📊 TPR Key Takeaways
Is Tapestry, Inc.. (TPR) a Good Investment?
Tapestry demonstrates exceptional operational fundamentals with 75.8% gross margins, 24.8% operating margins, and robust free cash flow generation of $1.1B, indicating a high-quality luxury goods business with strong pricing power. While leveraged at 4.32x debt-to-equity, the 17.1x interest coverage and strong operating cash flows of $1.2B provide comfortable debt service capacity, making the capital structure manageable despite balance sheet concentration.
Why Buy Tapestry, Inc.. Stock? TPR Key Strengths
- Exceptional profitability across all metrics (Gross Margin 75.8%, Operating Margin 24.8%, Net Margin 19.9%)
- Strong cash generation with $1.1B free cash flow and 26.6% FCF margin, enabling shareholder returns and debt reduction
- Excellent interest coverage ratio of 17.1x demonstrates fortress-like debt servicing capability
- Asset-light business model with only $76M capex against $4.2B revenue, indicating efficient capital deployment
TPR Stock Risks: Tapestry, Inc.. Investment Risks
- Elevated leverage with 4.32x debt-to-equity ratio and $2.4B long-term debt relative to $551.2M equity base creates refinancing risk
- Extreme revenue growth of 8309% YoY suggests material M&A activity or accounting changes that require further scrutiny
- Luxury goods sector exposure creates cyclical demand risk during economic downturns and consumer spending contractions
Key Metrics to Watch
- Operating cash flow sustainability and trend relative to net income
- Debt reduction progress and leverage ratio trajectory toward 3.0x or lower
- Gross margin maintenance in face of potential input cost inflation or competitive pressure
Tapestry, Inc.. (TPR) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The 26.6% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments.
TPR Profit Margin, ROE & Profitability Analysis
TPR vs Market Sector: How Tapestry, Inc.. Compares
How Tapestry, Inc.. compares to Market sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Tapestry, Inc.. Stock Overvalued? TPR Valuation Analysis 2026
Based on fundamental analysis, Tapestry, Inc.. has mixed fundamental signals relative to the Market sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Tapestry, Inc.. Balance Sheet: TPR Debt, Cash & Liquidity
TPR Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Tapestry, Inc..'s revenue has grown significantly by 16% over the 5-year period, indicating strong business expansion. The most recent EPS of $3.88 reflects profitable operations.
TPR Revenue Growth, EPS Growth & YoY Performance
TPR Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q2 2026 | $2.2B | $186.6M | $1.38 |
| Q1 2026 | $1.5B | $186.6M | $0.79 |
| Q3 2025 | $1.5B | $139.4M | $0.60 |
| Q2 2025 | $2.1B | $186.6M | $1.38 |
| Q1 2025 | $1.5B | $186.6M | $0.79 |
| Q3 2024 | $1.5B | $139.4M | $0.60 |
| Q2 2024 | $2.0B | $195.0M | $1.36 |
| Q1 2024 | $1.5B | $195.0M | $0.79 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Tapestry, Inc.. Dividends, Buybacks & Capital Allocation
TPR SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Tapestry, Inc.. (CIK: 0001116132)
📋 Recent SEC Filings
❓ Frequently Asked Questions about TPR
What is the AI rating for TPR?
Tapestry, Inc.. (TPR) has an AI rating of STRONG BUY with 85% confidence, based on fundamental analysis of SEC EDGAR filings.
What are TPR's key strengths?
Claude: Exceptional profitability across all metrics (Gross Margin 75.8%, Operating Margin 24.8%, Net Margin 19.9%). Strong cash generation with $1.1B free cash flow and 26.6% FCF margin, enabling shareholder returns and debt reduction.
What are the risks of investing in TPR?
Claude: Elevated leverage with 4.32x debt-to-equity ratio and $2.4B long-term debt relative to $551.2M equity base creates refinancing risk. Extreme revenue growth of 8309% YoY suggests material M&A activity or accounting changes that require further scrutiny.
What is TPR's revenue and growth?
Tapestry, Inc.. reported revenue of $4.2B.
Does TPR pay dividends?
Tapestry, Inc.. pays dividends, with $164.6M distributed to shareholders in the trailing twelve months.
Where can I find TPR SEC filings?
Official SEC filings for Tapestry, Inc.. (CIK: 0001116132) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is TPR's EPS?
Tapestry, Inc.. has a diluted EPS of $3.93.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is TPR a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Tapestry, Inc.. has a STRONG BUY rating with 85% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.
Is TPR stock overvalued or undervalued?
Valuation metrics for TPR: ROE of 151.7% (sector avg: 15%), net margin of 19.9% (sector avg: 12%). Higher ROE suggests strong returns relative to peers.
Should I buy TPR stock in 2026?
Our dual AI analysis gives Tapestry, Inc.. a combined STRONG BUY rating for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.
What is TPR's free cash flow?
Tapestry, Inc..'s operating cash flow is $1.2B, with capital expenditures of $76.0M. FCF margin is 26.6%.
How does TPR compare to other Market stocks?
Vs Default sector averages: Net margin 19.9% (avg: 12%), ROE 151.7% (avg: 15%), current ratio 1.63 (avg: 1.8).
Is Tapestry, Inc.. carrying too much debt?
TPR has a debt-to-equity ratio of 4.32x, which is above the Market sector average of 0.7x. However, the current ratio of 1.63 suggests adequate short-term liquidity.
Why is TPR's return on equity (ROE) so high?
Tapestry, Inc.. has a return on equity of 151.7%, significantly above the Market sector average of 15%. A high ROE indicates the company is efficient at generating profits from shareholder equity. This is supported by a 19.9% net margin.