Tapestry (NYSE:TPR) Hits New 1-Year High – Should You Buy?

Tapestry, Inc. (NYSE:TPR)’s share price hit a new 52-week high during trading on Monday . The company traded as high as $131.40 and last traded at $130.36, with a volume of 1708812 shares trading hands. The stock had previously closed at $130.20.

Analysts Set New Price Targets

Several brokerages have recently issued reports on TPR. Wall Street Zen cut Tapestry from a “strong-buy” rating to a “buy” rating in a report on Saturday, December 6th. Sanford C. Bernstein boosted their price target on shares of Tapestry from $112.00 to $115.00 and gave the stock an “outperform” rating in a research report on Friday, November 7th. Raymond James Financial increased their price objective on shares of Tapestry from $115.00 to $130.00 and gave the company an “outperform” rating in a research report on Tuesday, October 21st. Evercore ISI boosted their target price on shares of Tapestry from $125.00 to $129.00 and gave the stock an “outperform” rating in a report on Monday, November 3rd. Finally, Guggenheim assumed coverage on shares of Tapestry in a research report on Tuesday, December 9th. They set a “neutral” rating on the stock. Seventeen analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the stock. According to data from MarketBeat, Tapestry currently has a consensus rating of “Moderate Buy” and a consensus price target of $122.00.

Tapestry Stock Down 0.6%

The company’s fifty day moving average price is $113.96 and its 200-day moving average price is $107.43. The stock has a market cap of $26.50 billion, a P/E ratio of 115.64, a price-to-earnings-growth ratio of 2.68 and a beta of 1.65. The company has a debt-to-equity ratio of 5.95, a quick ratio of 0.93 and a current ratio of 1.52.

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

Tapestry Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Monday, December 22nd. Shareholders of record on Friday, December 5th were paid a $0.40 dividend. The ex-dividend date was Friday, December 5th. This represents a $1.60 dividend on an annualized basis and a yield of 1.2%. Tapestry’s dividend payout ratio (DPR) is presently 142.86%.

Tapestry announced that its board has authorized a stock repurchase program on Thursday, November 6th that allows the company to buyback $1.00 billion in shares. This buyback authorization allows the luxury accessories retailer to purchase up to 4.9% of its stock through open market purchases. Stock buyback programs are usually an indication that the company’s management believes its shares are undervalued.

Insider Transactions at Tapestry

In related news, insider David E. Howard sold 25,029 shares of Tapestry stock in a transaction dated Tuesday, November 18th. The shares were sold at an average price of $102.50, for a total transaction of $2,565,472.50. Following the completion of the sale, the insider owned 55,354 shares in the company, valued at $5,673,785. This trade represents a 31.14% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, CEO Todd Kahn sold 29,000 shares of the business’s stock in a transaction dated Tuesday, November 18th. The shares were sold at an average price of $102.83, for a total transaction of $2,982,070.00. Following the completion of the sale, the chief executive officer directly owned 86,736 shares of the company’s stock, valued at approximately $8,919,062.88. This trade represents a 25.06% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders sold 115,485 shares of company stock valued at $12,034,058. Company insiders own 1.32% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the company. Schroder Investment Management Group grew its position in shares of Tapestry by 1,661.6% during the 2nd quarter. Schroder Investment Management Group now owns 4,002,818 shares of the luxury accessories retailer’s stock worth $351,487,000 after buying an additional 3,775,593 shares in the last quarter. Norges Bank bought a new position in Tapestry during the 2nd quarter worth about $227,248,000. Massachusetts Financial Services Co. MA increased its position in Tapestry by 250.6% during the 3rd quarter. Massachusetts Financial Services Co. MA now owns 2,449,170 shares of the luxury accessories retailer’s stock valued at $277,295,000 after purchasing an additional 1,750,566 shares during the period. State Street Corp raised its holdings in shares of Tapestry by 19.3% in the 3rd quarter. State Street Corp now owns 9,229,777 shares of the luxury accessories retailer’s stock valued at $1,044,995,000 after purchasing an additional 1,494,193 shares in the last quarter. Finally, Voloridge Investment Management LLC lifted its position in shares of Tapestry by 160.5% in the 3rd quarter. Voloridge Investment Management LLC now owns 1,886,518 shares of the luxury accessories retailer’s stock worth $213,592,000 after purchasing an additional 1,162,442 shares during the period. 90.77% of the stock is currently owned by hedge funds and other institutional investors.

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.