Tiffany's Earnings Report Beats Estimates

Tiffany & Co.

reported its financial results this morning for the fourth quarter. In this quarter, EPS hits $1.40 as oppose to analyst estimate of $1.36. Revenue for 4Q lands on $1.20 billion versus the estimate of $1.25 billion. The company released guidance with top end of the range, EPS of $3.42-$3.53, going above the consensus estimates of $3.50. On a more bullish side, the company's worldwide net sales growth of 6%-8%, a report stated its Asian sales were up 13 percent may contribute to the expected high percentage increase in worldwide net sale. Gross margin dropped down to 59.1% in this quarter from its 60.4% previously. Overall, this jeweler and specialty retailer's quarterly profit beats estimates. CEO Michael J. Kowalski is confident that the company will increase important growth in 2013 with an increasing net inventories. Most ratings for the stock are Neutral and Hold. Nonetheless, a 5 percent rally this morning makes this stock a worthwhile note.