UPDATE: Canaccord Genuity Downgrades Tiffany & Co to Sell; Fundamentals Do Not Support Current Price
Canaccord Genuity downgraded Tiffany & Co (NYSE: TIF) from Hold to Sell and lowered the price target from $58.00 to $52.00.
Canaccord Genuity noted, "Since reporting disappointing holiday sales on January 10, TIF shares have appreciated 16%, vs. the S&P 500 index +6%, the RLX index +9%, and the luxury peer group +7%. There is no fundamental catalyst to credit for this move, and the FY13 consensus EPS estimate has declined $0.30 over the last two months ahead of TIF's Q4 earnings release scheduled for March 22. Our FY13 EPS estimate of $3.40 is $0.10 below the reduced consensus forecast. We believe sales momentum will continue to decelerate in FY13, with recent tax increases adding pressure to the aspirational luxury customer."
Tiffany & Co closed at $70.88 on Thursday.
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