NYSE:TPR

Stock Analysis Report

Executive Summary

Tapestry, Inc. provides luxury accessories and branded lifestyle products in the United States, Japan, China, Hong Kong, Macau, Europe, Canada, Taiwan, South Korea, Malaysia, Australia, New Zealand, and Singapore.

Snowflake

Fundamentals

6 star dividend payer and good value.

Risks

  • Tapestry has significant price volatility in the past 3 months.

Similar Companies

Share Price & News

How has Tapestry's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-20.1%

NYSE:TPR

-2.1%

US Luxury

0.9%

US Market


1 Year Return

-59.8%

NYSE:TPR

-12.5%

US Luxury

0.3%

US Market

TPR underperformed the Luxury industry which returned -11.9% over the past year.

TPR underperformed the Market in United States of America which returned -0.5% over the past year.


Share holder returns

TPRIndustryMarket
7 Day-20.1%-2.1%0.9%
30 Day-30.8%-10.2%-1.9%
90 Day-33.2%-9.1%1.6%
1 Year-58.3%-59.8%-10.7%-12.5%2.6%0.3%
3 Year-41.7%-47.3%18.1%12.9%41.0%31.8%
5 Year-32.8%-43.7%34.6%26.0%55.2%38.0%

Price Volatility Vs. Market

How volatile is Tapestry's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Tapestry undervalued based on future cash flows and its price relative to the stock market?

>50%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Tapestry's share price is below the future cash flow value, and at a moderate discount (> 20%).

Tapestry's share price is below the future cash flow value, and at a substantial discount (> 40%).


Price Based on Earnings

Tapestry is good value based on earnings compared to the US Luxury industry average.

Tapestry is good value based on earnings compared to the United States of America market.


Price Based on Expected Growth

Tapestry is poor value based on expected growth next year.


Price Based on Value of Assets

Tapestry is overvalued based on assets compared to the US Luxury industry average.


Next Steps

Future Growth

How is Tapestry expected to perform in the next 1 to 3 years based on estimates from 24 analysts?

7.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Tapestry's revenue is expected to grow by 3.1% yearly, however this is not considered high growth (20% yearly).

Tapestry's earnings are expected to grow by 7.2% yearly, however this is not considered high growth (20% yearly).

Tapestry's revenue growth is positive but not above the United States of America market average.

Tapestry's earnings growth is positive but not above the United States of America market average.

Tapestry's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Tapestry is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Tapestry performed over the past 5 years?

0.7%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Tapestry's year on year earnings growth rate has been positive over the past 5 years.

Tapestry's 1-year earnings growth exceeds its 5-year average (62.1% vs 0.7%)

Tapestry's earnings growth has exceeded the US Luxury industry average in the past year (62.1% vs 55.2%).


Return on Equity

Tapestry has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Tapestry used its assets more efficiently than the US Luxury industry average last year based on Return on Assets.


Return on Capital Employed

Tapestry's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Tapestry's financial position?


Financial Position Analysis

Tapestry is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Tapestry's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Tapestry's level of debt (45.4%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (5.8% vs 45.4% today).

Debt is well covered by operating cash flow (49.6%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 19x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 1.6x debt.


Next Steps

Dividend

What is Tapestry's current dividend yield, its reliability and sustainability?

6.69%

Expected Dividend Yield


Upcoming Dividend Payment

Purchase Tapestry before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield and Payments Analysis

Tapestry's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.49%).

Tapestry's dividend is above the markets top 25% of dividend payers in United States of America (3.84%).

Dividends per share have been stable in the past 10 years.

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are covered by earnings (1.6x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be well covered by earnings (2x coverage).


Next Steps

Management

What is the CEO of Tapestry's salary, the management and board of directors tenure and is there insider trading?

3.4yrs

Average management tenure


CEO

Victor Luis (53yo)

5.6yrs

Tenure

US$12,825,430

Compensation

Mr. Victor Luis has been the Chief Executive Officer of Coach, Inc. since January 2014. Mr. Luis served as the President and Chief Commercial Officer at Coach, Inc. from February 2013 to January 2014. Mr.  ...


CEO Compensation Analysis

Victor's remuneration is higher than average for companies of similar size in United States of America.

Victor's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

3.4yrs

Average Tenure

55yo

Average Age

The tenure for the Tapestry management team is about average.


