In the latest close session, Signet (SIG) was down 2.86% at $89.79. This move lagged the S&P 500's daily gain of 0.03%. Elsewhere, the Dow saw a downswing of 0.58%, while the tech-heavy Nasdaq appreciated by 0.28%.
Heading into today, shares of the jewelry company had gained 6.23% over the past month, outpacing the Retail-Wholesale sector's gain of 4.8% and the S&P 500's gain of 0.6%.
The investment community will be paying close attention to the earnings performance of Signet in its upcoming release. The company's upcoming EPS is projected at $5.87, signifying a 11.33% drop compared to the same quarter of the previous year. 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 entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $9.22 per share and a revenue of $6.8 billion, representing changes of +3.13% and +1.42%, respectively, from the prior year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Signet. These revisions help to show the ever-changing nature of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. Right now, Signet possesses a Zacks Rank of #2 (Buy).
Digging into valuation, Signet currently has a Forward P/E ratio of 10.02. This valuation marks a discount compared to its industry average Forward P/E of 19.82.
Investors should also note that SIG has a PEG ratio of 1.13 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. SIG's industry had an average PEG ratio of 2.51 as of yesterday's close.
The Retail - Jewelry industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 182, putting it in the bottom 26% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming 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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