• 2023-11-11 13:12:14
TPR


With a hawk-eye on the balance sheet of Tapestry, Inc., the most striking entity is the hefty $7,142,500,000 in Assets. A treasure cove, indeed! But keep in mind, dear value investors, it's not what you own, it's what you owe that matters. The company's Liabilities tally up to a significant $4,726,800,000, making the Equity value a not-so-glamorous-but-still-impressive $2,415,700,000.

If you're a Supply Chain Evangelist, keep your excitement in check. With an Inventory value of $942,500,000, you might want to dive deeper into their inventory turnover rate. But with Tapestry’s Selling, General, and Administrative Expenses skyrocketing to $844,500,000, you can put to rest any worries of stale goods crowding their storage rooms.

Do visible figures give you an adrenaline rush? Hold onto your seats, because Tapestry’s Intangible Assets are at a reassuring $1,358,500,000. Dig deeper and you find within this gold-laden balance sheet, their Noncurrent Assets make a monstrous $4,733,500,000.

Now, onto liabilities. An essential part of stock analysis the average investor might overlook. Sure, Tapestry has high Equity but what about its debt? Peering into the balance sheet, $1,629,900,000 is that rather intrepid Long-term Debt. While this might seem unnerving, flip through the income statement and you get a sigh of relief. The Net Cash Flow stands at -$104,000,000, a lion might not turn a gazelle, but it's a promising start.

Does this mean that Tapestry is a great stock for a value investor? A whisper amidst the cacophony of numbers: their Diluted Earnings Per Share (EPS) is at an engaging $0.84. Strong indicators for those looking to secure a potential cash-generating aristocrat. The stock commands a second look and deserves a vigilant track to better understand potential value traps.

As the financial market landscape constantly shifts, the smart value investor goes beyond the balance sheet, into the heart of the business. To paraphrase the ever-insightful Warren Buffet, "risk comes from not knowing what you're doing". So, let's keep digging and understanding, navigating the promising journey of value investing with wisdom and courage.