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Keeley Funds Comments on Tapestry Inc.

- By Holly LaFon

Tapestry Inc. (TPR - $32.49 - NYSE) (NYSE:TPR) is a fashion holding company that is the parent company of handbag brands Coach and Kate Spade, as well as shoe rm Stuart Weitzman. In the rst quarter, Tapestry reported below-consensus earnings. Some product from Kate Spade's previous design team was not well received by customers during the December quarter. Looking ahead, new Kate Spade designs from a new head designer have arrived in stores and should be fully rolled out by June. We expect these to drive a pick-up in sales beginning in the June quarter. In addition, the rolling-o of some higher computer systems investments and the continued capturing of synergies from the Kate Spade acquisition should serve as further tailwinds to earnings growth acceleration.

From Keeley Funds' first-quarter 2019 Keeley Mid-Cap Dividend Value Fund commentary.

This article first appeared on GuruFocus.