In the latest trading session, Signet (SIG) closed at $83.92, marking a -3.26% move from the previous day. This change lagged the S&P 500's 0.07% gain on the day. Elsewhere, the Dow saw a downswing of 0.7%, while the tech-heavy Nasdaq appreciated by 0.18%.
Coming into today, shares of the jewelry company had gained 9.01% in the past month. In that same time, the Retail-Wholesale sector gained 5.27%, while the S&P 500 gained 5.71%.
The investment community will be closely monitoring the performance of Signet in its forthcoming earnings report. The company is expected to report EPS of $1.21, down 3.2% from the prior-year quarter. In the meantime, our current consensus estimate forecasts the revenue to be $1.5 billion, indicating a 0.44% growth compared to the corresponding quarter of the prior year.
For the full year, the Zacks Consensus Estimates project earnings of $9.12 per share and a revenue of $6.76 billion, demonstrating changes of +2.01% and +0.8%, respectively, from the preceding year.
Investors might also notice recent changes to analyst estimates for Signet. These revisions help to show the ever-changing nature of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Right now, Signet possesses a Zacks Rank of #2 (Buy).
With respect to valuation, Signet is currently being traded at a Forward P/E ratio of 9.51. This denotes a discount relative to the industry average Forward P/E of 18.41.
One should further note that SIG currently holds a PEG ratio of 0.78. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Retail - Jewelry industry currently had an average PEG ratio of 2.29 as of yesterday's close.
The Retail - Jewelry industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 57, which puts it in the top 24% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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Signet Jewelers Limited (SIG): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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