In the latest trading session, Signet (SIG) closed at $92.43, marking a -1.67% move from the previous day. The stock's change was less than the S&P 500's daily gain of 0.55%. Meanwhile, the Dow experienced a rise of 0.63%, and the technology-dominated Nasdaq saw an increase of 0.91%.
The jewelry company's stock has climbed by 8.03% in the past month, exceeding the Retail-Wholesale sector's gain of 4.28% and the S&P 500's gain of 0.71%.
Analysts and investors alike will be keeping a close eye on the performance of Signet in its upcoming earnings disclosure. In that report, analysts expect Signet to post earnings of $5.87 per share. This would mark a year-over-year decline of 11.33%. Alongside, our most recent consensus estimate is anticipating revenue of $2.33 billion, indicating a 0.92% downward movement from the same quarter last year.
For the full year, the Zacks Consensus Estimates project earnings of $9.22 per share and a revenue of $6.8 billion, demonstrating changes of +3.13% and +1.42%, respectively, from the preceding year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Signet. Such recent modifications usually signify the changing landscape of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Our research suggests that these changes in estimates have a direct relationship with upcoming 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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. At present, Signet boasts a Zacks Rank of #2 (Buy).
Looking at valuation, Signet is presently trading at a Forward P/E ratio of 10.19. This expresses a discount compared to the average Forward P/E of 20.03 of its industry.
We can additionally observe that SIG currently boasts a PEG ratio of 1.15. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The average PEG ratio for the Retail - Jewelry industry stood at 2.5 at the close of the market yesterday.
The Retail - Jewelry industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 97, putting it in the top 40% 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.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming 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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