Core Insights - Tapestry, Inc.'s Coach brand has shown strong momentum entering fiscal 2026, with a 21% year-over-year revenue increase in the first quarter, driven by double-digit growth across all key regions [1][9] Revenue Growth - North America revenue increased by 26%, China by 21%, and Europe by 39% year-over-year, indicating Coach's broad appeal and expanding international presence [2][9] - The addition of 1.7 million customers globally highlights Coach's success in attracting younger shoppers and building long-term brand equity [2] Product Performance - Handbag average unit retail rose in the mid-teens, with total handbag units sold increasing despite reduced promotional activity [3] - Accessories, including charms and straps, contributed to Coach's ability to personalize offerings, while footwear saw double-digit gains, particularly from the High Line and Soho families [3] Marketing and Brand Strategy - Coach's Spring 2026 runway presentation received positive responses, and marketing investment increased by 43% year-over-year, representing about 11% of sales [4] - The launch of Coach Coffee Shops aimed at younger audiences and the "One Coach" strategy enhanced accessibility and price realization [5] Future Projections - For the second quarter of fiscal 2026, Coach is projected to achieve low-double-digit revenue growth, maintaining momentum from the first quarter [6] - Overall, Coach is expected to sustain low-double-digit revenue growth for fiscal 2026 while maintaining its operating margin despite challenges [6] Long-term Ambitions - Coach is central to Tapestry's growth strategy, aiming to become a $10 billion global brand through disciplined execution and emotional connections with consumers [7] Stock Performance - Tapestry's shares have surged 62.4% year-to-date, contrasting with an 18.3% decline in the industry [8] Valuation Metrics - Tapestry trades at a forward price-to-earnings ratio of 18.35X, slightly above the industry average of 16.31X, with a Value Score of B [10] Earnings Estimates - The Zacks Consensus Estimate for Tapestry's fiscal 2026 earnings implies a year-over-year growth of 9.2%, with upward revisions in earnings estimates for fiscal 2026 and 2027 [11][12]