In the latest close session, Signet (SIG) was down 4.27% at $92.31. The stock's performance was behind the S&P 500's daily loss of 2.71%. Elsewhere, the Dow lost 1.9%, while the tech-heavy Nasdaq lost 3.56%.
Prior to today's trading, shares of the jewelry company had gained 3.87% outpaced the Retail-Wholesale sector's loss of 4.01% and the S&P 500's gain of 3.5%.
Analysts and investors alike will be keeping a close eye on the performance of Signet in its upcoming earnings disclosure. The company's upcoming EPS is projected at $0.18, signifying a 25.00% drop compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $1.37 billion, showing a 1.38% escalation compared to the year-ago quarter.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $9.12 per share and revenue of $6.8 billion, indicating changes of +2.01% and +1.46%, respectively, compared to the previous year.
Investors should also take note of any recent adjustments to analyst estimates for Signet. These revisions typically reflect the latest short-term business trends, which can change frequently. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Currently, Signet is carrying a Zacks Rank of #4 (Sell).
Valuation is also important, so investors should note that Signet has a Forward P/E ratio of 10.57 right now. Its industry sports an average Forward P/E of 19.24, so one might conclude that Signet is trading at a discount comparatively.
Meanwhile, SIG's PEG ratio is currently 1.1. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As the market closed yesterday, the Retail - Jewelry industry was having an average PEG ratio of 3.08.
The Retail - Jewelry industry is part of the Retail-Wholesale sector. Currently, this industry holds a Zacks Industry Rank of 197, positioning it in the bottom 21% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within 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.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Signet Jewelers Limited (SIG): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
