What Top Wall Street Analysts Expect From Tiffany & Co. Before Earnings

Javier Hasse
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Tiffany & Co. (NYSE: TIF) is scheduled to report its fourth quarter financial results on Friday, March 20.

In a report issued Sunday, analysts at Deutsche Bank provided a preview and reiterated a Hold rating and a $96 price target on the stock.

They say that, despite the pullback, that they will remain on the sidelines.

Tiffany's stock is down more than 21 percent year-to-date. The main reason for the fall was the Holiday sales miss reported on January 12 –- shares have not yet recuperated from that blow.

Going forward, Deutsche Bank's analysts see limited upside for the near-term, primarily because they expect "ongoing weakness in the core Americas region."

Related Link: Nike Earnings Preview: Strong Expectations Due To Dominant Market Share, Brand Appeal

Furthermore, they don't see sales to tourists -- which have already come under pressure -- recuperating any time soon, especially as the dollar continues to strengthen. "Though Europe & Asia-Pacific are seeing stronger trends, underperformance in the Americas (~48% of total sales) is likely to weigh," they write.

Moreover, the current fiscal 2016 plan calling for only LSD-MSD EPS growth and the stock trading at ~19x F16 P/E, leads them to maintain a Hold rating.

For the upcoming earnings call, the analysts expect EPS of $1.49 (up 1.4 percent year-over-year) on revenue of $1.3 billion (up 0.1 percent year-over-year). Gross margin is modeled at 62.1 percent, up 160 basis points year-over-year.

For fiscal 2016, the EPS estimate remained unchanged at $4.51.

Latest Ratings for TIF

Mar 2015

Atlantic Equities

Upgrades

Neutral

Overweight

Jan 2015

Wells Fargo

Upgrades

Market Perform

Outperform

Jan 2015

Jefferies

Maintains

Hold

View More Analyst Ratings for TIF
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