TIF  Tiffany & Co.

Exchange

NYSE

Sector

Consumer Services

Industry

Consumer Specialties

Market Cap.

11.75B

Vuru Grade

61.76/100

Current Price

$94.35
-0.19 (-0.20%)

Growth Price

$48.97
Overvalued by 48.10%

Stability Price

$34.04
Overvalued by 63.92%

Company Metrics

  • P/E 25.62
  • P/S 2.92
  • P/B 3.75
  • EPS 3.68
  • Cash ROIC 7.67%
  • Cash Ratio 1.56
  • Dividend 2 / 2.14%
  • Avg. Vol. 1.61M
  • Shares 124.54M
  • Market Cap. 11.75B

Company Description

Tiffany & Co., through its subsidiaries, engages in the design, manufacture, and retail of fine jewelry worldwide. Its jewelry products include fine and solitaire jewelry; diamond engagement rings and wedding bands for brides and grooms; and non-gemstone, sterling silver, gold, and platinum jewelry. The company also provides timepieces, sterling silver goods, china, crystal, stationery, fragrances... more


Download 10 Years of Financial Statements:
Income Statement   Balance Sheet   Cash Flow

News

Cameron Russell Shines In Tiffany & Co.'s "There's Only One" Campaign
Hong Kong Tatler (press release) - Oct 23, 2017
Organic shapes and forms are at the heart of Elsa Peretti's designs for Tiffany & Co. Since joining the company in 1974, the renowned designer has created timeless collections that have transcended generations and spoken to the hearts of women all over ...
What Does the Future Hold for Tiffany & Co.?
Motley Fool - Oct 5, 2017
Despite the bullish market performance, Tiffany is now facing major challenges with shifts in consumer tastes and spending.
Tiffany & Co pays record price for 'Breakfast at Tiffany's' screenplay
MarketWatch - Oct 3, 2017
Tiffany & Co. TIF, +1.00% purchased the screenplay for the Audrey Hepburn classic "Breakfast at Tiffany's" for £632,750, or about $847,000, at Christine's in London, a record for a film script.
Is Tiffany & Co (TIF) As Financially Strong As Its Balance Sheet Indicates? - Simply Wall St
Somewhat Positive Media Coverage Somewhat Unlikely to Impact Tiffany & Co ... - StockNewsTimes
What Tiffany & Co. Learned About Mobile From Watching Its Competitors
Adweek - Sep 27, 2017
An icon like Tiffany & Co., the final word in luxury goods for 180 years and counting, might not seem to need business pointers from anyone.
How Tiffany & Co. Is Adapting to a Shifting Luxury Market
Motley Fool - Oct 9, 2017
After two years of lackluster sales, Tiffany (NYSE:TIF) installed new CEO Alessandro Bogliolo in early October to revitalize its top line.
Tiffany & Co. Reaches Analyst Target Price
Nasdaq - Oct 16, 2017
In recent trading, shares of Tiffany & Co. (Symbol: TIF) have crossed above the average analyst 12-month target price of $92.50, changing hands for $94.40/share.
Tiffany & Co.'s New Accessories Collection Will Chic Up Your Home
HYPEBAE - 9 hours ago
If you're looking to add a touch of luxury to your abode, then look no further than Tiffany & Co.'s new home and accessories collection.
Alicia Keys' Acapella Version of 'No One' Shines Bright in Tiffany & Co's ...
Billboard - Oct 3, 2017
For the past couple of seasons, New York City jeweler Tiffany & Co. has been working with musicians and celebrities--Lady Gaga, Janelle Monae and Zoe Kravitz, to name a few--to meld pop culture's musical ideals with Tiffany's aesthetic ones.
Art Industry News: Tiffany & Co Pays a Record Sum for the 'Breakfast at ...
artnet News - Sep 28, 2017
Tiffany & Co Paid Record Sum for 'Breakfast at Tiffany's' Script - The jewelers paid $847,000 for Audrey Hepburn's original working script for the 1961 classic.
25000 Shares Of Tiffany & Co. (TIF) bought By TRAPANI FRANCESCO
Economic News - 10 hours ago
Tiffany & Co. (NYSE:TIF) has seen its stock price gain 17.11, or +22.10%, so far in 2017. In the past 3-month period alone, shares of TIF have appreciated +1.91 - or +2.06%.
Here's how analysts see Tiffany & Co. (NYSE:TIF) after this past week. - BZ Weekly
Tiffany & Co. (NYSE:TIF) Rating Reiterated by Oppenheimer Holdings, Inc. - Dispatch Tribunal
Growth Rate Assumed by Market

We did a reverse valuation to calculate the growth rate the market is assuming for TIF to be considered fairly valued at its current market price. It's useful to compare this to the growth rate we're assuming for the Growth Price.

