Tiffany & Company designs, manufactures, and retails jewelry worldwide. The company offers its products through retail sales, Internet and catalog sales, business-to-business sales, and wholesale distribution. The company was founded in 1837 and is based in New York, New York.
TIF Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for TIF, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Tiffany & Co ranked in the 7th percentile in terms of potential gain offered. Our DCF analysis suggests the stock is overvalued by about 95%. The most interesting components of our discounted cash flow analysis for Tiffany & Co ended up being:
The company's compound free cash flow growth rate over the past 5.44 years comes in at -0.13%; that's greater than only 12.34% of US stocks we're applying DCF forecasting to.
TIF's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 2%; for context, that number is higher than 27.71% of tickers in our DCF set.
Relative to other stocks in its sector (Consumer Cyclical), Tiffany & Co has a reliance on debt greater than merely 17.04% of them.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
APEX, CBRL, MLCO, PLCE, and TXRH can be thought of as valuation peers to TIF, in the sense that they are in the Consumer Cyclical sector and have a similar price forecast based on DCF valuation.
Tiffany (TIF) is out with a response to what it calls misleading counterclaims finally filed yesterday by LVMH Moët Hennessy-Louis Vuitton SE (LVMHF). "LVMH’s specious arguments are yet another blatant attempt to evade its contractual obligation to pay the agreed-upon price for Tiffany. Tiffany has acted in full compliance with...
Louis Vuitton - LVMH (LVMHF) just countersued Tiffany (TIF) in Delaware. According to Reuters, LVMH is arguing it can walk away from the deal because of financial mismanagement in the pandemic. I'll summarize the LVMH claims as I understand them: Financial mismanagement by Tiffany during the pandemic There's no carve-out...
Bram de Haas on Seeking Alpha | September 29, 2020
Three investors in Tiffany & Co sued LVMH and two of its executives in Manhattan federal court Tuesday, saying the French luxury good giant's "illegal renunciation" of its $16 billion deal to buy the U.S. jeweler caused the value of their stock to drop by at least $10 million…
Luxury conglomerate LVMH Moët Hennessy Louis Vuitton has filed a countersuit against Tiffany over their ruined merger deal, noting conditions necessary to close the $14.5 billion acquisition of the jewelry chain have not been met