Goldman Sachs Reports Japan Events Likely To Overshadow 4Q EPS Beat

In a report published by Goldman Sachs, Tiffany & Company TIF 4Q EPS beat is likely to be overshadowed by Japan events.

Goldman Sachs said that it expect that Tiffany's exposure to events in Japan will be a primary focus in the company's 4Q EPS release. “On the heels of a successful holiday season in which November/December SSS rose 8%, we expect 4Q to beat the GS and consensus estimate of $1.39. While Tiffany has capitalized on the recovery among the high end consumer and the jewelry category, we expect these headlines to be overshadowed by the impact the Japanese events take on approximately 18% of sales and 25% of profits. Given that the magnitude and duration are unknown, we expect management to set a likely conservative 2011 outlook.”

Tiffany & Company closed yesterday at $57.68.