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Signet (SIG) Suffers a Larger Drop Than the General Market: Key Insights

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In the latest trading session, Signet (SIG - Free Report) closed at $47.94, marking a -1.6% move from the previous day. The stock's performance was behind the S&P 500's daily loss of 1.22%. On the other hand, the Dow registered a loss of 1.55%, and the technology-centric Nasdaq decreased by 0.35%.

Coming into today, shares of the jewelry company had lost 15.9% in the past month. In that same time, the Retail-Wholesale sector lost 4.52%, while the S&P 500 lost 2.31%.

The upcoming earnings release of Signet will be of great interest to investors. The company's earnings report is expected on March 19, 2025. In that report, analysts expect Signet to post earnings of $6.39 per share. This would mark a year-over-year decline of 5.05%. In the meantime, our current consensus estimate forecasts the revenue to be $2.33 billion, indicating a 6.71% decline compared to the corresponding quarter of the prior year.

Investors should also pay attention to any latest changes in analyst estimates for Signet. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.

The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Signet is holding a Zacks Rank of #4 (Sell) right now.

In terms of valuation, Signet is presently being traded at a Forward P/E ratio of 5.47. This represents a discount compared to its industry's average Forward P/E of 14.23.

Investors should also note that SIG has a PEG ratio of 3.09 right now. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. Retail - Jewelry stocks are, on average, holding a PEG ratio of 4.07 based on yesterday's closing prices.

The Retail - Jewelry industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 162, finds itself in the bottom 36% echelons of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual 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.

Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.


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