Tapestry dividend
MyStockButler's October 2026 analysis: Tapestry's approved annual dividend is $1.85 per share for FY2027. In FY2026, Tapestry paid shareholders $1,880.7 million against $1,812.5 million of free cash flow, so payouts slightly exceeded cash generated.
How much does Tapestry pay per share?
Dividends rise in the base case from $1.85 per share to $2.67, then $2.94. The first figure is the approved FY2027 annual rate. The second applies management’s approximately 30% payout policy to $8.90 of FY2028 consensus EPS; the third assumes further earnings growth. The bear case holds the dividend at $1.85 before a small recovery to $1.95. The bull case reaches $2.75 and then $3.30 because stronger Coach demand and a Kate Spade improvement create more room for distribution.
| October 2027 | October 2028 | October 2029 | |
|---|---|---|---|
| Earnings | 1,646 (1,494 / 1,752) | 1,813 (1,504 / 2,013) | 1,954 (1,574 / 2,287) |
| Shares (millions) | 190 (194 / 188) | 189 (193 / 187) | 187 (194 / 182) |
| Dividends per share | 1.85 (1.85 / 1.85) | 2.67 (1.85 / 2.75) | 2.94 (1.95 / 3.30) |
| Price to earnings | 14.30 (11.00 / 17.00) | 14.50 (10.00 / 19.00) | 15.00 (10.50 / 21.00) |
How much would Tapestry's dividend pay you?
$10,000 invested in Tapestry at its 1.6% dividend yield (our report of October 22, 2026) pays $160.00 in the first year, before tax. If its dividend per share keeps changing 12.1% a year, as it did from Jul 2022 to Jun 2026, and the dividends are reinvested, year 10 pays $567.49, with $3,210.41 received in all.
Before tax. Past dividend growth is not a promise. Information only, not investment advice.
Does Tapestry's dividend fit its cash flow?
Fiscal 2026 showed a healthier relationship between operations and distributions, though payouts still slightly exceeded free cash flow. Tapestry generated $1,812.5 million of free cash flow and paid shareholders $1,880.7 million. Using June 27, 2026 balances, net debt was $1,227.0 million, below $1,275.0 million in fiscal 2025 but above $740.7 million in fiscal 2022.
| Jun 2026 | Jun 2025 | Jun 2024 | Jul 2023 | Jul 2022 | |
|---|---|---|---|---|---|
| Free cash flow | 1,812.5 | 1,093.9 | 1,146.7 | 791.0 | 759.3 |
| − Dividends paid | 326.1 | 299.3 | 321.4 | 283.3 | 264.4 |
| − Share buybacks | 1,554.6 | 2,018.7 | 0 | 703.5 | 1,600.0 |
| = Free cash flow not paid out | 825.3 | ||||
| = Paid out more than the free cash flow | 68.2 | 1,224.1 | 195.8 | 1,105.1 | |
| Paid out, % of free cash flow | 103.8% | 211.9% | 28.0% | 124.8% | 245.5% |
What could change Tapestry's dividend?
Tapestry also chose to return cash. The board authorized $3.00 billion of repurchases on September 10, 2025. For fiscal 2027, Tapestry targeted $1.35 billion of buybacks and raised its anticipated annual dividend to $1.85 per share. These returns reward shareholders, but they depend on continuing cash generation. Coach’s performance supports them; it does not prove that buybacks were cheap or that the same strategy will revive Kate Spade.
What is Tapestry's dividend yield against its share price?
Revenue grew 14.2% in FY2026, while operating margin recovered to 23.9%. Diluted EPS rebounded from $0.82 in FY2025 to $7.27 in FY2026. The key number is the company’s real free cash flow: 21.3% of FY2026 revenue and $8.13 per share. At $113.92, free cash flow yield is 8.0%, and real free cash flow yield is 7.6%.
| Today (Oct 22, 2026) | |
|---|---|
| Share price | 113.92 |
| Free cash flow yield (calculated) | 8.0% |
| Real free cash flow yield (calculated) | 7.6% |
| Dividend yield (calculated) | 1.6% |
What this means. The next 12 months price-to-earnings number uses analysts' estimates, so it can be wrong if the company's future profit differs from their forecasts.