Future Free Cash Flow Growth Rate

This is the annual growth rate we've applied to calculate TIF's Free Cash Flow for the next 10 years. To calculate it, we looked at several time periods of the last 10 years. Feel free to adjust it, but we limit the initial growth rate to 20% and slow it down over the years. Otherwise, long-term sustainability issues come into play.

Discount Rate

The discount rate is the annual rate of return an investor requires to take the risk of investing in a single stock. To account for that risk, this should be above 8-10%, as this is the avg. annual rate of return for the S&P500 over the past 100 years.

$94.35 Current Price

$48.97 Growth Price (DCF)

Overvalued by 48.10%


Growth Rate Assumed by Market: 25.40%


Future Free Cash Flow Growth Rate: 0.0%


Discount Rate: 15.0%


Show Free Cash Flow numbers

$34.04 Stability Price (EPV)

Overvalued by 63.92%


Discount Rate: 15.0%

$11.96 NCA Price

Overvalued by 87.32%

$83.05 Book Price

Overvalued by 11.98%


Poor Cash Return on Invested Capital over the past 5 years

TIF has been unable to consistently generate sufficient returns from its investments in buildings, projects and equipment. This could be due to poor management, lack of an economic moat or the capital intensive nature of the business.

TIF has only created $7.67 of cash for every $100 invested.
Figures in USD. Fiscal year ends in January
20132014201520162017
Free Cash Flow 26.10M -66.80M 367.72M 560.90M 479.30M
divided by
Invested Capital 3.54B 3.69B 3.79B 3.51B 3.48B
Cash ROIC 0.74% -1.81% 9.70% 15.97% 13.78%

Satisfactory Return on Equity over the past 5 years

TIF has generated adequate returns with capital that shareholders have invested. This is sufficient and implies that management performance has been good.

TIF has generated $14.10 of Earnings for every $100 of Shareholders' Equity.
Figures in USD. Fiscal year ends in January
20132014201520162017
Net Income 416.16M 181.37M 484.18M 463.90M 446.10M
divided by
Stockholders' Equity 2.60B 2.72B 2.84B 2.91B 3.01B
Return on Equity 16.01% 6.67% 17.08% 15.93% 14.80%

Good Business Performance over the past 10 years

It's likely TIF has been unable to maintain profitability in tough economic times, making it a somewhat cyclical business. The other possibility is TIF has expended significant capital on items such as property, plant and equipment in specific years. Look for correlations.

TIF has created positive free cash flow for 7 or 8 of the past 10 years.
Figures in USD. Fiscal year ends in January
2008200920102011201220132014201520162017
Free Cash Flow 200.69M -21.19M 605.91M 171.92M -28.84M 26.10M -66.80M 367.72M 560.90M 479.30M

Strong Balance Sheet

TIF is financially strong with Current Assets covering Total Liabilities. It's in a fairly liquid position and dependent on the amount and saleability of any inventory; it may have the financial security to survive an economic downturn.
Figures in USD. Fiscal year ends in January
2008200920102011201220132014201520162017
Cash 246.65M 160.45M 785.70M 740.87M 442.19M 504.84M 367.04M 731.46M 886.60M 985.80M
Current Assets 1.84B 2.05B 2.45B 2.68B 2.89B 3.15B 3.23B 3.61B 3.51B 3.57B
Total Assets 2.92B 3.10B 3.49B 3.74B 4.16B 4.63B 4.75B 5.18B 5.13B 5.10B
Current Liabilities 584.86M 601.92M 600.27M 479.91M 626.68M 586.59M 696.74M 658.03M 729.90M 632.80M
Total Liabilities 1.28B 1.51B 1.61B 1.56B 1.81B 2.03B 2.03B 2.35B 2.22B 2.08B
Stockholder' Equity 1.64B 1.59B 1.88B 2.18B 2.35B 2.60B 2.72B 2.84B 2.91B 3.01B
Current Ratio 3.15 3.40 4.07 5.59 4.61 5.37 4.63 5.49 4.81 5.65
TL-to-TA 0.44 0.49 0.46 0.42 0.44 0.44 0.43 0.45 0.43 0.41

Consistent Reinvestment of Profits over the past 10 years

TIF has consistently retained profits. This may put TIF in a strong position to invest for the future, by buying new machinery, investing in R&D or a number of other options. By effectively using these earnings, TIF can greatly improve their long-term economic picture.
Figures in USD. Fiscal year ends in January
2008200920102011201220132014201520162017
Retained Earnings 958.92M 971.30M 1.15B 1.32B 1.46B 1.67B 1.68B 1.95B 2.01B 2.08B
Retained Earnings Growth - 1.29% 18.51% 15.09% 10.40% 14.28% 0.66% 15.94% 3.17% 3.27%

Potential Competitive Advantage over the past 10 years

TIF potentially has a competitive advantage. This could be strong branding, the ability to keep costs low, or some other characteristic that is hard to replicate. Look at its future prospects to determine sustainability and whether the economic moat will strengthen.

