Tapestry (NYSE:TPR) Cut to Hold at Wall Street Zen

Wall Street Zen cut shares of Tapestry (NYSE:TPR) from a buy rating to a hold rating in a research report sent to investors on Sunday morning.

TPR has been the subject of a number of other research reports. BTIG Research decreased their target price on Tapestry from $180.00 to $175.00 and set a “buy” rating for the company in a research report on Friday. Raymond James Financial reissued an “outperform” rating and issued a $165.00 price target on shares of Tapestry in a research report on Thursday, April 23rd. Evercore set a $175.00 price objective on shares of Tapestry in a research note on Friday, May 8th. Barclays upped their price objective on shares of Tapestry from $182.00 to $185.00 and gave the stock an “overweight” rating in a report on Friday. Finally, Morgan Stanley dropped their target price on shares of Tapestry from $164.00 to $159.00 and set an “overweight” rating on the stock in a report on Friday. One equities research analyst has rated the stock with a Strong Buy rating, fifteen have given a Buy rating and four have assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, Tapestry currently has a consensus rating of “Moderate Buy” and a consensus target price of $175.12.

Tapestry Price Performance

NYSE TPR opened at $132.23 on Friday. Tapestry has a fifty-two week low of $93.00 and a fifty-two week high of $164.80. The stock’s 50-day moving average is $145.97 and its two-hundred day moving average is $144.81. The firm has a market cap of $26.37 billion, a P/E ratio of 18.14, a price-to-earnings-growth ratio of 1.15 and a beta of 1.43. The company has a debt-to-equity ratio of 3.44, a current ratio of 1.75 and a quick ratio of 1.25.

Tapestry (NYSE:TPR) last released its quarterly earnings results on Thursday, August 13th. The luxury accessories retailer reported $1.32 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.28 by $0.04. The company had revenue of $1.88 billion during the quarter, compared to the consensus estimate of $1.87 billion. Tapestry had a return on equity of 254.95% and a net margin of 19.09%.The firm’s revenue was up 8.9% on a year-over-year basis. During the same quarter in the prior year, the company posted $1.04 EPS. Tapestry has set its FY 2027 guidance at 7.800-7.900 EPS. On average, analysts anticipate that Tapestry will post 7.96 earnings per share for the current fiscal year.

Tapestry Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Monday, September 21st. Stockholders of record on Friday, September 4th will be given a dividend of $0.4625 per share. This is an increase from Tapestry’s previous quarterly dividend of $0.40. The ex-dividend date is Friday, September 4th. This represents a $1.85 annualized dividend and a dividend yield of 1.4%. Tapestry’s dividend payout ratio (DPR) is presently 21.95%.

Insiders Place Their Bets

In related news, CEO Todd Kahn sold 19,557 shares of the business’s stock in a transaction 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 sale, the chief executive officer owned 123,258 shares of the company’s stock, valued at $17,258,585.16. The trade was a 13.69% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Insiders own 1.32% of the company’s stock.

Hedge Funds Weigh In On Tapestry

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. BlackRock Inc. bought a new stake in Tapestry during the 2nd quarter worth approximately $2,610,995,000. State Street Corp boosted its stake in Tapestry by 3.8% in the fourth quarter. State Street Corp now owns 9,578,111 shares of the luxury accessories retailer’s stock worth $1,223,795,000 after purchasing an additional 348,334 shares in the last quarter. Schroder Investment Management Group boosted its stake in Tapestry by 92.8% in the fourth quarter. Schroder Investment Management Group now owns 9,350,221 shares of the luxury accessories retailer’s stock worth $1,194,678,000 after purchasing an additional 4,500,850 shares in the last quarter. Geode Capital Management LLC grew its holdings in shares of Tapestry by 3.6% during the fourth quarter. Geode Capital Management LLC now owns 5,912,917 shares of the luxury accessories retailer’s stock worth $753,482,000 after purchasing an additional 203,764 shares during the last quarter. Finally, Bank of America Corp DE acquired a new stake in shares of Tapestry in the second quarter valued at $771,309,000. 90.77% of the stock is currently owned by institutional investors and hedge funds.

Tapestry Company Profile

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.