On September 1, 2009
Tiffany, Williams-Sonoma Rewarded for Poor Sales
We’re seeing a strange trend in the retail industry right now. With the exception of certain discount chains, companies’ sales are plunging in nearly all categories, but many of their stock prices continue to go in the opposite direction. Take the case of Tiffany & Co. The jewelry retailer recently reported its second-quarter earnings, and its sales figures were brutally low, with same-store sales dropping 27 percent year over year at U.S. locations, while net sales fell 23 percent. Despite that, Tiffany’s stock, which closed Aug. 31 at just over $36 per share, is more than double what it was in March. Many analysts are singing the company’s praises, saying that when the recession is over, it will succeed due…
0 Comments