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On Wednesday, JPMorgan increased the price target for Tapestry Inc. (NYSE: NYSE:TPR) shares to $104, up from the previous $88, while maintaining an Overweight rating on the stock. The stock, currently trading at $84.42, appears overvalued according to InvestingPro’s Fair Value model. The company’s market capitalization stands at $17.48 billion, with the stock showing remarkable momentum, gaining over 10% in the past week alone. The firm’s analyst, Matthew Boss, highlighted the company’s significant growth, particularly noting the Coach brand’s exceptional performance following four years of strategic investments.
Boss emphasized that the Tapestry portfolio is witnessing a "step-function" change, driven by strong top- and bottom-line drivers. This change is expected to support a high-teens percentage total shareholder return (TSR) annually, according to JPMorgan’s analysis. The company’s impressive gross profit margin of 74.77% and overall GOOD Financial Health Score from InvestingPro support this outlook. InvestingPro subscribers have access to 15+ additional insights about Tapestry’s financial health and growth prospects. The analyst pointed out the stark contrast from a year ago when the tone from Tapestry’s leadership suggested that the company was just beginning its growth trajectory. Since then, the Coach brand has shown substantial acceleration, with a 10% growth in the second quarter of 2025 and a 6% growth in the first half of the year, compared to a 1.2% growth from fiscal years 2017 to 2019.
The positive outlook from JPMorgan reflects a recognition of Tapestry’s successful turnaround efforts and its ability to capitalize on the investments made in its brands. The CEO of Tapestry, Joanne Crevoiserat, conveyed a message of accelerating growth during a recent event, indicating the company’s confidence in its growth strategy and the strength of its brand portfolio.
Tapestry’s focus on data and a consumer-centric approach has been a key component of its strategy, laying a solid foundation for the company’s recent success. The improvement in performance is particularly noteworthy given the context of the past few years, where the company was focused on stabilizing the Coach brand.
Investors and market watchers will likely continue to monitor Tapestry’s progress as it aims to deliver on its growth promises and maintain the momentum established in recent quarters. The new price target set by JPMorgan suggests a bullish outlook for the stock, reflecting the potential for continued positive developments from the company. With a six-month return of 120% and analyst targets ranging from $59.84 to $104, investors seeking deeper insights can access Tapestry’s comprehensive Pro Research Report, available exclusively on InvestingPro.
In other recent news, Tapestry Inc. has been the subject of various analyst updates. TD Cowen maintained a Hold rating on Tapestry, raising the price target from $52.00 to $90.00, following the company’s strong second-quarter results that surpassed market expectations, with earnings per share (EPS) of $2.00. Telsey Advisory Group also adjusted its outlook, increasing the price target to $92 from $83, while maintaining an Outperform rating. The group highlighted Tapestry’s successful second quarter, which saw significant growth across various regions, excluding Japan.
Citi analyst Paul Lejuez issued an updated price target for Tapestry, increasing it to $85.00 from $60.00, while reiterating a Buy rating. The adjustment comes with expectations for the company’s second-quarter sales and EPS to outperform the consensus. However, CFRA analyst Zachary Warring downgraded Tapestry stock rating from Hold to Sell, while simultaneously increasing the price target to $56 from $54. He suggested that the stock is now overvalued and anticipates a period of underperformance ahead.
These are recent developments and, as always, investors are encouraged to perform their own due diligence before making any investment decisions.
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