Allspring Global Investments Holdings LLC reported an 85.5% reduction in its Tapestry stake during the third quarter, selling 79,375 shares and retaining just 13,475 shares as of its latest Form 13F filing. The remaining shares were valued at approximately $1.53 million at the time of reporting. This dramatic divestment contrasts sharply with increases from other major institutions, underscoring a divergence in investor sentiment toward Tapestry’s near-term outlook.

In its November earnings release, Tapestry delivered quarterly revenue of $1.70 billion, exceeding projections by $70 million and marking a 13.1% year-over-year sales increase. Adjusted EPS of $1.38 topped consensus by $0.13, while net margin reached 3.77% and return on equity soared to 116.42%. Management set FY 2026 EPS guidance between $5.45 and $5.60, suggesting confidence in sustained top-line momentum and margin expansion.

On the same day as its earnings announcement, Tapestry’s board authorized a $1 billion share repurchase plan, enabling the buyback of up to 4.9% of outstanding equity. In addition, the company declared a quarterly dividend of $0.40 per share, translating into an annualized payout of $1.60 and a dividend yield of 1.2%, with a payout ratio exceeding 140%. These distributions signal management’s belief that the stock remains undervalued and commitment to returning capital to shareholders.

During the past quarter, CEO Todd Kahn sold 29,000 shares and CFO Scott A. Roe sold 18,794 shares, collectively reducing insider ownership by over 36,000 shares at an average sale price above $100 per share. Despite these sales, 17 analysts maintain Buy ratings on Tapestry stock with an average price target near $126, and four hold ratings, resulting in a consensus Moderate Buy recommendation reflective of strong sector positioning and brand portfolio resilience.