Tapestry Stock Hits Record Highs as Coach Sales Surge

Core Insights - Tapestry Inc's stock increased by 3.7% to $134.68, reaching a record high of $142.22 after reporting better-than-expected fiscal second-quarter results [1] - Coach's quarterly revenue rose by 25%, driven by the popularity of Tabby handbags among Gen-Z customers, prompting Tapestry to raise its full-year forecast [1] Stock Performance - Year-over-year, Tapestry's stock is up 84%, with a 36% increase in the last three months [2] - Prior to the recent surge, the stock found support at the $125 level and the 50-day moving average [2] Options Activity - There is significant bullish activity in Tapestry's options, with call options being traded at seven times the average intraday pace [3] - The most popular options include the June 60 call and the February 130 call [3] - Tapestry has historically exceeded options traders' volatility expectations, reflected in a Schaeffer's Volatility Scorecard (SVS) of 94 out of 100 [3] Short Interest - Short interest in Tapestry has been increasing, now representing 6.5% of its available float, equating to nearly five days of potential buying power [4] - The recent stock bounce may be partially attributed to short covering, as many short positions are now underwater [4]