In a bold move amidst the ever-fluctuating market trends, Amalgamated Bank has decided to cut its stake in shares of Tapestry, Inc. by a staggering 36.7%. This decision comes as the financial institution recently filed its report with the Securities & Exchange Commission, declaring that it had sold 46,013 shares of the luxury accessories retailer’s stock during the first quarter of this year. As a result, Amalgamated Bank’s holdings in Tapestry now amount to 79,473 shares valued at $3,426,000.
Tapestry, Inc., known for providing luxurious accessories and branded lifestyle products, operates in various regions including the United States, Japan, Greater China, and internationally. With three distinct segments – Coach, Kate Spade, and Stuart Weitzman – the company offers an array of women’s accessories such as handbags ranging from wallets to cosmetic cases. Additionally, they provide novelty accessories like address books and travel essentials along with key rings and charms.
As per the most recent data available on July 28th, 2023 – obtained from its latest filing with the Securities & Exchange Commission – Tapestry Inc.’s stock opened at $41.97 on Friday. The business had a 50-day moving average of $42.66 and a two-hundred day moving average of $42.43. Notably, Tapestry boasts a debt-to-equity ratio of 0.73 and possesses a current ratio of 1.94 along with a quick ratio of 1.12.
Shares in Tapestry have experienced significant volatility over the last twelve months; reaching lows of $27.53 while reaching highs of $47.48 during this period. Consequently, it currently holds a market capitalization standing at an impressive $9.73 billion alongside an appealing price-to-earnings (P/E) ratio of 11.40.
Furthermore, Tapestry Inc. maintains a favorable price-to-earnings-growth (PEG) ratio of 0.81 – signifying that it is relatively undervalued compared to its projected future earnings growth potential. These attractive financial metrics are further complemented by the company’s beta value of 1.46, indicating a moderate level of market risk associated with its stock.
Amalgamated Bank’s decision to reduce its stake in Tapestry raises questions regarding investors’ sentiment towards the luxury accessories retailer. However, it is essential to note that these market dynamics can be influenced by numerous factors such as economic conditions, consumer preferences, and competitive landscape changes within the industry.
In conclusion, Amalgamated Bank’s recent decrease in shares of Tapestry Inc., as reported through its SEC filing, reflects the bank’s altering investment strategy in response to prevailing market conditions. Meanwhile, Tapestry Inc., with its diverse range of luxury accessory offerings and strong financial standing, continues to position itself as a formidable player within the industry. As we venture deeper into 2023, only time will tell how these intricate market intricacies unfold and shape the future for both Amalgamated Bank and Tapestry Inc.
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Tapestry, Inc.: Positive Outlook and Growing Investor Interest
Tapestry, Inc., a luxury accessories and branded lifestyle products provider, has recently seen an increase in stake among institutional investors and hedge funds. This development indicates a growing interest in the company’s stock and suggests a positive outlook for its future performance.
MetLife Investment Management LLC, one of the institutional investors, raised its stake in Tapestry by 20.1% during the 1st quarter of this year. This translates to MetLife now owning 73,011 shares of the luxury accessories retailer’s stock, amounting to approximately $2,712,000. Similarly, Commonwealth of Pennsylvania Public School Empls Retrmt SYS raised its stake by 2.3%, resulting in ownership of 35,323 shares worth about $1,312,000. Great West Life Assurance Co. Can also increased its stake by 1.9%, acquiring an additional 56,357 shares valued at $2,176,000.
Furthermore, Sei Investments Co. boosted its stake in Tapestry by an impressive 34.5% during the same period. The company now owns 435,569 shares worth around $16,189,000 after purchasing an additional 111,610 shares. Lastly, Canada Pension Plan Investment Board experienced a significant surge in stake with an increase of 955.8%. The board currently holds 1,098 shares priced at $41 per share.
It is important to note that hedge funds and other institutional investors now own approximately 92.63% of Tapestry’s total stock value.
Several research firms have also weighed in on Tapestry’s stock performance and provided their analyses and predictions regarding its future growth prospects. Sanford C. Bernstein upgraded the company from a “market perform” rating to an “outperform” rating and adjusted their price objective for the company from $50 to $55 per share.
Moreover Barclays increased their target price for Tapestry from $45 to $47 per share, while StockNews.com initiated coverage on the stock, giving it a “buy” rating. On the other hand, OTR Global downgraded Tapestry to a “positive” rating.
However, despite these varying opinions, overall market sentiment seems positive towards Tapestry. Data from Bloomberg shows that the company currently has an average rating of “Moderate Buy” with a consensus price target of $49.14 per share.
Tapestry operates under three main segments: Coach, Kate Spade, and Stuart Weitzman. The company primarily offers women’s accessories such as handbags, wallets, and wristlets. It also provides novelty accessories including address books and travel accessories, among others.
In its most recent quarterly earnings report released on May 11th, Tapestry reported an EPS (earnings per share) of $0.78 for the quarter. This figure surpassed the consensus estimate of $0.59 by $0.19. The luxury accessories retailer achieved revenue of $1.51 billion in the quarter compared to analysts’ estimates of $1.44 billion.
Tapestry had a net margin of 13.51% along with an impressive return on equity of 39.88%. These financial indicators demonstrate the company’s ability to generate profits and effectively manage its investments.
Additionally, Tapestry recently declared a quarterly dividend payment that was distributed on June 26th to shareholders who were recorded on June 9th. This dividend amounted to $0.30 per share or $1.20 annually, resulting in a dividend yield of 2.86%. Considering the ex-dividend date was June 8th, interested investors can evaluate this aspect when making investment decisions regarding Tapestry.
With a combination of increasing stake from institutional investors and hedge funds, positive ratings from research firms, solid financial performance, and dividend payouts for shareholders; Tapestry appears poised for success in both the near and long term. Market participants should closely monitor Tapestry’s stock as it continues to navigate the luxury accessories industry on a global scale.
