SEC filings & market data

Key Takeaway

The current ratio of 0.82x means COTY has $0.82 in current assets—like cash and inventory—for every $1 of short-term liabilities due within a year, signaling a tight liquidity position.

Sector Performance

42th percentile

COTY

0.82x

Sector Median

0.87x

Sector Avg

1.02x

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Deep Analysis

The current ratio of 0.82x means COTY has $0.82 in current assets—like cash and inventory—for every $1 of short-term liabilities due within a year, signaling a tight liquidity position.

Among Consumer Defensive peers, this ratio sits below the sector median of 0.87x and places COTY in the 42nd percentile, meaning roughly 58% of peers have stronger liquidity. Because the year-over-year and quarter-over-quarter changes are both marked as N/A, no trend data is available to assess whether the ratio is improving or worsening. The combination of a sub‑median current ratio and no trend history suggests a liquidity risk that is neither confirmed as persistent nor as temporary, creating uncertainty for investors. This metric supports the overall CAUTIOUS verdict, as the current ratio of 0.82x already indicates limited ability to cover short‑term obligations without selling assets or borrowing.

Frequently Asked Questions

What does the Current Ratio tell investors about COTY?

Measures short-term financial health. A ratio above 1.5 is generally healthy; below 1.0 may indicate liquidity stress.

How is the Current Ratio calculated?

Current Ratio is calculated as: Current Assets / Current Liabilities.

How does COTY's Current Ratio compare to its sector?

COTY's Current Ratio of 0.82x compares to a Consumer Defensive sector median of 0.87x, placing it in the 42th percentile.

Who are COTY's closest peers by Current Ratio?

The closest Consumer Defensive peers by Current Ratio include: CPB (0.87x), BTI (0.87x), WMT (0.77x), PM (0.98x), PG (0.73x).

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Learn More About Current Ratio

Why Working Capital Management Matters More Than You Think

Working capital is more than current assets minus liabilities. Learn why working capital matters for liquidity, efficiency, and competitive advantage, with real data from AMZN, COST, HD, and XOM.

The Formula

Current Assets / Current Liabilities

Why It Matters

Measures short-term financial health. A ratio above 1.5 is generally healthy; below 1.0 may indicate liquidity stress.