Tapestry (NYSE:TPR) Reaches New 1-Year High – Time to Buy?

Tapestry, Inc. (NYSE:TPR)’s stock price reached a new 52-week high during trading on Tuesday . The company traded as high as $118.87 and last traded at $118.6020, with a volume of 1672080 shares traded. The stock had previously closed at $117.27.

Wall Street Analysts Forecast Growth

Several brokerages have recently weighed in on TPR. Morgan Stanley lifted their target price on shares of Tapestry from $124.00 to $126.00 and gave the company an “overweight” rating in a research report on Friday, November 7th. Evercore ISI lifted their price objective on Tapestry from $125.00 to $129.00 and gave the company an “outperform” rating in a report on Monday, November 3rd. Jefferies Financial Group upped their price objective on Tapestry from $125.00 to $135.00 and gave the company a “buy” rating in a research note on Thursday, October 23rd. Robert W. Baird set a $130.00 target price on Tapestry in a research report on Wednesday, October 29th. Finally, Weiss Ratings reaffirmed a “hold (c)” rating on shares of Tapestry in a research note on Wednesday, October 8th. Eighteen investment analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average price target of $119.26.

Tapestry Stock Up 1.0%

The firm has a market cap of $24.24 billion, a P/E ratio of 105.69, a P/E/G ratio of 2.39 and a beta of 1.65. The business has a fifty day moving average of $110.55 and a 200 day moving average of $102.20. The company has a quick ratio of 0.93, a current ratio of 1.52 and a debt-to-equity ratio of 5.95.

Tapestry (NYSE:TPR) last released its quarterly earnings results on Thursday, November 6th. The luxury accessories retailer reported $1.38 EPS for the quarter, topping analysts’ consensus estimates of $1.25 by $0.13. Tapestry had a return on equity of 116.42% and a net margin of 3.77%.The company had revenue of $1.70 billion for the quarter, compared to analyst estimates of $1.63 billion. During the same quarter last year, the firm posted $0.84 earnings per share. Tapestry’s revenue was up 13.1% compared to the same quarter last year. Tapestry has set its FY 2026 guidance at 5.450-5.600 EPS. On average, equities research analysts predict that Tapestry, Inc. will post 4.91 EPS for the current year.

Tapestry Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Monday, December 22nd. Investors of record on Friday, December 5th will be issued a dividend of $0.40 per share. The ex-dividend date of this dividend is Friday, December 5th. This represents a $1.60 dividend on an annualized basis and a dividend yield of 1.4%. Tapestry’s payout ratio is presently 142.86%.

Tapestry announced that its Board of Directors has approved a stock repurchase program on Thursday, November 6th that authorizes the company to buyback $1.00 billion in shares. This buyback authorization authorizes the luxury accessories retailer to reacquire up to 4.9% of its shares through open market purchases. Shares buyback programs are generally a sign that the company’s board believes its stock is undervalued.

Insider Activity at Tapestry

In related news, insider Denise Kulikowsky sold 583 shares of the stock in a transaction that occurred on Thursday, December 4th. The stock was sold at an average price of $115.17, for a total transaction of $67,144.11. Following the sale, the insider owned 19,285 shares of the company’s stock, valued at $2,221,053.45. This represents a 2.93% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, insider David E. Howard sold 25,029 shares of Tapestry stock in a transaction on Tuesday, November 18th. The shares were sold at an average price of $102.50, for a total value of $2,565,472.50. Following the completion of the transaction, the insider directly owned 55,354 shares of the company’s stock, valued at $5,673,785. This represents a 31.14% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders have sold 126,805 shares of company stock valued at $13,236,129. 1.32% of the stock is currently owned by insiders.

Institutional Trading of Tapestry

Institutional investors and hedge funds have recently modified their holdings of the business. Harbour Investments Inc. raised its stake in Tapestry by 120.1% during the first quarter. Harbour Investments Inc. now owns 361 shares of the luxury accessories retailer’s stock worth $25,000 after acquiring an additional 197 shares in the last quarter. Flaharty Asset Management LLC bought a new stake in shares of Tapestry during the 1st quarter valued at approximately $25,000. First PREMIER Bank acquired a new position in Tapestry during the 2nd quarter worth approximately $25,000. Cloud Capital Management LLC bought a new position in Tapestry in the 3rd quarter valued at approximately $26,000. Finally, Vestor Capital LLC bought a new position in Tapestry in the 2nd quarter valued at approximately $27,000. 90.77% of the stock is currently owned by institutional investors.

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.