COTYNEUTRAL

Gross Margin

61.8%

Higher than 75% of Consumer Defensive sector peers

Updated 168h ago

Sector Performance

75th percentile

COTY

61.8%

Sector Median

51.6%

Sector Avg

47.7%

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Deep Analysis

Coty’s gross margin of 61.8% means that for every dollar of revenue, the company keeps roughly 62 cents after covering the direct costs of producing its beauty products.

This figure sits well above the sector median of 51.6%, placing Coty in the 75th percentile among its Consumer Defensive peers. Trend data is unavailable: the year-over-year change is listed as N/A, the quarter-over-quarter change is also N/A, and no historical trend is provided for the last eight quarters. The combination of a high relative level but no observable trend makes it difficult to judge whether the margin is improving or deteriorating, introducing uncertainty rather than a clear opportunity. In isolation, the strong margin supports a positive view of Coty’s cost structure and pricing power. However, the lack of trend data means this metric does not contradict the overall NEUTRAL verdict, as it offers no forward-looking signal to shift the rating either way.

Frequently Asked Questions

What does the Gross Margin tell investors about COTY?

Gross margin reveals pricing power and cost structure. Software companies often sustain 70–80%; manufacturers typically 30–50%. Expansion is a bullish signal.

How is the Gross Margin calculated?

Gross Margin is calculated as: Gross Profit / Revenue.

How does COTY's Gross Margin compare to its sector?

COTY's Gross Margin of 61.8% compares to a Consumer Defensive sector median of 51.6%, placing it in the 75th percentile.

Who are COTY's closest peers by Gross Margin?

The closest Consumer Defensive peers by Gross Margin include: ABEV (51.6%), KDP (52.8%), PG (49.5%), CELH (48.3%), BUD (56.6%).

The Formula

Gross Profit / Revenue

Why It Matters

Gross margin reveals pricing power and cost structure. Software companies often sustain 70–80%; manufacturers typically 30–50%. Expansion is a bullish signal.