Tapestry (NYSE:TPR) Shares Gap Down – Here’s What Happened

Shares of Tapestry, Inc. (NYSE:TPR) gapped down prior to trading on Thursday . The stock had previously closed at $148.83, but opened at $135.36. Tapestry shares last traded at $134.5230, with a volume of 998,977 shares trading hands.

Key Stories Impacting Tapestry

Here are the key news stories impacting Tapestry this week:

• Positive Sentiment: Tapestry beat fiscal third-quarter expectations, posting EPS of $1.66 on revenue of $1.92 billion, and also raised full-year guidance, which points to improving business momentum. Business Wire release
• Positive Sentiment: JPMorgan raised its price target on TPR to $200 from $190 and kept an overweight rating, signaling confidence in further upside from current levels. Benzinga report
• Positive Sentiment: BTIG reaffirmed a buy rating and set a $180 target, adding to the list of analysts turning more constructive after the earnings update. Benzinga report
• Neutral Sentiment: Tapestry announced a quarterly dividend of $0.40 per share, which supports shareholder returns but is not a major near-term catalyst. Earnings transcript
• Negative Sentiment: Despite the earnings beat, shares were pressured by concerns about tariffs and weaker performance at Kate Spade, suggesting investors are focusing on margin and brand-mix risks. Zacks article

Wall Street Analyst Weigh In

A number of analysts have recently commented on TPR shares. Raymond James Financial reaffirmed an “outperform” rating and issued a $165.00 price target on shares of Tapestry in a research note on Thursday, April 23rd. Evercore set a $175.00 price objective on Tapestry in a research report on Friday. Argus set a $165.00 price objective on Tapestry in a research report on Thursday, March 12th. Wells Fargo & Company boosted their price objective on Tapestry from $142.00 to $165.00 and gave the company an “overweight” rating in a research report on Friday, February 6th. Finally, Zacks Research upgraded Tapestry from a “hold” rating to a “strong-buy” rating in a research report on Monday, February 9th. Two analysts have rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating and four have issued a Hold rating to the stock. Based on data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average target price of $160.67.

Tapestry Trading Up 2.2%

The company has a debt-to-equity ratio of 3.48, a quick ratio of 1.10 and a current ratio of 1.84. The business has a 50-day simple moving average of $146.44 and a two-hundred day simple moving average of $132.25. The stock has a market cap of $27.01 billion, a price-to-earnings ratio of 42.77, a P/E/G ratio of 1.45 and a beta of 1.45.

Tapestry (NYSE:TPR) last released its quarterly earnings results on Thursday, May 7th. The luxury accessories retailer reported $1.66 earnings per share for the quarter, topping analysts’ consensus estimates of $1.31 by $0.35. Tapestry had a return on equity of 229.70% and a net margin of 8.44%.The firm had revenue of $1.92 billion during the quarter, compared to the consensus estimate of $1.79 billion. During the same quarter in the prior year, the firm posted $1.03 EPS. The business’s revenue was up 21.2% on a year-over-year basis. Tapestry has set its FY 2026 guidance at 6.950-6.950 EPS. As a group, research analysts forecast that Tapestry, Inc. will post 6.95 EPS for the current year.

Tapestry Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, June 22nd. Stockholders of record on Friday, June 5th will be issued a $0.40 dividend. This represents a $1.60 annualized dividend and a dividend yield of 1.2%. The ex-dividend date of this dividend is Friday, June 5th. Tapestry’s dividend payout ratio is presently 66.12%.

Insider Buying and Selling

In other news, Director Thomas Greco sold 14,245 shares of the stock in a transaction that occurred on Tuesday, February 17th. The stock was sold at an average price of $154.44, for a total value of $2,199,997.80. Following the completion of the sale, the director owned 21,302 shares of the company’s stock, valued at approximately $3,289,880.88. This represents a 40.07% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, Director Anne Gates sold 6,498 shares of the stock in a transaction that occurred on Tuesday, February 10th. The shares were sold at an average price of $153.79, for a total value of $999,327.42. Following the completion of the sale, the director directly owned 22,698 shares of the company’s stock, valued at approximately $3,490,725.42. The trade was a 22.26% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 164,956 shares of company stock worth $25,297,262 in the last quarter. 1.32% of the stock is owned by company insiders.

Institutional Investors Weigh In On Tapestry

Large investors have recently added to or reduced their stakes in the business. World Investment Advisors lifted its holdings in Tapestry by 3.6% during the 1st quarter. World Investment Advisors now owns 1,979 shares of the luxury accessories retailer’s stock valued at $279,000 after purchasing an additional 69 shares during the last quarter. Horizon Bancorp Inc. IN lifted its holdings in Tapestry by 4.7% during the 1st quarter. Horizon Bancorp Inc. IN now owns 1,575 shares of the luxury accessories retailer’s stock valued at $222,000 after purchasing an additional 71 shares during the last quarter. Smartleaf Asset Management LLC lifted its holdings in Tapestry by 2.0% during the 4th quarter. Smartleaf Asset Management LLC now owns 3,682 shares of the luxury accessories retailer’s stock valued at $477,000 after purchasing an additional 73 shares during the last quarter. Northwest Wealth Management LLC lifted its holdings in Tapestry by 3.4% during the 4th quarter. Northwest Wealth Management LLC now owns 2,462 shares of the luxury accessories retailer’s stock valued at $315,000 after purchasing an additional 82 shares during the last quarter. Finally, Fulton Bank N.A. lifted its holdings in Tapestry by 2.8% during the 4th quarter. Fulton Bank N.A. now owns 3,166 shares of the luxury accessories retailer’s stock valued at $405,000 after purchasing an additional 87 shares during the last quarter. 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.