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BLUE NILE (NASDAQ:NILE)

57.19 0.04 (0.07%)
BLUE NILE (NASDAQ:NILE) Delayed :
Previous Close $57.23    52 Week High $67.16 
Open $57.05    52 Week Low $18.34 
Day High $57.43    P/E 79.43 
Day Low $56.51    EPS $0.72 
Volume 149,547       
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SG
on Dec 26, 2008
at 09:09 PM
TIF The SpendingPulse research went on to say: "Luxury sales, which include sales at high-end department stores, leather goods boutiques, pricier jewelry stores and restaurants, fell 34.5 percent, SpendingPulse said. Excluding jewelry, sales fell 21.2 percent." http://money.cnn.com/2008/12/25/news/economy/dismal_holiday.reut/index.htm?postversion=2008122520 So... it appears that luxury jewelry sales may have fallen as much as 40% to 50% over the holidays. That being said, I spent alot of money at Tiffany's in December of 2007 (zero this year) and the sales rep I dealt with was kind enough to share her thoughts on this year and a 40% to 50% reduction in sales does appear to be very reasonable. It will be interesting to see how sales perform internationally for Tiffany's but given we are in a global recession and I strongly believe a fundamental change in spending has occured I do not see this company performing as well in 2009 or 2010. Brian Tunick, managing director of specialty retail for JP Morgan was asked which retail stocks he would short for 2009, Tunick noted Men's Warehouse, Tiffany and Abercrombie & Fitch. http://www.thestreet.com/story/10454968/3/fast-money-recap-looking-ahead-to-2009.html I think he is right on and would buy Tiffany at $15/share but wouldn't touch it with a 10 foot pole at $22/share. People are no longer using their homes as credit cards and nobody is safe at any income level from this recession as job layoffs are forecasted to continue at historically high levels in 2009. Most companies have already finished their 2009 business and staffing plans and the 2008 economic bad news will filter through into even more corporate layoffs in 2009. 2008 sales numbers will make 2009 look really good in comparison.
Article: Tiffany (TIF) Holds Up Well In Face of Horrible Luxury Sales Numbers

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