Signet Jewelers Sees Positive Movement Ahead of Earnings Report
In the latest trading session, Signet (SIG) closed at $99.53, reflecting a +2% change from the previous day. This performance outpaced the S&P 500, which recorded a daily loss of 0.76%. The Dow also fell by 0.75%, while the tech-heavy Nasdaq saw a dip of 1.01%.
Signet’s Recent Performance Outshines Competitors
Over the last month, Signet’s shares increased by 6.2%, exceeding the Retail-Wholesale sector’s rise of 3.42% and the S&P 500’s growth of 4.31%.
What’s Ahead: Earnings Expectations
Investors are keenly anticipating Signet’s upcoming earnings report. The company is projected to report earnings per share (EPS) of $0.29, representing a 20.83% rise from the same period last year. The consensus estimate predicts a revenue of $1.36 billion, which would mark a 2% decrease compared to the previous year’s quarter.
Annual Estimates Show Mixed Trends
For the full year, the Zacks Consensus Estimates suggest earnings of $10.80 per share with revenue reaching $6.84 billion, reflecting changes of +4.15% and -4.59%, respectively, compared to last year.
Analysts’ Views and Market Trends
Investors should consider any adjustments to analysts’ estimates for Signet. Such revisions indicate trends in business and profitability. Generally, positive changes in estimates point to analyst confidence in the company’s financial health.
Impact of Estimate Revisions on Stock Performance
Research shows that estimate revisions relate closely to stock price trends. To capitalize on this, Zacks has developed the Zacks Rank, which evaluates these revisions and offers a rating system. The Zacks Rank operates on a scale from #1 (Strong Buy) to #5 (Strong Sell) and has a solid history of outperforming market averages, with stocks rated #1 yielding an annual average return of +25% since 1988. Currently, Signet holds a Zacks Rank of #3 (Hold), with no significant changes to its consensus EPS projections in the past month.
Valuation Insights for Signet
Signet’s forward price-to-earnings (P/E) ratio stands at 9.04, which suggests a discount compared to the industry average forward P/E of 20.11. The company’s PEG ratio is 1.11, accounting for its expected earnings growth rate. In comparison, the average PEG ratio for the Retail – Jewelry industry is 2.18.
Industry Standing and Rankings
The Retail – Jewelry industry is part of the broader Retail-Wholesale sector, currently holding a Zacks Industry Rank of 235, placing it in the bottom 7% of over 250 industries. Assessing industry strength, the Zacks Industry Rank calculates the average Zacks Rank of stocks within the sector. Historically, industries ranked in the top 50% have outperformed the lower half by a factor of 2:1.
Stay Informed with Zacks Metrics
It’s key to track these vital metrics and more on Zacks.com in the upcoming trading sessions.
Upcoming Infrastructure Boom: Take Advantage?
A significant effort to revitalize U.S. infrastructure is on the horizon, with bipartisan support and substantial funds likely to be invested. This presents a unique opportunity for investors who act swiftly.
Zacks has compiled a Special Report that details some of the top companies anticipated to benefit from this surge in infrastructure spending. You can access this valuable report for free today, highlighting five key stocks catering to construction, repair, and energy transformation projects.
Download FREE: How To Profit From Trillions On Spending For Infrastructure >>
For the latest recommendations from Zacks Investment Research, download 5 Stocks Set to Double. Click here to get this free report.
Signet Jewelers Limited (SIG): Free Stock Analysis Report
To read this article on Zacks.com, click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
