We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Tapestry Strengthens Global Presence With Strong International Growth
Read MoreHide Full Article
Key Takeaways
TPR posted 55% constant-currency revenue growth in Greater China in Q3'26.
Tapestry saw Europe revenues rise 21%, driven by direct business and Gen Z customer growth.
TPR raised the FY26 revenue outlook to $7.95B on strong international momentum.
Tapestry, Inc. (TPR - Free Report) continues to build strong momentum across international markets, with Greater China, Europe and the broader Asia-Pacific regions emerging as key contributors to the company’s accelerating global growth. The company’s consumer-led strategy, localized marketing initiatives and direct-to-consumer business model are helping its brands resonate strongly with younger consumers across major international markets.
Greater China remained the strongest international growth driver in the third quarter of fiscal 2026, with revenues increasing 55% in constant currency. Tapestry noted that strong customer acquisition, robust digital demand and successful Chinese New Year campaigns fueled the outperformance. The company’s targeted investments, culturally relevant activations and focus on Gen Z consumers continue to strengthen brand desirability in the region. Management also stated that it remains well-positioned to sustain strong momentum in this large and important market going forward.
Europe also delivered strong results, with revenues growing 21% in constant currency, supported by healthy local consumer demand and rising Gen Z customer acquisition. Management emphasized that growth was primarily driven by the direct business, helping the company achieve notable market share gains. Tapestry believes Europe remains significantly underpenetrated and sees meaningful long-term opportunities to further expand its presence and consumer reach across the region.
Across the broader Asia-Pacific market, revenues in Other Asia increased 16%, led by strong performances in South Korea and Australia. The company also continued investing in immersive retail concepts, localized experiences and digital engagement initiatives globally, helping deepen customer relationships and strengthen international brand relevance.
Looking ahead, Tapestry raised its fiscal 2026 outlook following its strong quarterly execution and improving international momentum. The company expects fiscal 2026 revenues of $7.95 billion, indicating 16% pro-forma constant-currency growth. Management expects international momentum to remain solid across major regions. Tapestry anticipates mid-teens growth in North America, nearly 20% growth in Europe and more than 30% growth in Greater China. Other Asia is expected to post low-double-digit growth.
TPR’s Price Performance, Valuation & Estimates
Shares of Tapestry have risen 30.7% in the past six months compared with the industry’s growth of 1%.
Image Source: Zacks Investment Research
From a valuation standpoint, TPR trades at a forward price-to-earnings ratio of 18.44X, up from the industry’s average of 14.33X.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for Tapestry’s fiscal 2027 earnings implies year-over-year growth of 36.3%, whereas the same for fiscal 2028 indicates an uptick of 7.4%. Earnings estimates for fiscal 2026 and 2027 have been increased by 48 cents and 38 cents, respectively, in the past seven days.
V.F. Corp designs, manufactures and markets branded apparel and related products in the United States and internationally. It flaunts a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for V.F. Corp’s current fiscal-year earnings and sales indicates growth of 10.8% and a decline of 3.2%, respectively, from the year-ago actuals. VFC delivered a trailing four-quarter average earnings surprise of 25.9%.
Victoria's Secret is a specialty retailer of women's intimates, sleepwear, apparel, sport and swimwear, and prestige fragrances and body care. It currently has a Zacks Rank of 2. The company delivered a trailing four-quarter earnings surprise of 55.1%, on average.
The Zacks Consensus Estimate for VSCO’s current fiscal-year sales and earnings indicates growth of 6.2% and 16.3%, respectively, from the year-ago reported numbers.
Levi Strauss designs and markets jeans, casual wear and related accessories for men, women and children. It currently carries a Zacks Rank #2.
The Zacks Consensus Estimate for Levi Strauss’ current fiscal-year earnings and sales suggests growth of 11.9% and 5.2%, respectively, from the year-ago actuals. LEVI delivered a trailing four-quarter average earnings surprise of 21.4%.
Zacks' 7 Best Strong Buy Stocks (New Research Report)
Valued at $99, click below to receive our just-released report
predicting the 7 stocks that will soar highest in the coming month.
