Neo Ivy Capital Management Takes Position in Tapestry, Inc. (NYSE:TPR)

Key Points

• Neo Ivy Capital Management has acquired a new position in Tapestry, Inc., buying approximately $1.48 million worth of shares during the first quarter.
• Insider transactions include CEO Todd Kahn selling 40,000 shares and VP Manesh Dadlani selling 1,399 shares, indicating a potential adjustment in management's stake in the company.
• Tapestry reported earnings of $1.03 per share for the last quarter, surpassing analysts' expectations, with revenues increasing by 6.9% year-over-year.

Neo Ivy Capital Management bought a new stake in shares of Tapestry, Inc. (NYSE:TPR - Free Report) in the first quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The firm bought 20,958 shares of the luxury accessories retailer's stock, valued at approximately $1,476,000.

A number of other institutional investors and hedge funds have also made changes to their positions in TPR. Greenline Partners LLC bought a new position in shares of Tapestry during the fourth quarter valued at approximately $29,000. Coppell Advisory Solutions LLC grew its holdings in shares of Tapestry by 40.7% during the fourth quarter. Coppell Advisory Solutions LLC now owns 519 shares of the luxury accessories retailer's stock valued at $34,000 after buying an additional 150 shares during the last quarter. Opal Wealth Advisors LLC purchased a new stake in shares of Tapestry during the first quarter valued at approximately $35,000. MorganRosel Wealth Management LLC purchased a new stake in shares of Tapestry during the first quarter valued at approximately $35,000. Finally, Canada Post Corp Registered Pension Plan purchased a new stake in shares of Tapestry during the fourth quarter valued at approximately $48,000. Institutional investors own 90.77% of the company's stock.

Tapestry Price Performance

NYSE TPR traded down $3.01 on Tuesday, reaching $107.41. The company had a trading volume of 2,072,547 shares, compared to its average volume of 4,922,191. The company has a quick ratio of 1.22, a current ratio of 1.76 and a debt-to-equity ratio of 1.59. The stock has a market capitalization of $22.31 billion, a PE ratio of 28.31, a price-to-earnings-growth ratio of 2.23 and a beta of 1.47. The firm's 50 day moving average price is $88.77 and its 200 day moving average price is $79.25. Tapestry, Inc. has a 12 month low of $35.23 and a 12 month high of $110.44.

Tapestry (NYSE:TPR - Get Free Report) last announced its quarterly earnings results on Thursday, May 8th. The luxury accessories retailer reported $1.03 EPS for the quarter, beating analysts' consensus estimates of $0.89 by $0.14. Tapestry had a net margin of 12.50% and a return on equity of 51.84%. The firm had revenue of $1.58 billion during the quarter, compared to the consensus estimate of $1.53 billion. During the same quarter last year, the firm earned $0.81 EPS. The firm's revenue for the quarter was up 6.9% compared to the same quarter last year. As a group, equities analysts predict that Tapestry, Inc. will post 4.91 earnings per share for the current year.

Tapestry Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Monday, June 23rd. Investors of record on Friday, June 6th were issued a $0.35 dividend. This represents a $1.40 dividend on an annualized basis and a dividend yield of 1.30%. The ex-dividend date of this dividend was Friday, June 6th. Tapestry's payout ratio is 36.84%.

Analysts Set New Price Targets

A number of research firms have recently commented on TPR. Cowen upgraded shares of Tapestry from a "hold" rating to a "buy" rating in a report on Thursday, June 12th. Morgan Stanley upgraded shares of Tapestry from an "equal weight" rating to an "overweight" rating and set a $90.00 price target on the stock in a report on Thursday, May 8th. UBS Group increased their price target on shares of Tapestry from $68.00 to $73.00 and gave the company a "neutral" rating in a report on Friday, May 9th. Citigroup increased their price target on Tapestry from $81.00 to $94.00 and gave the company a "buy" rating in a report on Friday, May 9th. Finally, Telsey Advisory Group reissued an "outperform" rating and set a $92.00 price target on shares of Tapestry in a report on Friday, May 9th. Four investment analysts have rated the stock with a hold rating and seventeen have assigned a buy rating to the company. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $96.17.

Insider Transactions at Tapestry

In related news, VP Manesh Dadlani sold 1,399 shares of the stock in a transaction dated Monday, May 12th. The shares were sold at an average price of $81.88, for a total value of $114,550.12. Following the completion of the transaction, the vice president owned 40,922 shares of the company's stock, valued at approximately $3,350,693.36. This trade represents a 3.31% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO Todd Kahn sold 40,000 shares of the company's stock in a transaction dated Monday, May 12th. The shares were sold at an average price of $81.40, for a total transaction of $3,256,000.00. Following the transaction, the chief executive officer owned 116,062 shares in the company, valued at $9,447,446.80. The trade was a 25.63% decrease in their ownership of the stock. The disclosure for this sale can be found here. 1.18% of the stock is currently owned by company insiders.

Tapestry Company Profile

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.