Why Coach and Kate Spade Are Having Such a Bad Year
Tapestry (NYSE: TPR) -- the umbrella company of Coach, Kate Spade, and Stuart Weitzman -- is down 38% as of this writing in 2019 and down 59% over the last year. Ouch!
The last round of pain came as the company put the final touches on its 2019 fiscal year, a period in which sales notched modest gains but the bottom line surged 60% higher over the year prior. The apparel business can be a fickle one, and investors are feeling particularly so with this house of fashion. It could be time to buy.
Coach and friends had a decent enough year. The conglomerate of high-end accessories grew sales by 3% (or 4% when excluding negative foreign currency exchange rates). Despite a difficult retail environment -- one especially challenged by lower foot traffic at brick-and-mortar Kate Spade stores -- earnings grew by double digits.
Source Fool.com
