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Key Points
- Sue Nabi's stake in Coty Inc. has declined below $255 million, losing $48.44 million in value over 19 days.
- Coty's shares have plunged 15.98% since Sept. 27, reducing its market cap to $7 billion and impacting shareholders significantly.
- Year-to-date, Coty's share price is down 34.62%, indicating cautious sentiment among investors in the beauty market.
Algerian-born French entrepreneur and CEO of Coty Inc., Sue Youcef Nabi, has witnessed a notable downturn in the value of her shareholding in the U.S. beauty giant which declined below $255 million. This decline is attributed to the continued slide in Coty’s shares on the New York Stock Exchange (NYSE).
Over the past 19 days, Nabi's 3.7-percent stake – comprising 31.88 million shares in Coty – has fallen by $48.44 million, dragging its value below $255 million. The decline comes on the heels of a $20.9-million loss over a two-week span, which saw her stake drop from $306.9 million to $286.1 million.
Sue Nabi faces $48.44 million loss
Coty Inc., an American multinational beauty company founded in 1904 by François Coty, has grown into a global leader in the fragrance industry holding the second-largest market share in hair color and styling products and ranks third in color cosmetics boasting ownership of approximately 77 brands as of 2018.
The company's shares have fallen 15.98 percent over the past 19 days, dropping from $9.51 on Sept. 27 to $7.99. This decline has reduced its market capitalization to $7 billion, leading to significant losses for shareholders. Nabi's stake value decreased from $303.06 million on Sept. 27 to $254.62 million.
Sue Nabi remains a key figure in the global beauty industry despite recent setbacks. As CEO of Coty, her leadership significantly influences the global beauty industry. In addition to her role at Coty, she founded Orveda, a luxury vegan skincare brand gaining traction in the market. Nabi's influence and business acumen position her among the wealthiest African-born executives.
Personal Finance Perspective: Your Money and Your Life
The ongoing challenges facing Coty and the broader beauty market are likely to keep investors cautious in the near term. With the company’s share price down 34.62 percent year-to-date, a $100,000 investment at the beginning of the year would now be worth $65,385, reflecting a loss of $34,615.
