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Signet (SIG) Gains As Market Dips: What You Should Know

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Signet (SIG - Free Report) closed at $77.81 in the latest trading session, marking a +1.47% move from the prior day. This move outpaced the S&P 500's daily loss of 0.72%. Elsewhere, the Dow lost 0.68%, while the tech-heavy Nasdaq lost 0.67%.

Prior to today's trading, shares of the jewelry company had lost 2.92% over the past month. This has was narrower than the Retail-Wholesale sector's loss of 4.26% and the S&P 500's loss of 5.92% in that time.

Investors will be hoping for strength from Signet as it approaches its next earnings release, which is expected to be March 17, 2022. On that day, Signet is projected to report earnings of $4.91 per share, which would represent year-over-year growth of 18.31%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.77 billion, up 26.6% from the year-ago period.

Any recent changes to analyst estimates for Signet should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 9.73% higher. Signet is currently sporting a Zacks Rank of #1 (Strong Buy).

Investors should also note Signet's current valuation metrics, including its Forward P/E ratio of 7.81. This represents a discount compared to its industry's average Forward P/E of 16.93.

Investors should also note that SIG has a PEG ratio of 0.98 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. The Retail - Jewelry was holding an average PEG ratio of 0.98 at yesterday's closing price.

The Retail - Jewelry industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 19, which puts it in the top 8% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow SIG in the coming trading sessions, be sure to utilize Zacks.com.


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