5 Best Fashion Stocks To Buy Now

4. Tapestry, Inc. (NYSE:TPR)

Number of Hedge Fund Shareholders: 40

Hedge fund ownership of Tapestry, Inc. (NYSE:TPR) crested to an all-time high in the first quarter of 2021 but has fallen by 26% since then. Many of the stock’s biggest shareholders remain bullish on the company however, including Arrowstreet Capital, which increased the size of its TPR position by 587% during Q3 to 3.67 million shares.

High-end retailer Tapestry, Inc. (NYSE:TPR), which owns the popular brands Kate Spade, Coach, and Stuart Weitzman, grew sales by 2% in the first quarter of its fiscal 2023, hitting $1.5 billion. Tapestry’s net income fell by over $30 million year-over-year to $195 million due to rising costs, but its $0.79 in earnings per share were down by just $0.01 from a year earlier thanks to the company buying back over 13% of its outstanding shares over the prior year.

Despite the relatively solid quarter given the economic backdrop, Tapestry, Inc. (NYSE:TPR) cut its full fiscal year guidance by about $350 million on the top line, and by approximately $0.20 on the bottom line. The company is hopeful that outperformance will Asia and Europe will help offset some of the expected weakness in North America and China, which are its two largest market.