Why Coty Inc. (COTY) is the Best Cosmetics Stock to Buy for 2025

From Yahoo Finance: 2025-04-18 15:23:00

The global cosmetics industry is valued at $295.95 billion, with a projected growth rate of 6.1% from 2024 to 2030. The rise in consumer awareness about personal appearance drives demand for makeup, skincare, and hair care products. The market also expands due to the popularity of non-toxic and natural cosmetics.

Online cosmetics market size reached $16.23 billion in 2025, with an expected growth rate of 8.47% by 2030, hitting $24.37 billion. South Korea is a major cosmetic importer to the US, but faces potential tariffs. American retailers benefit from the K-beauty trend, prompting consumers to stock up on Korean products.

Coty Inc. (COTY) is a leading beauty company, boasting a diverse portfolio of luxury brands like Gucci, Calvin Klein, and Kylie Cosmetics. Analysts anticipate growth in the beauty industry, particularly in developed and emerging markets. Coty is ranked 11th among the best cosmetics stocks for 2025, with potential for strong returns.

RBC Capital and Berenberg analysts uphold Buy ratings for Coty Inc. (COTY), foreseeing a positive outlook for the company. With expectations of industry growth in developed and emerging markets, Coty is positioned for success. The stock is approaching favorable valuation multiples, making it an intriguing investment opportunity.

Read more: Why Coty Inc. (COTY) is the Best Cosmetics Stock to Buy for 2025