Tapestry, Inc. (NYSE:TPR) Sees Significant Decline in Short Interest

Tapestry, Inc. (NYSE:TPR) was the target of a large decline in short interest in the month of August. As of August 31st, there was short interest totalling 3,590,000 shares, a decline of 19.3% from the August 15th total of 4,450,000 shares. Currently, 1.6% of the shares of the company are sold short. Based on an average trading volume of 2,700,000 shares, the short-interest ratio is presently 1.3 days.

Tapestry Stock Performance

NYSE:TPR opened at $42.76 on Friday. The company has a debt-to-equity ratio of 2.39, a quick ratio of 4.66 and a current ratio of 5.14. The stock has a market capitalization of $9.84 billion, a PE ratio of 11.31, a P/E/G ratio of 1.55 and a beta of 1.54. Tapestry has a fifty-two week low of $25.99 and a fifty-two week high of $48.80. The company has a fifty day moving average of $40.52 and a two-hundred day moving average of $42.15.

Tapestry (NYSE:TPR) last issued its quarterly earnings results on Thursday, August 15th. The luxury accessories retailer reported $0.92 earnings per share for the quarter, beating analysts’ consensus estimates of $0.88 by $0.04. Tapestry had a net margin of 12.23% and a return on equity of 37.22%. The firm had revenue of $1.59 billion for the quarter, compared to analyst estimates of $1.58 billion. During the same period last year, the company posted $0.95 EPS. Tapestry’s quarterly revenue was down 1.8% compared to the same quarter last year. As a group, research analysts forecast that Tapestry will post 4.47 earnings per share for the current fiscal year.

Tapestry Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Monday, September 23rd. Investors of record on Friday, September 6th will be given a dividend of $0.35 per share. This represents a $1.40 annualized dividend and a dividend yield of 3.27%. The ex-dividend date of this dividend is Friday, September 6th. Tapestry’s payout ratio is 37.04%.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in the company. Balyasny Asset Management L.P. purchased a new stake in shares of Tapestry during the fourth quarter worth $102,531,000. Capital Research Global Investors grew its stake in Tapestry by 77.2% during the 4th quarter. Capital Research Global Investors now owns 5,748,737 shares of the luxury accessories retailer’s stock valued at $211,611,000 after acquiring an additional 2,504,135 shares in the last quarter. Norges Bank acquired a new stake in Tapestry in the 4th quarter valued at about $79,352,000. Pacer Advisors Inc. lifted its stake in Tapestry by 53.1% in the 2nd quarter. Pacer Advisors Inc. now owns 6,020,625 shares of the luxury accessories retailer’s stock worth $257,623,000 after purchasing an additional 2,087,586 shares in the last quarter. Finally, Clearbridge Investments LLC acquired a new position in shares of Tapestry during the 1st quarter worth approximately $54,055,000. 90.77% of the stock is owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

Several research analysts recently issued reports on the stock. Citigroup reduced their target price on shares of Tapestry from $50.00 to $49.00 and set a “buy” rating for the company in a report on Tuesday, August 6th. JPMorgan Chase & Co. reduced their price objective on Tapestry from $54.00 to $51.00 and set an “overweight” rating for the company in a research note on Friday, August 16th. UBS Group decreased their price objective on Tapestry from $42.00 to $40.00 and set a “neutral” rating for the company in a report on Friday, August 16th. Evercore ISI dropped their target price on Tapestry from $53.00 to $47.00 and set an “outperform” rating on the stock in a report on Friday, August 9th. Finally, Wells Fargo & Company reduced their price target on Tapestry from $52.00 to $50.00 and set an “overweight” rating for the company in a research report on Friday, August 16th. Four equities research analysts have rated the stock with a hold rating and ten have given a buy rating to the company’s stock. Based on data from MarketBeat.com, the company has an average rating of “Moderate Buy” and an average target price of $47.07.

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.