Tapestry: A Better Business In A Better Industry (Rating Upgrade)

Fernanda Galvez Jalil 1.18K Followers Follow Summary Tapestry is upgraded to Buy as Coach drives double-digit growth and the luxury sector stabilizes. TPR's valuation at 17x EV/EBITDA and 22x FY2026 EPS is justified by superior growth and margin expansion versus peers. Coach's outperformance, simplified business post-Stuart Weitzman sale, and aggressive buybacks underpin a strong EPS growth outlook. CHEBOTKEVICH/iStock via Getty Images Investment Thesis Note: This is an update to my previous article. Tapestry ( TPR ) heads into its upcoming earnings report with strong momentum after another quarter of double-digit growth led by Coach, while I believe that the luxury industry is finally This article was written by Fernanda Galvez Jalil 1.18K Followers Follow My name is María Fernanda and I'm currently studying an MBA. My inspiration investors are Warren Buffett, Peter Lynch and Terry Smith, so I look for quality companies at a reasonable valuation. I believe that, in the long term, fundamentals are what drive the share price, so I look to predict what a business's earnings per share will do. Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, but may initiate a beneficial Long position through a purchase of the stock, or the purchase of call options or similar derivatives in TPR over the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.