A glimpse of Tapestry, Inc.’s TPRshare price movement reveals that it has surged roughly 31.7% in the past six months comfortably outperforming the industry’s growth of 15.6% and S&P 500’s advance of approximately 4.2%. The company’s transformational initiatives revolving around products, stores and marketing reinforces its position in the retail landscape.
As one of the leading American marketers of fine accessories and gifts, Tapestry boasts a proven strategy of investing in stores to enhance sales output through product innovation, compelling pricing strategy, new merchandise assortments and a cost-effective global sourcing model. We believe that these strategies will help drive comparable-store sales and operating margins in the long term. The company’s growth drivers include expansion of global distribution model and venturing into under-penetrated markets. It also launched Coach Create, a platform to customize bags either online or in outlets.
This Zacks Rank #2 (Buy) company is undergoing a brand transformation and is introducing modern luxury concept stores in key markets. The acquisition of Stuart Weitzman and Kate Spade has been accretive to performance and is being viewed as a significant step toward becoming a multi-brand company. Additionally, the company is aggressively expanding e-commerce platform. It also plans to undertake strategic measures involving, upgrading of core technology platforms and enhancement of international supply chain.