Tapestry executives shed shares to cover tax bills

Three Tapestry top executives and Coach CEO Todd Kahn sold shares on August 19 in non-discretionary sell-to-cover deals to pay taxes on vesting equity. Form 4 filings tracked on foolcom show the sales came about a week after Tapestry stock fell roughly 16% post-earnings—not as voluntary bets against the stock.

Key Takeaways

• CEO Joanne Crevoiserat, CLO David Howard, controller Manesh Dadlani, and Coach CEO Todd Kahn reported August 19 dispositions tied to tax withholding on vesting awards.
• Crevoiserat sold 72,573 shares (about 10% of her direct stake) and still holds 627,849 shares worth roughly $82.7 million.
• All cited Form 4s describe mechanical sell-to-cover activity, not discretionary open-market selling.
• The filings followed a sharp slide after fiscal 2026 results that beat guidance but set softer fiscal 2027 growth expectations.

What exactly did Tapestry insiders sell?

According to SEC Form 4 filings summarized by BigGo Finance, Crevoiserat disposed of 72,573 shares at a weighted average price of $132.40. Howard sold 4,884 shares and Dadlani sold 882 shares, both at a weighted average of $131.72. Remaining direct stakes were valued at about $3.77 million for Howard and $2.4 million for Dadlani using the August 19 close of $131.72.

Separately, The Motley Fool reported that Coach CEO and brand president Todd Kahn disposed of 1,955 shares at $131.72, a transaction valued at about $257,513. He retained 94,230 directly held shares, worth roughly $12.4 million, or about 0.05% of the company.

Why does the timing matter after the earnings drop?

Tapestry (TPR) stock tumbled about 16% after its fiscal 2026 earnings report, even though results beat the company’s own guidance. That backdrop made a cluster of insider dispositions look eye-catching to traders scanning Form 4s. For readers following executive net worth and wealth moves, the key distinction is motive: these were tax-related withholdings and sell-to-cover steps triggered by vesting schedules set earlier.

Fiscal 2026 revenue rose 14% to $8 billion and non-GAAP EPS jumped 38% to $7.05, with three-year targets hit two years early. Markets focused instead on fiscal 2027 guidance for mid-single-digit revenue growth and low-double-digit EPS growth, plus an expected modest Kate Spade operating loss during its turnaround.

Do these Form 4 filings signal bearish conviction?

No. The filings describe non-discretionary arrangements to satisfy tax obligations on restricted stock units and, in Crevoiserat’s case, costs tied to option exercises. None of the reported sales were framed as voluntary open-market exits that would typically telegraph a change in executive outlook.

As of the August 19 close, Tapestry’s market capitalization was about $26.6 billion on trailing-twelve-month revenue of $8.0 billion and net income of $1.5 billion. CFO Scott Roe said tariffs may offer a modest first-half fiscal 2027 benefit before becoming a second-half headwind—another planning issue separate from routine vesting taxes.

Investors tracking luxury wealth and insider optics should weigh guidance, Coach’s growth path, and Kate Spade’s turnaround more heavily than automatic tax sales. Kahn told analysts Coach has “a clear path” to becoming a $10 billion brand after $6.9 billion in the fiscal year just ended, with fourth-quarter Coach revenue up 14% on a constant-currency basis.