Tiffany's same-store sales beat estimates

Lester Mason
May 24, 2018

It looks like people like Tiffany & Co's (tif) new $1,000 tin cans after all. The firm is also developing EG-1964 for the management of chronic subdural hematoma as a prophylactic treatment to prevent recurrent bleeding on the surface of the brain. Shares have gained 10% in the last 12 months, while the S&P 500 has gained 14%.

Tiffany's Trump Tower problems are apparently ancient history. The company has market cap of $14.85 billion. Morgan Stanley boosted their price objective on Tiffany & Co. from $83.00 to $94.00 and gave the stock an "equal weight" rating in a research note on Monday, March 19th.

Shares of Tiffany & Co. opened at $102.24 on Wednesday, MarketBeat reports. Finally, Guggenheim started coverage on Tiffany & a research report on Friday, September 30th. They set a "hold" rating and a $103.00 price objective on the stock. The company presently has a consensus rating of "Buy" and a consensus price target of $108.06.

Tiffany's financial results, published earlier Wednesday, show that total sales growth hit 15% in Q1 2018 from a year earlier. (NYSE:TIF) in an exchange that happened on April 3rd, 2018. About 5.02 million shares traded or 208.35% up from the average.

Tiffany & Co. had a net margin of 8.87% and a return on equity of 16.32%. The company posted $1.14 in earnings per share (EPS) on $1.03 billion in revenue, compared with consensus estimates from Thomson Reuters that called for $0.83 in EPS on revenue of $958.17 million. The firm earned "Market Outperform" rating on Monday, October 26 by JMP Securities.

Tiffany & Co boosted its fiscal year earnings guidance to $4.50-$4.70 from $4.25-$4.45. During the same period in the previous year, the business posted $0.70 earnings per share. This represents a $1.80 dividend on an annualized basis and a yield of 2.34%. Cibc World Markets Inc sold 21,958 shares as Tiffany & Co New (TIF)'s stock declined 6.13%. The shares were sold at an average price of $104.11, for a total transaction of $4,144,514.99. Insiders own 1.30% of the company's stock.

A number of other equities analysts have also weighed in on TIF.

"Foreign tourism will be a positive theme throughout the first quarter" for U.S. retailers, said Instinet analyst Simeon Siegel, who noted that Tiffany said tourism was flat in the fourth quarter. D L Carlson Investment Group Inc. purchased a new stake in Tiffany & Co. during the 4th quarter worth about $3,191,000. Pacer Advisors Inc. now owns 2,051 shares of the company's stock valued at $124,000 after buying an additional 184 shares in the last quarter. Westpac Banking Corp increased its holdings in Tiffany & 31.1% in the fourth quarter. Finally, Winslow Evans & Crocker Inc. increased its stake in shares of Tiffany & 397.9% in the second quarter. Institutional investors own 87.60% of the company's stock. Typically companies that endure an extended period of reduction in earnings are undergoing some sort of reinvestment phase Though if the whole industry is struggling to grow over time, it may be a signal of a structural shift, which makes Tiffany and its peers a higher risk investment.

Tiffany & Co, through its subsidiaries, designs, manufactures, and retails jewelry and other items in the Americas, the Asia-Pacific, Japan, Europe, and internationally. The company's primary operating mines include Fresnillo, Saucito, Ciénega, Herradura, Soledad-Dipolos, Noche Buena, and San Julián; development projects comprise San Julián, Pyrites Plant, and second line of DLP at Herradura; and advanced exploration projects consist of Orisyvo, Juanicipio, Las Casas Rosario and Cluster Cebollitas, and Centauro Deep, as well as various other long term exploration prospects.

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