10 Cheapest Penny Stocks to Buy Now

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1. Coty Inc. (NYSE:COTY)

Number of Hedge Fund Holders: 33

Forward P/E: 9.12

Coty Inc. (NYSE:COTY) is one of the 10 Cheapest Penny Stocks to Buy Now.

On September 22, 2025, Hagens Berman, which is a shareholder-rights law firm, launched an investigation into Coty Inc. (NYSE:COTY).

This follows a 21% stock drop on August 21 when Coty Inc. (NYSE:COTY) cited “retailer inventory destocking issues” in its weak Q4 and full-year results. The investigation aims to determine whether the company misled investors about its growth trajectory and the effectiveness of its SAP S/4HANA digital inventory strategy.

Meanwhile, on September 10, 2025, Berenberg reduced the price target on Coty Inc. (NYSE:COTY) from $6.50 to $5.05. The price revision reflects weaker sales growth expectations, reduced FY2026 EPS forecasts, and pressure on margins from tariff headwinds and the restoration of variable compensation.

Coty Inc. (NYSE:COTY), one of the world’s largest beauty companies, manufactures and markets fragrances, color cosmetics, and skin and body care products across the globe. It is one of the 10 Cheapest Penny Stocks to Buy Now.

While we acknowledge the potential of COTY to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than COTY and that has 100x upside potential, check out our report about this cheapest AI stock.

READ NEXT: 11 Best Roth IRA Stocks to Invest in Now and 11 Best Coal Stocks to Buy According to Hedge Funds.

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