Board Age and Tenure

4.6yrs

Average Tenure

54.5yo

Average Age

The tenure for the Tapestry board of directors is about average.


Insider Trading

More shares have been bought than sold by Tapestry individual insiders in the past 3 months.


Recent Insider Transactions

SellUS$93,41513 Jun 19
Yu Long
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares3,229
Max PriceUS$28.93
BuyUS$210,05030 May 19
Darrell Cavens
EntityIndividual
Role
Member of the Board of Directors
Outside Director
Shares7,000
Max PriceUS$30.01

Ownership Breakdown


Management Team

  • Sarah Dunn (59yo)

    Global Human Resources Officer

    • Tenure: 5.3yrs
    • Compensation: US$1.83m
  • Joanne Crevoiserat (55yo)

    Chief Financial Officer

    • Tenure: 0.0yrs
  • Andrea Resnick (58yo)

    Global Head of Investor Relations & Corporate Communications

    • Tenure: 0.0yrs
    • Compensation: US$2.12m
  • Tom Glaser (58yo)

    Chief Operations Officer

    • Tenure: 0.1yrs
  • Victor Luis (53yo)

    CEO & Director

    • Tenure: 5.6yrs
    • Compensation: US$12.83m
  • Josh Schulman (48yo)

    CEO & Brand President of Coach

    • Tenure: 2.2yrs
    • Compensation: US$4.40m
  • Todd Kahn (55yo)

    President

    • Tenure: 3.3yrs
    • Compensation: US$3.21m
  • Jo Baldwin

    Global Head of Creative Studio& VP

    • Tenure: 3.8yrs
  • Caroline Pasquier

    Senior Vice President of Global Public Relations and Communications

    • Tenure: 3.4yrs
  • Michael Braine

    Chief Information Officer

    • Tenure: 0.0yrs

Board Members

  • Susan Kropf (70yo)

    Independent Non Executive Director

    • Tenure: 13.2yrs
    • Compensation: US$270.00k
  • Bill Nuti (55yo)

    Director Emeritus

    • Tenure: 0.8yrs
    • Compensation: US$240.00k
  • Ivan Menezes (60yo)

    Independent Non Executive Director

    • Tenure: 14.5yrs
    • Compensation: US$240.00k
  • Jide Zeitlin (55yo)

    Independent Chairman of the Board

    • Tenure: 4.8yrs
    • Compensation: US$410.00k
  • Andrea Guerra (54yo)

    Independent Director

    • Tenure: 4.5yrs
    • Compensation: US$240.00k
  • Darrell Cavens (46yo)

    Outside Director

    • Tenure: 1.1yrs
  • Victor Luis (53yo)

    CEO & Director

    • Tenure: 5.6yrs
    • Compensation: US$12.83m
  • Anne Gates (59yo)

    Outside Director

    • Tenure: 1.7yrs
    • Compensation: US$178.91k
  • Dave Denton (54yo)

    Independent Director

    • Tenure: 5.3yrs
    • Compensation: US$270.00k
  • Annabelle Long (46yo)

    Independent Director

    • Tenure: 3.6yrs
    • Compensation: US$240.00k

Company Information

Tapestry, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Tapestry, Inc.
  • Ticker: TPR
  • Exchange: NYSE
  • Founded: 1941
  • Industry: Apparel, Accessories and Luxury Goods
  • Sector: Consumer Durables
  • Market Cap: US$6.015b
  • Shares outstanding: 286.85m
  • Website: https://www.tapestry.com

Number of Employees


Location

  • Tapestry, Inc.
  • 10 Hudson Yards
  • New York
  • New York
  • 10001
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TPRNYSE (New York Stock Exchange)YesCommon StockUSUSDOct 2000
COYDB (Deutsche Boerse AG)YesCommon StockDEEUROct 2000
0LD5LSE (London Stock Exchange)YesCommon StockGBUSDOct 2000
6388SEHK (The Stock Exchange of Hong Kong Ltd.)HDR USD0.01HKHKDDec 2017
TPRY34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH 1 REP 1 COM USD0.01BRBRLMay 2019

Biography

Tapestry, Inc. provides luxury accessories and branded lifestyle products in the United States, Japan, China, Hong Kong, Macau, Europe, Canada, Taiwan, South Korea, Malaysia, Australia, New Zealand, and Si ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/19 23:35
End of Day Share Price2019/08/19 00:00
Earnings2019/06/29
Annual Earnings2019/06/29


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.