Professional
Added to YB: 2024-03-05
Pitch date: 2024-03-04
TPR [bullish]
Tapestry, Inc.
+174.08%
current return
Author Info
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Company Info
Tapestry, Inc. provides accessories and lifestyle brand products in North America, Greater China, rest of Asia, and internationally.
Market Cap
$21.6B
Pitch Price
$44.95
Price Target
60.00 (-51%)
Dividend
1.51%
EV/EBITDA
11.32
P/E
84.50
EV/Sales
3.48
Sector
Textiles, Apparel and Luxury Goods
Category
growth
The New Tapestry Will Continue to Be Led by Coach, but Capri Will Bolster Position in Global Luxury
TPR: Coach drives 74.5% FY23 rev, 70%+ gross margins. Aims China luxury growth to 38-40% by 2030. $8.5B Capri deal doubles sales to $12.4B, 15% op margin in FY25. Adds Kors, Versace, Choo brands. 10%+ historical ROIC, 18% next decade. $60 PT on store closures & cuts. Risks: high debt, margin dilution, Kors overexposure.
Read full article (14 min)