Tapestry stock price forecast: Jefferies sees a 40% upside

Tapestry Inc (NYSE: TPR) is up 5.0% on Wednesday after a Jefferies analyst said the stock was a “major opportunity” for investors interested in playing the retail space.

Tapestry Inc could be a $45 stock

Ashley Helgans upgraded TPR to “buy” this morning with a price target of $45 a share that represents a 40% upside from here. Previously, she had a PT of $30 on the stock. The analyst wrote:

Last month, Tapestry Inc reported its results for the fiscal third quarter that topped Wall Street expectations. Shares of the NYSE-listed retailer, at present, are down nearly 20% versus the start of 2022.  

Tapestry can hold its own in a recession

The Jefferies analyst also expects the luxury fashion holding company to benefit (both in near and the long term) as China comes out of the lockdown. She’s convinced Tapestry can weather a recession as well.

The bullish note comes in the face of an unexpected 0.3% decline in retail sales the U.S. Commerce Department reported for May on Wednesday.