Jewelry retailer Tiffany & Co. ( TIF ) on Tuesday posted better-than-expected third quarter earnings, but its all-important fourth quarter forecast fell below analysts' view, sending its shares plummeting in premarket trading.
The New York-based company reported third quarter net income of $89.7 million, or 70 cents per share, compared with $55.1 million, or 43 cents per share, in the year-ago period.
Revenue jumped 21% from last year to $821.8 million.
On average, Wall Street analysts expected a smaller profit of 61 cents per share on lower revenue of $801.8 million.
Looking ahead, TIF forecast fourth quarter earnings of $1.48 to $1.58 per share, which would miss analyst expectations for $1.63 per share.
Tiffany shares fell $5.35, or -7.3%, in premarket trading Tuesday.
The Bottom Line
Shares of Tiffany & Co. ( TIF ) have a 1.58% dividend yield, based on last night's closing stock price of $73.62 The stock has technical support in the $65-$70 price area. If the shares can firm up, we see overhead resistance around the $77-$80 price levels.
Tiffany & Co. ( TIF ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.
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