In a note devoted to US fashion players, Jefferies reiterates its 'buy' recommendation and $80 price target on Tapestry, judging in particular that 'concerns about pricing at Coach are overdone'.
'Share buybacks provide visibility for EPS growth in the low double-digit range or more, and Tapestry has a significant opportunity for multiple expansion to catch up with its peers', adds the broker.
However, Jefferies says it is 'keeping an eye on rising inventories (up 9% year-on-year in recent quarters) as a potential risk to gross margin if demand momentum slows'.
Copyright (c) 2025 CercleFinance.com. All rights reserved. The information and analyses published by Cercle Finance are intended solely as a decision-making aid for investors. Cercle Finance cannot be held responsible, directly or indirectly, for the use of information and analyses by readers. Uninformed investors are advised to consult a professional advisor before investing. This information does not constitute an invitation to sell or a solicitation to buy.
Tapestry, Inc. is a house of iconic accessories and lifestyle brands. The Company's global house of brands include Coach, kate spade new york and Stuart Weitzman. Coach brand is a global fashion house of accessories and lifestyle collections. Kate Spade New York is a global lifestyle brand that designs things for the everyday, delivering seasonal collections of handbags, ready-to-wear, jewelry, footwear, gifts, home decor and more. Its products include women's handbags, women's accessories, men's and other products. Women's accessories include small leather goods which includes mini and micro handbags, money pieces, wristlets, pouches and cosmetic cases. Men's includes bag collections, small leather goods, footwear, watches, sunglasses, and ready-to-wear items. Its products are sold to customers through its direct-to-consumer (DTC), wholesale and licensing businesses. Its DTC business includes retail and outlet stores, brand e-commerce sites as well as concession shop-in-shops.
TAPESTRY, INC. 
