Signet Jewelers (NYSE:SIG) Rating Lowered to Hold at Zacks Investment Research

Zacks Investment Research cut shares of Signet Jewelers (NYSE:SIGGet Rating) from a buy rating to a hold rating in a research report sent to investors on Thursday, Zacks.com reports. The firm currently has $66.00 price target on the stock.

According to Zacks, “Signet's shares have risen and outperformed the industry in the past three months. The company has been gaining from growth in e-commerce business and advancements made in respect of the Inspiring Brilliance strategy. Such upsides supported the company’s performance during fourth-quarter fiscal 2022, wherein the top and the bottom line beat the Zacks Consensus Estimate as well as improved year on year. During the quarter, the company witnessed same-store sales growth and higher margins. Its efforts to boost banner value propositions, product newness, marketing efforts and connected commerce strategy have been yielding. Digital business is the key growth driver and management is focused on enhancing the data- analytics capabilities. Management provided an encouraging view for fiscal 2023, projecting total revenues of $8.03-$8.25 billion.”

Several other research analysts have also weighed in on the stock. Citigroup increased their price objective on shares of Signet Jewelers from $90.00 to $94.00 and gave the stock a neutral rating in a report on Friday, March 18th. StockNews.com raised shares of Signet Jewelers from a hold rating to a buy rating in a research report on Saturday, March 26th. Telsey Advisory Group dropped their target price on shares of Signet Jewelers from $110.00 to $100.00 and set a market perform rating for the company in a research report on Friday, January 21st. Finally, Wells Fargo & Company dropped their target price on shares of Signet Jewelers from $140.00 to $105.00 and set an overweight rating for the company in a research report on Tuesday, April 5th. Five analysts have rated the stock with a hold rating and three have given a buy rating to the company. According to data from MarketBeat, the stock currently has an average rating of Hold and a consensus target price of $96.00.

NYSE:SIG opened at $54.74 on Thursday. The firm has a market cap of $2.73 billion, a price-to-earnings ratio of 4.49, a price-to-earnings-growth ratio of 0.62 and a beta of 2.37. The company has a current ratio of 1.80, a quick ratio of 0.81 and a debt-to-equity ratio of 0.09. The company’s 50-day moving average is $72.33 and its two-hundred day moving average is $81.56. Signet Jewelers has a 12-month low of $52.38 and a 12-month high of $111.92.

Signet Jewelers (NYSE:SIGGet Rating) last released its earnings results on Thursday, March 17th. The company reported $5.01 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $4.91 by $0.10. The company had revenue of $2.81 billion for the quarter, compared to analyst estimates of $2.77 billion. Signet Jewelers had a net margin of 9.84% and a return on equity of 51.76%. The firm’s quarterly revenue was up 28.6% on a year-over-year basis. During the same period in the prior year, the firm earned $4.15 EPS. On average, equities research analysts forecast that Signet Jewelers will post 11.26 earnings per share for the current fiscal year.

The company also recently disclosed a quarterly dividend, which will be paid on Friday, May 27th. Shareholders of record on Friday, April 29th will be given a $0.20 dividend. This is an increase from Signet Jewelers’s previous quarterly dividend of $0.18. The ex-dividend date is Thursday, April 28th. This represents a $0.80 annualized dividend and a yield of 1.46%. Signet Jewelers’s dividend payout ratio (DPR) is 6.56%.

In other news, CEO Virginia Drosos sold 20,000 shares of the firm’s stock in a transaction that occurred on Monday, March 21st. The shares were sold at an average price of $80.80, for a total transaction of $1,616,000.00. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider Rebecca Wooters sold 9,580 shares of the firm’s stock in a transaction that occurred on Monday, March 21st. The stock was sold at an average price of $80.75, for a total transaction of $773,585.00. The disclosure for this sale can be found here. Insiders have sold 60,939 shares of company stock valued at $4,708,762 in the last three months. Corporate insiders own 1.76% of the company’s stock.

A number of institutional investors and hedge funds have recently made changes to their positions in SIG. Select Equity Group L.P. lifted its stake in Signet Jewelers by 45.8% during the first quarter. Select Equity Group L.P. now owns 8,079,589 shares of the company’s stock worth $587,386,000 after purchasing an additional 2,538,257 shares during the last quarter. BlackRock Inc. lifted its stake in Signet Jewelers by 9.8% during the fourth quarter. BlackRock Inc. now owns 9,136,052 shares of the company’s stock worth $795,112,000 after purchasing an additional 815,094 shares during the last quarter. Norges Bank bought a new position in Signet Jewelers during the fourth quarter worth $43,183,000. Goldman Sachs Group Inc. lifted its stake in Signet Jewelers by 84.3% during the third quarter. Goldman Sachs Group Inc. now owns 824,881 shares of the company’s stock worth $65,133,000 after purchasing an additional 377,303 shares during the last quarter. Finally, American Century Companies Inc. lifted its stake in Signet Jewelers by 153.1% during the third quarter. American Century Companies Inc. now owns 431,885 shares of the company’s stock worth $34,102,000 after purchasing an additional 261,217 shares during the last quarter. Hedge funds and other institutional investors own 94.80% of the company’s stock.

About Signet Jewelers (Get Rating)

Signet Jewelers Limited operates as a diamond jewelry retailer. It operates through three segments: North America, International, and Other. The North America segment operates jewelry stores in jewelry stores in malls, mall-based kiosks, and off-mall locations in the United States and Canada primarily under the Kay Jewelers, Kay Jewelers Outlet, Jared The Galleria Of Jewelry, Jared Vault, Zales Jewelers, Zales Outlet, Diamonds Direct, James Allen, Banter by Piercing Pagoda, and Peoples Jewellers names, as well as operates online through JamesAllen.com and Rocksbox.

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