So what: Tiffany hasn't given full quarter results yet, but did update investors on how sales went during November and December. And the news wasn't good.
On a constant currency basis sales worldwide were down 3% and comparable store sales dropped 5%. A strong dollar hurt overall resorts even further, resulting in a 6% decline in sales to $961 million. For the full year, earnings are expected to decline about 10%. Management also indicated that there would be layoffs, although it didn't disclose how many cuts there would be.
Now what: When the economy is booming and the dollar is weak Tiffany can be a huge beneficiary of increased consumer spending. But a slowing economy, particularly in Asia, and a strong dollar has been a double-edged sword against the jeweler in 2015. I don't think those pressures will slow down in 2016 when management expects tepid growth, but for investors looking to buy a stock built for the long-term this dip could be a great entry point.
Travis Hoium has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.