On November 24, it was revealed in an SEC filing that Scott Roe, CFO and COO at Tapestry (NYSE:TPR) executed a significant exercise of company stock options.

What Happened: A Form 4 filing from the U.S. Securities and Exchange Commission on Monday showed that Roe, CFO and COO at Tapestry, a company in the Consumer Discretionary sector, just exercised stock options worth 62,781 shares of TPR stock with an exercise price of $34.5.

The Tuesday morning update indicates Tapestry shares down by 1.65%, currently priced at $103.95. At this value, Roe's 62,781 shares are worth $4,360,108.

All You Need to Know About Tapestry

Based in New York City, Tapestry is the parent company of accessories and fashion brand Coach, which accounted for 80% of its revenue and well over 90% of its operating profit in fiscal 2025. Handbags accounted for 58% of the brand's fiscal 2025 revenue. Coach products are sold through more than 900 company-owned stores, e-commerce, and third-party stores in North America, Asia, and Europe. Tapestry also owns Kate Spade (17% of fiscal 2025 revenue), which operates about 170 stores and generated 52% of its sales from handbags in fiscal 2025. Kate Spade is known for its colorful patterns and graphics. Tapestry sold its smallest brand, luxury footwear maker Stuart Weitzman, to Caleres in August 2025.

Unraveling the Financial Story of Tapestry

Revenue Growth: Tapestry's remarkable performance in 3 months is evident. As of 30 September, 2025, the company achieved an impressive revenue growth rate of 13.07%. This signifies a substantial increase in the company's top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the Consumer Discretionary sector.

Key Profitability Indicators:

• Gross Margin: The company excels with a remarkable gross margin of 76.29%, indicating superior cost efficiency and profitability compared to its industry peers.

• Earnings per Share (EPS): The company excels with an EPS that surpasses the industry average. With a current EPS of 1.32, Tapestry showcases strong earnings per share.

Debt Management: Tapestry's debt-to-equity ratio stands notably higher than the industry average, reaching 10.51. This indicates a heavier reliance on borrowed funds, raising concerns about financial leverage.

Understanding Financial Valuation:

• Price to Earnings (P/E) Ratio: A higher-than-average P/E ratio of 80.68 suggests caution, as the stock may be overvalued in the eyes of investors.

• Price to Sales (P/S) Ratio: The current P/S ratio of 3.19 is above industry norms, reflecting an elevated valuation for Tapestry's stock and potential overvaluation based on sales performance.

• EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): A high EV/EBITDA ratio of 41.94 positions the company as being more valued compared to industry benchmarks.

Market Capitalization Analysis: Above industry benchmarks, the company's market capitalization emphasizes a noteworthy size, indicative of a strong market presence.

Now trade stocks online commission free with Charles Schwab, a trusted and complete investment firm.

Why Insider Transactions Are Important

While insider transactions should not be the sole basis for making investment decisions, they can play a significant role in an investor's decision-making process.

Considering the legal perspective, an "insider" is defined as any officer, director, or beneficial owner holding more than ten percent of a company's equity securities, according to Section 12 of the Securities Exchange Act of 1934. This includes executives in the c-suite and major hedge funds. These insiders are mandated to disclose their transactions through a Form 4 filing, to be submitted within two business days of the transaction.

Pointing towards optimism, a company insider's new purchase signals their positive anticipation for the stock to rise.

Nevertheless, insider sells may not necessarily indicate a bearish view and can be influenced by various factors.

A Closer Look at Important Transaction Codes

When analyzing transactions, investors tend to focus on those in the open market, detailed in Table I of the Form 4 filing. A P in Box 3 denotes a purchase,while S signifies a sale. Transaction code C signals the conversion of an option, and transaction code A denotes a grant, award, or other acquisition of securities from the company.

Check Out The Full List Of Tapestry's Insider Trades.

Insider Buying Alert: Profit from C-Suite Moves

Benzinga Edge reveals every insider trade in real-time. Don't miss the next big stock move driven by insider confidence. Unlock this ultimate sentiment indicator now. Click here for access.

This article was generated by Benzinga's automated content engine and reviewed by an editor.