Tapestry Sees Unusually High Options Volume (NYSE:TPR)

Tapestry, Inc. (NYSE:TPR) was the recipient of some unusual options trading activity on Monday. Stock traders bought 16,170 call options on the company. This represents an increase of 96% compared to the average volume of 8,269 call options.

Tapestry Trading Up 1.8%

TPR opened at $87.31 on Wednesday. The company’s 50 day moving average is $77.02 and its 200-day moving average is $73.74. Tapestry has a 1-year low of $35.23 and a 1-year high of $90.85. The company has a current ratio of 1.76, a quick ratio of 1.22 and a debt-to-equity ratio of 1.59. The company has a market cap of $18.13 billion, a P/E ratio of 22.98, a PEG ratio of 1.91 and a beta of 1.46.

Tapestry (NYSE:TPR) last posted its earnings results on Thursday, May 8th. The luxury accessories retailer reported $1.03 EPS for the quarter, topping the consensus estimate of $0.89 by $0.14. Tapestry had a net margin of 12.50% and a return on equity of 51.84%. The business had revenue of $1.58 billion for the quarter, compared to the consensus estimate of $1.53 billion. During the same period last year, the company earned $0.81 EPS. The firm’s revenue was up 6.9% compared to the same quarter last year. Equities research analysts predict that Tapestry will post 4.91 earnings per share for the current fiscal year.

Tapestry Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Monday, June 23rd. Shareholders of record on Friday, June 6th were paid a dividend of $0.35 per share. The ex-dividend date of this dividend was Friday, June 6th. This represents a $1.40 dividend on an annualized basis and a yield of 1.60%. Tapestry’s dividend payout ratio (DPR) is presently 36.84%.

Insider Buying and Selling at Tapestry

In other news, CEO Todd Kahn sold 40,000 shares of the company’s stock in a transaction that occurred on Monday, May 12th. The shares were sold at an average price of $81.40, for a total value of $3,256,000.00. Following the completion of the transaction, the chief executive officer now owns 116,062 shares in the company, valued at $9,447,446.80. This represents a 25.63% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, VP Manesh Dadlani sold 1,399 shares of the stock in a transaction on Monday, May 12th. The shares were sold at an average price of $81.88, for a total transaction of $114,550.12. Following the completion of the sale, the vice president now owns 40,922 shares of the company’s stock, valued at approximately $3,350,693.36. This represents a 3.31% decrease in their position. The disclosure for this sale can be found here. Company insiders own 1.18% of the company’s stock.

Institutional Trading of Tapestry

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. Flaharty Asset Management LLC bought a new stake in shares of Tapestry in the 1st quarter worth $25,000. Harbour Investments Inc. boosted its holdings in shares of Tapestry by 120.1% in the 1st quarter. Harbour Investments Inc. now owns 361 shares of the luxury accessories retailer’s stock worth $25,000 after buying an additional 197 shares during the last quarter. Caitong International Asset Management Co. Ltd purchased a new position in shares of Tapestry in the 1st quarter worth about $29,000. Greenline Partners LLC purchased a new position in shares of Tapestry in the 4th quarter worth about $29,000. Finally, MorganRosel Wealth Management LLC purchased a new position in shares of Tapestry in the 1st quarter worth about $35,000. Institutional investors own 90.77% of the company’s stock.

Analysts Set New Price Targets

A number of brokerages have commented on TPR. Barclays increased their price target on shares of Tapestry from $83.00 to $98.00 and gave the company an “overweight” rating in a research note on Monday, May 12th. Argus increased their price objective on shares of Tapestry from $78.00 to $92.00 and gave the company a “buy” rating in a research report on Tuesday, June 17th. Wall Street Zen raised shares of Tapestry from a “hold” rating to a “buy” rating in a research report on Tuesday, May 13th. The Goldman Sachs Group increased their price objective on shares of Tapestry from $84.00 to $93.00 and gave the company a “buy” rating in a research report on Friday, May 9th. Finally, TD Cowen raised shares of Tapestry from a “hold” rating to a “buy” rating and set a $100.00 price objective on the stock in a research report on Thursday, June 12th. Three research analysts have rated the stock with a hold rating and eighteen have given a buy rating to the stock. According to data from MarketBeat.com, Tapestry presently has an average rating of “Moderate Buy” and a consensus price target of $88.78.

About Tapestry

Tapestry, Inc provides luxury accessories and branded lifestyle products in the United States, Japan, Greater China, and internationally. The company operates in three segments: Coach, Kate Spade, and Stuart Weitzman. It offers women’s handbags; and women’s accessories, such as small leather goods which includes mini and micro handbags, money pieces, wristlets, pouches, and cosmetic cases, as well as novelty accessories including address books, time management and travel accessories, sketchbooks, and portfolios; and belts, key rings, and charms.