Tapestry (NYSE:TPR) Stock Price Up 4.2% on Analyst Upgrade

Tapestry, Inc. (NYSE:TPR)’s share price was up 4.2% during mid-day trading on Tuesday after Daiwa Securities Group upgraded the stock from a hold rating to a strong-buy rating. The stock traded as high as $135.35 and last traded at $134.47. 896,856 shares changed hands during mid-day trading, a decline of 63% from the average session volume of 2,427,307 shares. The stock had previously closed at $129.02.

A number of other research firms have also weighed in on TPR. Wells Fargo & Company reduced their price objective on shares of Tapestry from $165.00 to $160.00 and set an “overweight” rating on the stock in a research report on Thursday, August 13th. BTIG Research reduced their price target on Tapestry from $180.00 to $175.00 and set a “buy” rating on the stock in a report on Friday, August 14th. Evercore set a $175.00 price target on Tapestry in a research note on Friday, May 8th. JPMorgan Chase & Co. upped their price objective on Tapestry from $205.00 to $211.00 and gave the company an “overweight” rating in a research report on Tuesday, August 4th. Finally, Weiss Ratings upgraded Tapestry from a “hold (c)” rating to a “buy (b-)” rating in a research note on Friday, August 14th. Two equities research analysts have rated the stock with a Strong Buy rating, fifteen have given a Buy rating and four have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $175.12.

Insider Activity

In related news, CEO Todd Kahn sold 19,557 shares of the business’s stock in a transaction that occurred on Tuesday, May 26th. The stock was sold at an average price of $140.02, for a total value of $2,738,371.14. Following the completion of the sale, the chief executive officer owned 123,258 shares in the company, valued at approximately $17,258,585.16. The trade was a 13.69% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Insiders own 1.32% of the company’s stock.

Hedge Funds Weigh In On Tapestry

Hedge funds and other institutional investors have recently made changes to their positions in the company. Eurizon Capital SGR S.p.A. acquired a new stake in shares of Tapestry during the fourth quarter worth about $8,109,000. Keystone Investors PTE Ltd. raised its holdings in shares of Tapestry by 17.4% during the fourth quarter. Keystone Investors PTE Ltd. now owns 62,622 shares of the luxury accessories retailer’s stock worth $8,001,000 after purchasing an additional 9,303 shares during the last quarter. SEB Asset Management AB acquired a new position in Tapestry during the first quarter valued at $59,525,000. Norges Bank purchased a new stake in Tapestry in the fourth quarter valued at $345,349,000. Finally, North Dakota State Investment Board purchased a new stake in shares of Tapestry in the fourth quarter worth about $2,417,000. Institutional investors own 90.77% of the company’s stock.

Tapestry Stock Performance

The firm has a fifty day moving average of $145.78 and a 200 day moving average of $144.84. The company has a debt-to-equity ratio of 3.44, a current ratio of 1.75 and a quick ratio of 1.25. The stock has a market capitalization of $26.22 billion, a price-to-earnings ratio of 18.04, a price-to-earnings-growth ratio of 1.67 and a beta of 1.43.

Tapestry (NYSE:TPR) last released its quarterly earnings data on Thursday, August 13th. The luxury accessories retailer reported $1.32 EPS for the quarter, topping the consensus estimate of $1.28 by $0.04. The business had revenue of $1.88 billion for the quarter, compared to analyst estimates of $1.87 billion. Tapestry had a return on equity of 254.95% and a net margin of 19.09%.The business’s quarterly revenue was up 8.9% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $1.04 EPS. Tapestry has set its FY 2027 guidance at 7.800-7.900 EPS. On average, sell-side analysts anticipate that Tapestry, Inc. will post 7.94 earnings per share for the current fiscal year.

Tapestry Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Monday, September 21st. Investors of record on Friday, September 4th will be given a dividend of $0.4625 per share. This is a boost from Tapestry’s previous quarterly dividend of $0.40. This represents a $1.85 annualized dividend and a yield of 1.4%. The ex-dividend date is Friday, September 4th. Tapestry’s dividend payout ratio (DPR) is 25.38%.

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.