As if leather goods retailer Tapestry (NYSE:TPR) didn't have enough to worry about with the coronavirus pandemic wrecking its business, its executive offices have also been involved in a whirlwind of turmoil for over a year.
The abrupt departure of Tapestry's newest CEO last month over what turned out to be an investigation into a decade-old misconduct allegation continued what has become a revolving door in the C-suite.
The owner of Coach, Kate Spade, and Stuart Weitzman brands saw sales more than halved during its fiscal fourth quarter earlier this month, but despite the company beating top- and bottom-line estimates, the market has not rewarded its stock.
Tapestry has been an ailing retail stock. Although its prior fiscal year ended on a positive note, with sales rising 4% on a currency-adjusted basis, it soon after cut its earnings forecast for the coming year and said the Kate Spade brand would continue experiencing difficulties. Long-time CEO Victor Luis suddenly resigned as a result, with board chairman Jide Zeitlin taking his place.
But allegations that resurfaced of Zeitlin luring a woman into a relationship using an alias years ago resulted in his resignation in July and cast a pall over the retailer.
Anyone who put $10,000 into Tapestry on Jan. 1 would have seen their investment begin to plummet even before the pandemic was declared and fall even further during the market rout.
Tapestry's stock has lost 46% of its value since the beginning of the year, meaning you would have lost over $4,600 in that timeframe, leaving you with just $5,391 for your trouble.