Credit Suisse Appears To Approve Tapestry's Growth Targets

Credit Suisse analysts reiterated an Outperform rating on the shares of Tapestry Inc TPR with a price target of $49.00.
The analysts said the company’s recently unveiled growth strategy presented a solid plan to drive low- to mid-teens% EPS growth and a high-teens total stock return profile over the next three years.
Tapestry’s goals represent a very embraceable balance of offense with clearly identified medium/long-term growth opportunities and defense with plans to consistently deploy strong cash flows to shareholders over the next three years.
The analysts think Tapestry struck the right tone with confident revenue targets, plenty of cost structure cushion to deliver upside to EBIT targets, and conservative assumptions on how much returning $3 billion to shareholders can add to total EPS.
The company’s margins are where the analysts see more cushion and also listed out several points of flex in the forensics of TPR’s margin build.
Price Action: TPR shares are trading higher by 1.82% at $36.17 on the last check Monday.

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