$10.11 of every $100 of Revenue have been pure profit, on average over the past 10 years.
Figures in USD. Fiscal year ends in January
2008200920102011201220132014201520162017
Net Income 303.77M 220.02M 264.82M 368.40M 439.19M 416.16M 181.37M 484.18M 463.90M 446.10M
divided by
Revenue 2.94B 2.86B 2.71B 3.09B 3.64B 3.79B 4.03B 4.25B 4.10B 4.00B
Net Profit Margin 10.34% 7.69% 9.77% 11.94% 12.06% 10.97% 4.50% 11.39% 11.30% 11.15%

Strong Pricing Power over the past 10 years

TIF has maintained substantial gross margins, suggesting that they have been able to set prices without consideration of the cost of goods sold. This potentially leaves flexibility in inflationary environments to raise prices on consumers and maintain profitability.

$62.62 of every $100 worth of sales have been Gross Profit, on average over the past 10 years.
Figures in USD. Fiscal year ends in January
2008200920102011201220132014201520162017
Gross Profit 1.63B 1.65B 1.53B 1.82B 3.64B 2.16B 2.34B 2.54B 2.49B 2.49B
divided by
Revenue 2.94B 2.86B 2.71B 3.09B 3.64B 3.79B 4.03B 4.25B 4.10B 4.00B
Gross Margin 55.47% 57.53% 56.47% 59.06% 100.00% 57.01% 58.06% 59.70% 60.69% 62.23%

High Capital Intensity over the past 10 years

TIF spends large amounts of capital buying new equipment or investing in new facilities to stay competitive. Over the long term, those costs may have to be fuelled by debt. Look at the growth of Shareholders' Equity to see if this strategy is having a positive or negative impact.

59.90% of Profits are being spent on Capital Expenditures, like Property, Plant, & Equipment, required to run the business.
Figures in USD. Fiscal year ends in January
2008200920102011201220132014201520162017
Capital Expenditure 185.61M 154.41M 75.40M 127.00M 239.44M 302.19M 221.45M 247.39M 252.70M 222.80M
divided by
Net Income 303.77M 220.02M 264.82M 368.40M 439.19M 416.16M 181.37M 484.18M 463.90M 446.10M
Capital Expenditure Ratio 61.10% 70.18% 28.47% 34.47% 54.52% 72.62% 122.10% 51.10% 54.47% 49.94%

Very Strong Dividend History over the past 10 years

TIF has consistently distributed a dividend for at least the past 10 years. Such a long dividend history suggests TIF is very established in its market and that its dividend distribution is likely to continue for a significant period of time.
Figures in USD. Fiscal year ends in January
2008200920102011201220132014201520162017
Dividend Paid 69.92M 82.26M 84.58M 120.39M 142.84M 145.84M 170.98M 193.08M 203.40M 218.80M
divided by
Shares Outstanding 138.14M 126.41M 125.38M 128.41M 129.08M 127.93M 128.87M 129.92M 129.10M 125.50M
Dividend Paid Per Share 0.51 0.65 0.67 0.94 1.11 1.14 1.33 1.49 1.58 1.74
Price at Year End 21.69 42.20 62.06 66.26 56.44 92.09 107.42 77.05 77.43 92.50
Dividend Yield 2.33% 1.54% 1.09% 1.41% 1.96% 1.24% 1.24% 1.93% 2.03% 1.88%

History of Stock Buybacks over the past 10 years

TIF has some history of delivering increased value for shareholders in the form of stock buybacks. These have helped improve financial metrics and increase each shareholders' relative ownership stake in the company, due to fewer shares outstanding and holding the same number of shares.
Figures in USD. Fiscal year ends in January
2008200920102011201220132014201520162017
Shares Outstanding 138.14M 126.41M 125.38M 128.41M 129.08M 127.93M 128.87M 129.92M 129.10M 125.50M
Stock Bought Back - 9.28% 0.82% -2.35% -0.52% 0.90% -0.72% -0.81% 0.63% 2.87%
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