At Tapestry, Denise Kulikowsky Chooses To Exercise Options, Resulting In $102K

A large exercise of company stock options by Denise Kulikowsky, Chief People Officer at Tapestry (NYSE:TPR) was disclosed in a new SEC filing on December 1, as part of an insider exercise.

What Happened: A Form 4 filing with the U.S. Securities and Exchange Commission on Monday revealed that Kulikowsky, Chief People Officer at Tapestry in the Consumer Discretionary sector, exercised stock options for 1,186 shares of TPR stock. The exercise price of the options was $26.59 per share.

During Tuesday's morning session, Tapestry shares up by 0.79%, currently priced at $112.99. Considering the current price, Kulikowsky's 1,186 shares have a total value of $102,470.

Discovering Tapestry: A Closer Look

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.

Breaking Down Tapestry's Financial Performance

Revenue Growth: Tapestry displayed positive results in 3 months. As of 30 September, 2025, the company achieved a solid revenue growth rate of approximately 13.07%. This indicates a notable increase in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Consumer Discretionary sector.

Analyzing Profitability Metrics:

• Gross Margin: The company maintains a high gross margin of 76.29%, indicating strong cost management and profitability compared to its peers.

• Earnings per Share (EPS): Tapestry's EPS is a standout, portraying a positive bottom-line trend that exceeds the industry average with a current EPS of 1.32.

Debt Management: Tapestry's debt-to-equity ratio surpasses industry norms, standing at 10.51. This suggests the company carries a substantial amount of debt, posing potential financial challenges.

Valuation Metrics:

• Price to Earnings (P/E) Ratio: With a higher-than-average P/E ratio of 85.57, Tapestry's stock is perceived as being overvalued in the market.

• Price to Sales (P/S) Ratio: With a higher-than-average P/S ratio of 3.38, Tapestry's stock is perceived as being overvalued in the market, particularly in relation to sales performance.

• EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): Tapestry's EV/EBITDA ratio, surpassing industry averages at 44.13, positions it with an above-average valuation in the market.

Market Capitalization: Exceeding industry standards, the company's market capitalization places it above industry average in size relative to peers. This emphasizes its significant scale and robust market position.

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Why Insider Activity Matters in Finance

Insider transactions should be considered alongside other factors when making investment decisions, as they can offer important insights.

Within the legal framework, an "insider" is defined as any officer, director, or beneficial owner holding more than ten percent of a company's equity securities as per 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.

The initiation of a new purchase by a company insider serves as a strong indication that they expect the stock to rise.

However, insider sells may not always signal a bearish view and can be influenced by various factors.

Exploring Key Transaction Codes

When dissecting transactions, the focal point for investors is often those occurring in the open market, meticulously 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 indicates 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.

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