Magnetar Financial LLC Invests $1.96 Million in Tapestry, Inc. $TPR

Key Points

• Magnetar Financial LLC has acquired a new position in Tapestry, Inc., investing approximately $1.96 million for 27,852 shares during the first quarter.
• Following recent earnings, Tapestry's stock has received upgrades from analysts, with a consensus price target of $105.47 and a moderate buy rating.
• The company announced an increase in its quarterly dividend from $0.35 to $0.40, reflecting a positive outlook despite a high payout ratio of 253.97%.

Magnetar Financial LLC acquired a new stake in shares of Tapestry, Inc. (NYSE:TPR - Free Report) during the 1st quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm acquired 27,852 shares of the luxury accessories retailer's stock, valued at approximately $1,961,000.

Other large investors have also added to or reduced their stakes in the company. Harbour Investments Inc. raised its stake in shares of Tapestry by 120.1% during the 1st quarter. Harbour Investments Inc. now owns 361 shares of the luxury accessories retailer's stock worth $25,000 after acquiring an additional 197 shares in the last quarter. Greenline Partners LLC purchased a new stake in shares of Tapestry during the 4th quarter valued at $29,000. Caitong International Asset Management Co. Ltd purchased a new position in Tapestry during the 1st quarter worth $29,000. Opal Wealth Advisors LLC acquired a new position in Tapestry during the 1st quarter valued at about $35,000. Finally, MorganRosel Wealth Management LLC purchased a new stake in Tapestry in the first quarter valued at about $35,000. 90.77% of the stock is currently owned by institutional investors.

Tapestry Price Performance

Shares of NYSE:TPR traded up $1.23 during trading on Thursday, reaching $105.66. 1,966,356 shares of the company's stock traded hands, compared to its average volume of 4,918,200. The company has a quick ratio of 1.31, a current ratio of 1.87 and a debt-to-equity ratio of 2.77. Tapestry, Inc. has a fifty-two week low of $40.08 and a fifty-two week high of $114.05. The company has a 50-day simple moving average of $101.42 and a 200-day simple moving average of $84.62. The firm has a market cap of $21.99 billion, a PE ratio of 167.60, a P/E/G ratio of 2.57 and a beta of 1.52.

Tapestry (NYSE:TPR - Get Free Report) last issued its quarterly earnings data on Thursday, August 14th. The luxury accessories retailer reported $1.04 EPS for the quarter, beating the consensus estimate of $1.02 by $0.02. The company had revenue of $1.72 billion for the quarter, compared to analyst estimates of $1.67 billion. Tapestry had a return on equity of 68.02% and a net margin of 2.61%.Tapestry's quarterly revenue was up 8.3% compared to the same quarter last year. During the same period last year, the company earned $0.92 earnings per share. Tapestry has set its FY 2026 guidance at 5.300-5.450 EPS. As a group, analysts predict that Tapestry, Inc. will post 4.91 earnings per share for the current year.

Tapestry Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Monday, September 22nd. Stockholders of record on Friday, September 5th will be given a $0.40 dividend. This represents a $1.60 annualized dividend and a dividend yield of 1.5%. This is a positive change from Tapestry's previous quarterly dividend of $0.35. The ex-dividend date is Friday, September 5th. Tapestry's dividend payout ratio (DPR) is 222.22%.

Wall Street Analysts Forecast Growth

A number of brokerages have recently weighed in on TPR. Bank of America lowered Tapestry from a "buy" rating to a "neutral" rating and boosted their price target for the stock from $95.00 to $115.00 in a research note on Tuesday, July 29th. Wall Street Zen upgraded shares of Tapestry from a "buy" rating to a "strong-buy" rating in a report on Friday, August 22nd. Sanford C. Bernstein restated an "outperform" rating and set a $112.00 price objective on shares of Tapestry in a research note on Friday, August 15th. Morgan Stanley upped their price objective on shares of Tapestry from $90.00 to $115.00 and gave the company an "overweight" rating in a report on Friday, August 1st. Finally, Raymond James Financial restated an "outperform" rating and set a $115.00 target price (up from $85.00) on shares of Tapestry in a research report on Tuesday, July 22nd. Seventeen investment analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average price target of $105.47.

Insider Activity at Tapestry

In related news, VP Manesh Dadlani sold 7,882 shares of the company's stock in a transaction dated Monday, August 25th. The shares were sold at an average price of $99.05, for a total transaction of $780,712.10. Following the completion of the transaction, the vice president owned 21,098 shares in the company, valued at $2,089,756.90. This represents a 27.20% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. 1.18% of the stock is owned by corporate insiders.

About Tapestry

Tapestry, Inc provides luxury accessories and branded lifestyle products in the United States, Japan, Greater China, and internationally. The company operates in three segments: Coach, Kate Spade, and Stuart Weitzman. It offers women's handbags; and women's accessories, such as small leather goods which includes mini and micro handbags, money pieces, wristlets, pouches, and cosmetic cases, as well as novelty accessories including address books, time management and travel accessories, sketchbooks, and portfolios; and belts, key rings, and charms.