7 Penny Stocks with Low Forward P/E Ratios

3. Coty Inc. (NYSE:COTY)

Price Per Share: $3.16

Number of Hedge Fund Holders: 30

Coty Inc. (NYSE:COTY) is among the penny stocks with low forward P/E ratios to look for.

On February 2, Coty Inc. (NYSE:COTY) announced its partnership with OpenAI to build on the AI firm’s fast-growing AI network. OpenAI will assist Coty in scaling the use of AI tools across its global organizational system.

Coty employees will be given access to OpenAI’s most advanced models with enterprise-grade security and privacy. This will assist them with daily work and improve cross-functional collaboration. In the first phase, Coty employees will gain access to secure, enterprise-grade AI tools. They will have the option to scale, considering the company’s evolving needs. Jerome Auvinet, Coty Chief Information, Digital Innovation & Business Services Officer, said:

”This collaboration enables Coty teams to securely use OpenAI’s leading, enterprise-grade AI capabilities in line with Coty’s expectations for privacy, quality, and performance. It helps our teams work more efficiently and focus on higher-value contributions.”

OpenAI will offer various techniques and training options, such as live training, hands-on workshops, and leadership engagement. Coty’s goal is to adapt the culture where AI naturally supports the company’s think tank. This will further lead to strengthening Coty’s talent, sharpening execution, and building a future‑ready workforce.

In other news on February 2, TheFly reported that Canaccord Genuity analyst Susan Anderson lowered the price target on Coty Inc. (NYSE:COTY) from $4 to $3.59, maintaining a Hold rating on the stock.

Anderson updated her model ahead of the company’s second-quarter fiscal year 2026 earnings. The analyst believes there is a lot of uncertainty around Coty’s future strategy with the pending loss of the Gucci license, new interim CEO, and potential divestitures. COTY is currently trading at a forward price-to-earnings ratio of 7.07.

Coty Inc. (NYSE:COTY), along with its subsidiaries, manufactures, markets, and distributes branded beauty products globally. The company operates two segments: the Prestige and Consumer Beauty.