Morgan Stanley Increases Tapestry (NYSE:TPR) Price Target to $115.00

Key Points

• Morgan Stanley has increased Tapestry's price target significantly from $90.00 to $115.00, maintaining an "overweight" rating on the stock.
• The stock is currently trading at approximately $108.12, indicating a potential upside of 6.37% based on the new price target.
• Overall, Tapestry has received a consensus rating of "Moderate Buy" from analysts, with 17 out of 21 analysts rating the stock as a buy.

Tapestry (NYSE:TPR - Get Free Report) had its target price raised by equities research analysts at Morgan Stanley from $90.00 to $115.00 in a research note issued to investors on Friday,Benzinga reports. The firm currently has an "overweight" rating on the luxury accessories retailer's stock. Morgan Stanley's price target points to a potential upside of 6.37% from the stock's current price.

A number of other equities research analysts also recently weighed in on TPR. UBS Group upped their target price on Tapestry from $68.00 to $73.00 and gave the stock a "neutral" rating in a research report on Friday, May 9th. Citigroup raised their target price on Tapestry from $81.00 to $94.00 and gave the company a "buy" rating in a research note on Friday, May 9th. Wells Fargo & Company restated an "overweight" rating and set a $100.00 price target (up previously from $90.00) on shares of Tapestry in a report on Wednesday, May 14th. Argus lifted their price objective on shares of Tapestry from $78.00 to $92.00 and gave the stock a "buy" rating in a research report on Tuesday, June 17th. Finally, Wall Street Zen lowered Tapestry from a "strong-buy" rating to a "buy" rating in a report on Friday, July 18th. Four equities research analysts have rated the stock with a hold rating and seventeen have given a buy rating to the stock. According to MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and an average target price of $97.56.

Tapestry Stock Performance

Shares of NYSE TPR opened at $108.12 on Friday. The stock has a market capitalization of $22.45 billion, a P/E ratio of 28.45, a P/E/G ratio of 2.18 and a beta of 1.47. The firm's 50-day moving average price is $90.42 and its two-hundred day moving average price is $79.92. Tapestry has a 52-week low of $35.23 and a 52-week high of $110.44. The company has a quick ratio of 1.22, a current ratio of 1.76 and a debt-to-equity ratio of 1.59.

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

Insiders Place Their Bets

In other news, CEO Todd Kahn sold 40,000 shares of the stock in a transaction on Monday, May 12th. The stock was sold at an average price of $81.40, for a total transaction of $3,256,000.00. Following the sale, the chief executive officer directly owned 116,062 shares of the company's stock, valued at approximately $9,447,446.80. This represents a 25.63% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, VP Manesh Dadlani sold 1,399 shares of the stock in a transaction dated Monday, May 12th. The stock was sold at an average price of $81.88, for a total transaction of $114,550.12. Following the sale, the vice president owned 40,922 shares in the company, valued at $3,350,693.36. The trade was a 3.31% 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.

Hedge Funds Weigh In On Tapestry

A number of institutional investors have recently modified their holdings of TPR. Harbour Investments Inc. grew its position in 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 during the last quarter. Flaharty Asset Management LLC acquired a new position in shares of Tapestry in the first quarter valued at approximately $25,000. First PREMIER Bank bought a new position in Tapestry in the 2nd quarter valued at approximately $25,000. Greenline Partners LLC acquired a new stake in Tapestry during the 4th quarter worth approximately $29,000. Finally, Caitong International Asset Management Co. Ltd bought a new stake in Tapestry during the 1st quarter worth approximately $29,000. Institutional investors and hedge funds own 90.77% of the company's stock.

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.

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