View the Zacks #1 Rank List
Image: Bigstock
Tapestry Strengthens Global Presence With Strong International Growth
Key Takeaways
Tapestry, Inc. (TPR - Free Report) continues to build strong momentum across international markets, with Greater China, Europe and the broader Asia-Pacific regions emerging as key contributors to the company’s accelerating global growth. The company’s consumer-led strategy, localized marketing initiatives and direct-to-consumer business model are helping its brands resonate strongly with younger consumers across major international markets.
Greater China remained the strongest international growth driver in the third quarter of fiscal 2026, with revenues increasing 55% in constant currency. Tapestry noted that strong customer acquisition, robust digital demand and successful Chinese New Year campaigns fueled the outperformance. The company’s targeted investments, culturally relevant activations and focus on Gen Z consumers continue to strengthen brand desirability in the region. Management also stated that it remains well-positioned to sustain strong momentum in this large and important market going forward.
Europe also delivered strong results, with revenues growing 21% in constant currency, supported by healthy local consumer demand and rising Gen Z customer acquisition. Management emphasized that growth was primarily driven by the direct business, helping the company achieve notable market share gains. Tapestry believes Europe remains significantly underpenetrated and sees meaningful long-term opportunities to further expand its presence and consumer reach across the region.
Across the broader Asia-Pacific market, revenues in Other Asia increased 16%, led by strong performances in South Korea and Australia. The company also continued investing in immersive retail concepts, localized experiences and digital engagement initiatives globally, helping deepen customer relationships and strengthen international brand relevance.
Looking ahead, Tapestry raised its fiscal 2026 outlook following its strong quarterly execution and improving international momentum. The company expects fiscal 2026 revenues of $7.95 billion, indicating 16% pro-forma constant-currency growth. Management expects international momentum to remain solid across major regions. Tapestry anticipates mid-teens growth in North America, nearly 20% growth in Europe and more than 30% growth in Greater China. Other Asia is expected to post low-double-digit growth.
TPR’s Price Performance, Valuation & Estimates
Shares of Tapestry have risen 30.7% in the past six months compared with the industry’s growth of 1%.
Image Source: Zacks Investment Research
From a valuation standpoint, TPR trades at a forward price-to-earnings ratio of 18.44X, up from the industry’s average of 14.33X.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for Tapestry’s fiscal 2027 earnings implies year-over-year growth of 36.3%, whereas the same for fiscal 2028 indicates an uptick of 7.4%. Earnings estimates for fiscal 2026 and 2027 have been increased by 48 cents and 38 cents, respectively, in the past seven days.
Image Source: Zacks Investment Research
TPR currently carries a Zacks Rank #2 (Buy).
Other Key Picks
Some other top-ranked stocks are V.F. Corporation (VFC - Free Report) , Victoria's Secret & Co. (VSCO - Free Report) and Levi Strauss & Co. (LEVI - Free Report) .
V.F. Corp designs, manufactures and markets branded apparel and related products in the United States and internationally. It flaunts a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for V.F. Corp’s current fiscal-year earnings and sales indicates growth of 10.8% and a decline of 3.2%, respectively, from the year-ago actuals. VFC delivered a trailing four-quarter average earnings surprise of 25.9%.
Victoria's Secret is a specialty retailer of women's intimates, sleepwear, apparel, sport and swimwear, and prestige fragrances and body care. It currently has a Zacks Rank of 2. The company delivered a trailing four-quarter earnings surprise of 55.1%, on average.
The Zacks Consensus Estimate for VSCO’s current fiscal-year sales and earnings indicates growth of 6.2% and 16.3%, respectively, from the year-ago reported numbers.
Levi Strauss designs and markets jeans, casual wear and related accessories for men, women and children. It currently carries a Zacks Rank #2.
The Zacks Consensus Estimate for Levi Strauss’ current fiscal-year earnings and sales suggests growth of 11.9% and 5.2%, respectively, from the year-ago actuals. LEVI delivered a trailing four-quarter average earnings surprise of 21.4%.