Tiffany has been thrust in the spotlight recently following reports that Louis Vuitton owner LVMH could potentially back down from its planned acquisition of the jewelry retailer. In the latest development, CNBC reported Monday that Tiffany was not open to renegotiating deal terms with LVMH.
LVMH was set to acquire Tiffany & Co. in a $16.2 billion deal; however, LVMH board members met about one week ago to discuss the merger.
“The Board of Directors of LVMH Moët Hennessy Louis Vuitton, met on Tuesday, June 2nd, 2020 and notably focused its attention on the development of the pandemic and its potential impact on the results and perspectives of Tiffany & Co with respect to the agreement that links the two groups,” LVMH said in a press release. “Considering the recent market rumors, LVMH confirms, on this occasion, that it is not considering buying Tiffany shares on the market.”
Tiffany will release first quarter results ahead of the market open Tuesday. The company is expected to report an adjusted loss per share of 27 cents on $611.86 million in revenue, according to analysts polled by Bloomberg. Shares of the jewelry retailer were down about 8% so far in 2020, while the broader market rose roughly 1% in the same time period.
After the closing bell, online pet retailer Chewy is expected to report an adjusted loss per share of 4 cents on $1.53 billion in revenue.
RBC analyst Mark Mahaney believes that Wall Street’s expectations for Chewy’s first quarter and Q2 guidance are reasonable. Though the interest in Chewy might have decelerated from the peak, Google Searches for Chewy suggest brand awareness is high.
“We saw Google Search Trends for Chewy normalizing (tho to a higher level) after an inflection in March. The company continues to exhibit a very consistent upward trend on this metric for the past several years, which we take to suggest its consistent brand awareness gain across the ~90MM pet-owning U.S. Households,” Mahaney wrote in a June 5 note.
Shares of Chewy rose 68% this year and have outperformed the broader market.
Heidi Chung is a reporter at Yahoo Finance. Follow her on Twitter: @heidi_chung.
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