June 21, 2026 a 11:30 am
TPR: Dividend Analysis - Tapestry, Inc.
Tapestry, Inc., a prominent name in the luxury goods sector, offers a promising dividend profile with consistent payouts over the past decades. The company exhibits moderate dividend growth, reflecting steady financial health and strategic reinvestment. Evaluating the key metrics reveals a balanced approach to leveraging and investing, ensuring sustainable cash flow.
📊 Overview
| Metric | Value |
|---|---|
| Sector | Luxury Goods |
| Dividend yield | 1.14 % |
| Current dividend per share | 1.38 USD |
| Dividend history | 18 years |
| Last cut or suspension | None |
📈 Dividend History
Understanding the dividend history of a company is crucial, as it indicates the company's commitment to return capital to shareholders over long-term. A consistent dividend payment is often a signal of financial stability and management's confidence in future earnings.
| Year | Dividend per Share |
|---|---|
| 2026 | 0.8 |
| 2025 | 1.50 |
| 2024 | 1.40 |
| 2023 | 1.30 |
| 2022 | 1.10 |
📉 Dividend Growth
The company's dividend growth is an essential metric, showcasing its ability to increase payouts over time. This growth can attract income-focused investors looking for stable returns.
| Time | Growth |
|---|---|
| 3 years | 10.89 % |
| 5 years | 34.76 % |
The average dividend growth is 34.76 % over 5 years. This shows moderate but steady dividend growth.
✅ Payout Ratio
The payout ratio is indicative of how much profit a company pays out to shareholders in dividends. A balanced payout ratio ensures sustainability and potential for future growth.
| Key figure | Ratio |
|---|---|
| EPS-based | 42.18 % |
| Free cash flow-based | 15.89 % |
A payout ratio of 42.18 % based on EPS shows a moderate payout strategy, balancing shareholder returns with retained earnings.
💰 Cashflow & Capital Efficiency
Analyzing cash flow and capital efficiency is vital for understanding a company's operational success and its ability to generate and manage cash.
| Metric | 2023 | 2024 | 2025 |
|---|---|---|---|
| Free Cash Flow Yield | 7.82 % | 11.91 % | 5.79 % |
| Earnings Yield | 9.25 % | 8.48 % | 0.97 % |
| CAPEX to Operating Cash Flow | 18.88 % | 8.67 % | 10.08 % |
| Stock-based Compensation to Revenue | 1.18 % | 1.29 % | 1.24 % |
| Free Cash Flow / Operating Cash Flow Ratio | 81.11 % | 91.33 % | 89.91 % |
The data suggest a sound management of cash flow, with substantial earnings yield and efficient capital expenditure ratios.
📊 Balance Sheet & Leverage Analysis
Assessment of balance sheet strength and leverage is key for evaluating financial stability, especially in volatile markets.
| Metric | 2023 | 2024 | 2025 |
|---|---|---|---|
| Debt-to-Equity | 1.45 | 3.03 | 4.55 |
| Debt-to-Assets | 46.26 % | 65.42 % | 59.25 % |
| Debt-to-Capital | 59.10 % | 75.16 % | 81.97 % |
| Net Debt to EBITDA | 1.84 | 1.92 | 5.32 |
| Current Ratio | 1.84 | 5.14 | 1.87 |
| Quick Ratio | 1.12 | 4.66 | 1.31 |
| Financial Leverage | 3.12 | 4.62 | 7.67 |
The leverage indicates potential risk regarding debt, particularly with elevated debt-to-equity and debt-to-capital ratios.
📈 Fundamental Strength & Profitability
Reviewing fundamental strength and profitability is essential to gauge how well a company can sustain its growth and profitability metrics.
| Metric | 2023 | 2024 | 2025 |
|---|---|---|---|
| Return on Equity | 41.09 % | 28.17 % | 21.36 % |
| Return on Assets | 13.15 % | 6.09 % | 2.78 % |
| Margins: Net | 14.05 % | 12.23 % | 2.61 % |
| Margins: EBIT | 17.58 % | 17.04 % | 4.30 % |
| Margins: EBITDA | 20.94 % | 20.47 % | 7.51 % |
| Margins: Gross | 70.78 % | 73.29 % | 75.44 % |
| Research & Development to Revenue | 0 % | 0 % | 0 % |
The company demonstrates robust fundamental strength with high return on equity and substantial gross margins.
🔥 Price Development
⭐ Dividend Scoring System
| Category | Score | |
|---|---|---|
| Dividend yield | 3 | |
| Dividend Stability | 4 | |
| Dividend growth | 4 | |
| Payout ratio | 4 | |
| Financial stability | 3 | |
| Dividend continuity | 4 | |
| Cashflow Coverage | 4 | |
| Balance Sheet Quality | 3 |
Total Score: 29/40
🗣️ Rating
Tapestry, Inc. presents a compelling dividend profile with stable growth and a balanced payout strategy. The company's commitment to maintaining shareholder returns, coupled with strong cash flow management, indicates a sound investment for dividend-focused investors. However, attention should be paid to its leverage and financial stability for assessing long-term risk.
Smart Data Insight
Master the Perfect Entry & Exit for this Stock
Don't leave your profits to chance. Historically, this stock follows specific seasonal patterns that institutional traders use to maximize returns.
- ✅ Identify the "Golden Buying Window"
- ✅ Avoid high-risk correction cycles
- ✅ Backtested data from the last 20+ years