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Signet (SIG) Increases Despite Market Slip: Here's What You Need to Know

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In the latest trading session, Signet (SIG - Free Report) closed at $99.53, marking a +2% move from the previous day. The stock's change was more than the S&P 500's daily loss of 0.76%. Meanwhile, the Dow experienced a drop of 0.75%, and the technology-dominated Nasdaq saw a decrease of 1.01%.

The jewelry company's shares have seen an increase of 6.2% over the last month, surpassing the Retail-Wholesale sector's gain of 3.42% and the S&P 500's gain of 4.31%.

Investors will be eagerly watching for the performance of Signet in its upcoming earnings disclosure. The company is expected to report EPS of $0.29, up 20.83% from the prior-year quarter. Meanwhile, the latest consensus estimate predicts the revenue to be $1.36 billion, indicating a 2% decrease compared to the same quarter of the previous year.

For the annual period, the Zacks Consensus Estimates anticipate earnings of $10.80 per share and a revenue of $6.84 billion, signifying shifts of +4.15% and -4.59%, respectively, from the last year.

Investors should also note any recent changes to analyst estimates for Signet. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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, 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. Within the past 30 days, our consensus EPS projection remained stagnant. Currently, Signet is carrying a Zacks Rank of #3 (Hold).

With respect to valuation, Signet is currently being traded at a Forward P/E ratio of 9.04. This expresses a discount compared to the average Forward P/E of 20.11 of its industry.

Meanwhile, SIG's PEG ratio is currently 1.11. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. By the end of yesterday's trading, the Retail - Jewelry industry had an average PEG ratio of 2.18.

The Retail - Jewelry industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 235, which puts it in the bottom 7% 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.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


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