Tapestry, Inc. (NYSE:TPR) defied analyst predictions to release its quarterly results, which were ahead of market expectations. The company beat expectations with revenues of US$1.6b arriving 3.7% ahead of forecasts. Statutory earnings per share (EPS) were US$0.95, 7.4% ahead of estimates. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

We've discovered 3 warning signs about Tapestry. View them for free.NYSE:TPR Earnings and Revenue Growth May 11th 2025

Taking into account the latest results, the current consensus from Tapestry's 18 analysts is for revenues of US$7.11b in 2026. This would reflect a satisfactory 3.3% increase on its revenue over the past 12 months. Statutory earnings per share are predicted to soar 31% to US$5.41. Before this earnings report, the analysts had been forecasting revenues of US$7.07b and earnings per share (EPS) of US$5.44 in 2026. So it's pretty clear that, although the analysts have updated their estimates, there's been no major change in expectations for the business following the latest results.

View our latest analysis for Tapestry

The consensus price target rose 5.7% to US$88.61despite there being no meaningful change to earnings estimates. It could be that the analystsare reflecting the predictability of Tapestry's earnings by assigning a price premium. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. Currently, the most bullish analyst values Tapestry at US$110 per share, while the most bearish prices it at US$62.00. As you can see, analysts are not all in agreement on the stock's future, but the range of estimates is still reasonably narrow, which could suggest that the outcome is not totally unpredictable.

One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. It's pretty clear that there is an expectation that Tapestry's revenue growth will slow down substantially, with revenues to the end of 2026 expected to display 2.7% growth on an annualised basis. This is compared to a historical growth rate of 6.3% over the past five years. Compare this against other companies (with analyst forecasts) in the industry, which are in aggregate expected to see revenue growth of 5.4% annually. So it's pretty clear that, while revenue growth is expected to slow down, the wider industry is also expected to grow faster than Tapestry.

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The Bottom Line

The most important thing to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse than the wider industry. We note an upgrade to the price target, suggesting that the analysts believes the intrinsic value of the business is likely to improve over time.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have estimates - from multiple Tapestry analysts - going out to 2027, and you can see them free on our platform here.

Don't forget that there may still be risks. For instance, we've identified  3 warning signs for Tapestry that you should be aware of.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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