Evercore ISI Group maintains Outperform, PT down to $125 for Tapestry.
ByAinvest
Friday, Aug 15, 2025 2:01 pm ET1min read
TPR--
The latest update comes amidst increased tariff pressure, which is expected to create a $0.60 headwind to earnings per share. Despite this challenge, Tapestry has provided fiscal 2026 guidance of $5.30-$5.45 EPS, which falls below consensus estimates. The company maintains impressive gross profit margins of 75% [2].
Evercore ISI believes that Coach, Tapestry’s flagship brand, continues to demonstrate strong sales momentum and expects it to deliver "several more quarters of outsized growth." The firm has raised its fiscal 2026 EPS estimate by 3% to $5.39, reflecting better SG&A leverage. For fiscal 2027, Evercore ISI lowered its EPS estimate by 2% to $5.62, citing increased gross margin pressure as tariffs flow through the business. The company’s guidance includes mid-single-digit revenue growth for the coming period [3].
The new $125 price target is based on a 20x price-to-earnings multiple on fiscal 2027 estimated earnings, according to Evercore ISI’s report. The stock is currently trading at $109.09, near its 52-week high of $113.08, having delivered an impressive 191.92% return over the past year [3].
Other recent developments include notable attention from several investment firms. UBS has raised its price target for Tapestry to $112, emphasizing the strong performance of the Coach brand during the fourth quarter and into the first quarter. UBS maintains a Neutral rating on the stock but anticipates solid guidance for the upcoming fiscal year. Meanwhile, Raymond James has also increased its price target to $115, citing Tapestry’s growth potential through various strategic initiatives such as innovation and marketing. The firm continues to rate the company as Outperform, indicating confidence in its long-term growth prospects. Additionally, Bernstein SocGen Group reiterated its Outperform rating with a $100 price target, pointing to the sustainable momentum of the Coach brand. Bernstein’s analysis is based on meetings with Tapestry’s leadership and surveys showing Coach’s appeal to younger consumers [3].
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.
References:
[1] https://www.investing.com/news/analyst-ratings/tapestry-stock-price-target-lowered-to-110-at-bofa-on-tariff-pressure-93CH-4193427
[2] https://www.investing.com/news/analyst-ratings/evercore-isi-raises-tapestry-stock-price-target-to-130-from-97-93CH-4182186
[3] https://www.ainvest.com/news/evercore-isi-group-maintains-outperform-raises-voya-financial-pt-86-2508/
Evercore ISI Group maintains Outperform, PT down to $125 for Tapestry.
Evercore ISI Group has maintained its "Outperform" rating for Tapestry Inc. (NYSE: TPR) while reducing its price target to $125, down from the previous $130. The adjustment reflects the company's recent performance and the firm's assessment of the market conditions.The latest update comes amidst increased tariff pressure, which is expected to create a $0.60 headwind to earnings per share. Despite this challenge, Tapestry has provided fiscal 2026 guidance of $5.30-$5.45 EPS, which falls below consensus estimates. The company maintains impressive gross profit margins of 75% [2].
Evercore ISI believes that Coach, Tapestry’s flagship brand, continues to demonstrate strong sales momentum and expects it to deliver "several more quarters of outsized growth." The firm has raised its fiscal 2026 EPS estimate by 3% to $5.39, reflecting better SG&A leverage. For fiscal 2027, Evercore ISI lowered its EPS estimate by 2% to $5.62, citing increased gross margin pressure as tariffs flow through the business. The company’s guidance includes mid-single-digit revenue growth for the coming period [3].
The new $125 price target is based on a 20x price-to-earnings multiple on fiscal 2027 estimated earnings, according to Evercore ISI’s report. The stock is currently trading at $109.09, near its 52-week high of $113.08, having delivered an impressive 191.92% return over the past year [3].
Other recent developments include notable attention from several investment firms. UBS has raised its price target for Tapestry to $112, emphasizing the strong performance of the Coach brand during the fourth quarter and into the first quarter. UBS maintains a Neutral rating on the stock but anticipates solid guidance for the upcoming fiscal year. Meanwhile, Raymond James has also increased its price target to $115, citing Tapestry’s growth potential through various strategic initiatives such as innovation and marketing. The firm continues to rate the company as Outperform, indicating confidence in its long-term growth prospects. Additionally, Bernstein SocGen Group reiterated its Outperform rating with a $100 price target, pointing to the sustainable momentum of the Coach brand. Bernstein’s analysis is based on meetings with Tapestry’s leadership and surveys showing Coach’s appeal to younger consumers [3].
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.
References:
[1] https://www.investing.com/news/analyst-ratings/tapestry-stock-price-target-lowered-to-110-at-bofa-on-tariff-pressure-93CH-4193427
[2] https://www.investing.com/news/analyst-ratings/evercore-isi-raises-tapestry-stock-price-target-to-130-from-97-93CH-4182186
[3] https://www.ainvest.com/news/evercore-isi-group-maintains-outperform-raises-voya-financial-pt-86-2508/
Stay ahead of the market.
Get curated U.S. market news, insights and key dates delivered to your inbox.
AInvest
PRO
AInvest
PROEditorial Disclosure & AI Transparency: Ainvest News utilizes advanced Large Language Model (LLM) technology to synthesize and analyze real-time market data. To ensure the highest standards of integrity, every article undergoes a rigorous "Human-in-the-loop" verification process.
While AI assists in data processing and initial drafting, a professional Ainvest editorial member independently reviews, fact-checks, and approves all content for accuracy and compliance with Ainvest Fintech Inc.’s editorial standards. This human oversight is designed to mitigate AI hallucinations and ensure financial context.
Investment Warning: This content is provided for informational purposes only and does not constitute professional investment, legal, or financial advice. Markets involve inherent risks. Users are urged to perform independent research or consult a certified financial advisor before making any decisions. Ainvest Fintech Inc. disclaims all liability for actions taken based on this information. Found an error?Report an Issue
Comments
No comments yet