Tiffany & Co. (TIF) has beaten the Zacks Consensus Estimate for the last five quarters by an average of 22.7%.
Company Description
Tiffany & Co. is a jeweler and specialty retailer that designs, manufactures, and sells an extensive selection of jewelry as well as timepieces, sterling silverware, china, crystal, stationery, fragrances, and accessories.
The Zacks Rank #1 stock has a dividend yield of 1.5%.
Recent Results
On January 12, Tiffany reported that worldwide sales increased 17% in November and December, due to growth in all three geographic segments. Management indicated that its holiday sales results were higher than expected. Worldwide net sales increased 13%, while comparable-store sales were up 8%
For the year ended January 31, the company believes it can achieve net sales of $2.7 billion and net earnings from continuing operations of $2.07-$2.12 per share. Tiffany’s previous published outlook was $1.88-$1.98 per share.
On February 18, Tiffany declared a regular quarterly dividend of 20 cents per share, reflecting an 18% increase over last year. The dividend will be paid on April 12 to stockholders of record on March 22.
The company is scheduled to report fourth quarter and year-end results on March 22.
Estimates Trending Higher
After the company reported strong holiday sales and gave upbeat earnings guidance, analysts increased their estimates. The Zacks Consensus Estimate for 2010 went from $1.94 to $2.06, and the Zacks Consensus Estimate for 2011 moved up 15 cents to $2.42.
Industry Leader
For the last twelve months, the company generated a return on equity of 13.5%, which is well above the industry average of 2.3%. Tiffany’s net profit margin of 6.0% crushes the industry average of -11.4%. Meanwhile, its long-term EPS growth rate is expected to be 11.3% versus the industry average of 10.4%.
