Key Points:
- Algerian-born French cosmetics CEO Sue Nabi’s Coty stake dropped $33.6 million as the company’s stock price fell nearly 10%.
- The beauty giant’s shares are down over 9% in recent weeks, pushing its market cap below $9.5 billion.
- Coty’s year-to-date decline highlights the risk involved in following high-profile investors.
Algerian-born French entrepreneur and business executive Sue Youcef Nabi (Sue Nabi) has seen a significant drop in the market value of her stake in Coty Inc. as the multinational beauty company’s shares slump nearly 10 percent on the New York Stock Exchange (NYSE).
According to data tracked by Billionaires.Africa, Nabi’s stake in Coty Inc. has declined by $33.6 million over the past 19 days. This follows previous gains of $27 million recorded between April 17 and 30, which saw her stake rise from $322.1 million to $349.1 million.
Coty’s market capitalization below $9.5 billion
Coty, the American multinational beauty company founded in 1904 by François Coty, has evolved into a global leader in the fragrance industry. It holds the second-largest market share in hair color and styling products and the third-largest in color cosmetics.
With its subsidiaries, Coty develops, manufactures, markets, and distributes fragrances, cosmetics, skincare, and nail care products, as well as professional and retail hair care products. The company owned around 77 brands as of 2018.
Coty shares on the NYSE have declined by 9.57 percent in recent times, dropping from $11.60 on May 3 to $10.49, at the time of drafting this report, thus pushing the group’s market capitalization below $9.5 billion.
Sue Nabi’s Coty stake slumps by $33.6 million
Nabi, who is also the founder of vegan skincare line Orveda, owns a significant 3.53-percent stake in Coty, which translates to 30,304,786 shares worth over $310 million. The recent downturn in the group’s share price has reduced the market value of Nabi’s stake by $33.64 million, from $351.5 million on May 3 to $317.9 million at the time of this update.
Despite this setback, Sue Nabi remains a pivotal figure in the beauty industry. As CEO of Coty, her innovative leadership continues to shape the global beauty landscape. Additionally, she ranks among the wealthiest African-born business executives in the world.
Your Money and Your Life
Coty Inc. shares have experienced a significant downturn this year, leading to notable losses for individual investors. Those trying to replicate the wealth-building strategies of high-profile investors by investing in companies like Coty have faced substantial setbacks in 2024.
Year-to-date, Coty’s shares on the NYSE have declined by more than 14 percent. As a result, a $100,000 investment in Coty Inc. at the beginning of the year would now be worth $85,850, representing a loss of $14,158.
