Form 4: Tapestry CEO Joanne Crevoiserat Reports Stock Transactions

Tapestry's CEO, Joanne Crevoiserat, reports the acquisition and disposal of company stock and stock options.

Summary

• Joanne Crevoiserat, CEO of Tapestry, Inc., filed a Form 4 detailing changes in beneficial ownership of the company's securities.
• On August 16, 2024, 3,551 shares of common stock were disposed of at a price of $40.4 per share to cover taxes related to vesting restricted stock units.
• On August 19, 2024, Crevoiserat acquired 49,285 shares of common stock in the form of unvested restricted stock units at a price of $40.58 per share.
• These restricted stock units will vest in four equal tranches annually, starting August 19, 2025, and ending August 19, 2028.
• Additionally, on August 19, 2024, Crevoiserat acquired 331,675 stock options with an exercise price of $40.58, which also vest in four equal installments annually from August 19, 2025, to August 19, 2028.
• Following these transactions, Crevoiserat beneficially owns 536,040 shares of common stock and 331,675 stock options.

Sentiment

Score: 7

Explanation: The sentiment is neutral to positive. The CEO is increasing her stake in the company through stock options and restricted stock units, which is generally a good sign. The disposal of shares was likely for tax purposes, which is a normal occurrence.

Positives

• The acquisition of restricted stock units and stock options indicates confidence in the company's future performance.

Future Outlook

The restricted stock units and stock options vest over a four-year period, suggesting a long-term commitment from the CEO.

Industry Context

Executive stock transactions are common and closely watched as indicators of management's confidence in the company's prospects. The vesting schedule aligns with typical long-term incentive plans.

Comparison to Industry Standards

• Executive compensation packages often include a mix of salary, stock options, and restricted stock units.
• Vesting schedules of four years are standard practice to incentivize long-term performance.
• Comparing Crevoiserat's holdings and transactions to those of CEOs at comparable companies like Capri Holdings (CPRI) or Ralph Lauren (RL) would provide further context.

Stakeholder Impact

• The transactions could have a minor positive impact on shareholder sentiment, reflecting confidence from the CEO.

Key Dates