Oppenheimer analyst Brian Nagel re-launched coverage of Tapestry with an Outperform rating with a price target of $50 from $65 previously. In a research note to investors, Nagel says the market is under-appreciating internal initiatives beginning to take hold, including acquisition integration, new product introductions, and digital enhancements. Shares have traded lower lately as investors fret over a potential global slowdown and Chinese consumer spending concerns, which Nagel believes are overblown.

Capri Holdings (CPRI) shares could fall to the low-to-mid $20s if Tapestry's (TPR) $57 per share takeover is successfully blocked by the Federal Trade Commission, Yiqin Shen of Bloomberg reports, citing a survey of 20 merger-arbitrage specialists. The survey, conducted on Tuesday, focuses on merger-arbitrage estimates on the Capri's downside price - a level that reflects the stock's fundamental value by the end of 2024, when the outcome of the FTC's challenge is expected to be either upheld or overturned in court, Shen notes. Shares of Capri Holdings are down 5% to $34.81 in midday trading.