Tapestry Inc.’s annual outlook for a key profit metric missed analysts’ forecasts due in part to tariffs, a sign that Wall Street is still adjusting to the full cost of duties for US companies.

The owner of Coach and Kate Spade said it’s expecting earnings per diluted share between $5.30 to $5.45 in the current fiscal year. That would be a 4% to 7% increase versus the prior year. Analysts in a Bloomberg survey were expecting the profit metric to reach $5.49.

The difference likely lies in tariffs. Tapestry’s EPS outlook includes a negative impact of 60 cents from higher duties, the company said in a statement Thursday. It’s not clear that Wall Street has fully accounted for those costs.

Shares of Tapestry fell 17% in premarket trading. The stock had gained about 74% this year throug

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