Collins Stewart Starts Tiffany & Co. (TIF) at Neutral; Sustaining Sales Momentum Against Challenging Backdrop, Though Concerns Are Mounting
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Price: $131.46 --0%
Rating Summary:
4 Buy, 31 Hold, 1 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
Rating Summary:
4 Buy, 31 Hold, 1 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
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Collins Stewart initiates coverage on Tiffany & Co. (NYSE: TIF) with a Neutral. PT $72.00.
Collins analyst says, "Tiffany & Co. has benefited from the relative resilience of the high-end consumer in H1:11. Luxury spending held up relatively well in Q3, enabling the jewelry retailer to record double-digit yr./yr. net sales increases across all geographies. Management did note some areas of weakness in the quarter, highlighted by a sales decline in the United Kingdom. TIF’s Q4 guidance also implied a slowdown in the Americas and Europe, though we believe this still translates to relatively sound CC SSS growth in both regions. TIF’s current multiples of 15x our FY12 EPS estimate, 25x FY12E FCF, and 8x EV/EBITDA are reasonable, particularly within a longer-term framework, but we believe near-term macroeconomic risks necessitate a Neutral rating at this time."
For an analyst ratings summary and ratings history on Tiffany & Co. click here. For more ratings news on Tiffany & Co. click here.
Shares of Tiffany & Co. closed at $62.43 yesterday.
Collins analyst says, "Tiffany & Co. has benefited from the relative resilience of the high-end consumer in H1:11. Luxury spending held up relatively well in Q3, enabling the jewelry retailer to record double-digit yr./yr. net sales increases across all geographies. Management did note some areas of weakness in the quarter, highlighted by a sales decline in the United Kingdom. TIF’s Q4 guidance also implied a slowdown in the Americas and Europe, though we believe this still translates to relatively sound CC SSS growth in both regions. TIF’s current multiples of 15x our FY12 EPS estimate, 25x FY12E FCF, and 8x EV/EBITDA are reasonable, particularly within a longer-term framework, but we believe near-term macroeconomic risks necessitate a Neutral rating at this time."
For an analyst ratings summary and ratings history on Tiffany & Co. click here. For more ratings news on Tiffany & Co. click here.
Shares of Tiffany & Co. closed at $62.43 yesterday.
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