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Tiffany & Co. upgraded as initiatives and demand gain momentum

Tonya Garcia

Tiffany & Co. was upgraded to outperform from perform at Oppenheimer with analysts confident that new product launches and marketing alongside global demand are gaining momentum. Oppenheimer raised its price target to $152 from $145. Analysts led by Brian Nagel think the strong dollar is still a near-term risk. However, fiscal 2018 guidance accounts for that headwind, analysts said. In its most recent earnings report, Tiffany raised its earnings guidance for the year to $4.65 to $4.80 per share from previous guidance of $4.50 to $4.70 per share. Tiffany shares are down 8% for the last three months, but up 20.3% for the year so far. The S&P 500 index is up 3.5% for the 2018 so far, and up nearly 8% for 2018 to date. "We are not necessarily calling bottom in Tiffany; however, we now foresee longer term upside potential as more than offsetting downside risks near term," Oppenheimer said.