Tapestry (NYSE:TPR) Reaches New 1-Year High – Still a Buy?

Tapestry, Inc. (NYSE:TPR)’s share price reached a new 52-week high during trading on Wednesday . The company traded as high as $157.00 and last traded at $152.88, with a volume of 2978600 shares. The stock had previously closed at $154.65.

Analyst Ratings Changes

A number of research analysts recently issued reports on TPR shares. TD Cowen reaffirmed a “buy” rating on shares of Tapestry in a report on Tuesday. Wells Fargo & Company raised their price objective on shares of Tapestry from $142.00 to $165.00 and gave the company an “overweight” rating in a research report on Friday. UBS Group reiterated a “neutral” rating and set a $141.00 target price on shares of Tapestry in a research report on Monday. Sanford C. Bernstein reissued an “outperform” rating and set a $170.00 price target on shares of Tapestry in a research note on Friday. Finally, Telsey Advisory Group boosted their price objective on shares of Tapestry to $150.00 and gave the stock an “outperform” rating in a research report on Thursday, February 5th. One equities research analyst has rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating and five have issued a Hold rating to the company’s stock. According to MarketBeat.com, Tapestry currently has an average rating of “Moderate Buy” and an average target price of $143.33.

Tapestry Stock Performance

The stock has a market capitalization of $30.95 billion, a price-to-earnings ratio of 63.17, a price-to-earnings-growth ratio of 2.39 and a beta of 1.63. The company has a debt-to-equity ratio of 4.32, a current ratio of 1.63 and a quick ratio of 1.10. The stock has a 50-day moving average of $129.14 and a 200 day moving average of $115.64.

Tapestry (NYSE:TPR) last issued its quarterly earnings results on Thursday, February 5th. The luxury accessories retailer reported $2.69 EPS for the quarter, topping the consensus estimate of $2.20 by $0.49. The company had revenue of $2.50 billion during the quarter, compared to analysts’ expectations of $2.29 billion. Tapestry had a net margin of 6.95% and a return on equity of 157.98%. Tapestry’s revenue was up 14.0% on a year-over-year basis. During the same quarter in the previous year, the company earned $2.00 EPS. Tapestry has set its FY 2026 guidance at 6.400-6.450 EPS. On average, analysts expect that Tapestry, Inc. will post 4.91 EPS for the current year.

Tapestry Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Monday, March 23rd. Shareholders of record on Friday, March 6th will be given a dividend of $0.40 per share. The ex-dividend date is Friday, March 6th. This represents a $1.60 annualized dividend and a dividend yield of 1.0%. Tapestry’s payout ratio is presently 66.12%.

Tapestry declared that its board has authorized a share buyback plan on Thursday, November 6th that authorizes the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization authorizes the luxury accessories retailer to reacquire up to 4.9% of its shares through open market purchases. Shares repurchase plans are often an indication that the company’s leadership believes its stock is undervalued.

Insiders Place Their Bets

In other Tapestry news, CEO Todd Kahn sold 29,000 shares of the firm’s stock in a transaction dated Tuesday, November 18th. The stock was sold at an average price of $102.83, for a total transaction of $2,982,070.00. Following the transaction, the chief executive officer owned 86,736 shares in the company, valued at approximately $8,919,062.88. This trade represents a 25.06% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO Joanne C. Crevoiserat sold 31,735 shares of the business’s stock in a transaction dated Friday, November 21st. The stock was sold at an average price of $105.31, for a total value of $3,342,012.85. Following the transaction, the chief executive officer owned 667,233 shares of the company’s stock, valued at $70,266,307.23. The trade was a 4.54% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 115,485 shares of company stock worth $12,034,058 over the last three months. Insiders own 1.32% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of the company. Great Diamond Partners LLC bought a new position in shares of Tapestry during the 3rd quarter valued at about $2,395,000. Stevens Capital Partners acquired a new stake in Tapestry during the 3rd quarter worth approximately $8,880,000. Three Seasons Wealth LLC acquired a new stake in Tapestry during the 3rd quarter worth approximately $1,882,000. Fisher Asset Management LLC lifted its stake in Tapestry by 5,027.6% in the second quarter. Fisher Asset Management LLC now owns 499,988 shares of the luxury accessories retailer’s stock valued at $43,904,000 after buying an additional 490,237 shares in the last quarter. Finally, Abacus FCF Advisors LLC acquired a new position in shares of Tapestry in the third quarter valued at approximately $17,332,000. Institutional investors own 90.77% of the company’s stock.

About Tapestry

Tapestry, Inc is a New York City–based house of fashion brands that designs, produces and distributes a range of accessible luxury and lifestyle products. The company manages a portfolio led by Coach, along with Kate Spade New York and Stuart Weitzman, each offering distinct product lines that include handbags and leather goods, footwear, ready-to-wear apparel, accessories, small leather goods, jewelry and lifestyle items. Tapestry’s operations encompass product design, marketing, wholesale partnerships, retail store operations and digital commerce.

Historically, the Coach brand traces its roots to a leather workshop in New York dating to the mid-20th century.