Zacks Investment Research upgraded shares of Signet Jewelers (NYSE:SIG) from a sell rating to a hold rating in a research report sent to investors on Monday, Zacks.com reports. Zacks Investment Research currently has $15.00 price objective on the stock.
According to Zacks, “Shares of Signet have lagged the industry year to date due to dismal bottom-line trend. Although the company’s top and bottom lines beat the consensus Estimate, the metrics fell year over year in first-quarter fiscal 2020. Soft retail traffic and tough consumer environment in the U.K. dented results. Such downsides led management to trim fiscal 2020 view. These apart, drab performance in International segment along with rising SG&A expenses is a concern. However, the company is focused on cost-containment efforts, optimization of store base and inventory management. In this regard, it is on track with the ‘Signet Path to Brilliance’ plan, which is designed to augment savings, engage in customer-centric growth and bolster e-commerce. Also, increasing trend in gross margin may aid the company’s bottom line to some extent.”
Several other equities research analysts also recently issued reports on the stock. Nomura cut their target price on shares of Signet Jewelers from $28.00 to $21.00 and set a neutral rating for the company in a research note on Friday, June 7th. Telsey Advisory Group reiterated a market perform rating and issued a $22.00 target price (down from $28.00) on shares of Signet Jewelers in a research note on Monday, June 3rd. Finally, Bank of America cut their target price on shares of Signet Jewelers from $30.00 to $20.00 and set a neutral rating for the company in a research note on Friday, June 7th. Two investment analysts have rated the stock with a sell rating and seven have assigned a hold rating to the stock. Signet Jewelers has a consensus rating of Hold and an average target price of $26.68.
Signet Jewelers (NYSE:SIG) last issued its earnings results on Thursday, June 6th. The company reported $0.08 earnings per share (EPS) for the quarter, beating the Thomson Reuters’ consensus estimate of ($0.24) by $0.32. Signet Jewelers had a negative net margin of 2.76% and a positive return on equity of 16.90%. The business had revenue of $1.43 billion during the quarter, compared to the consensus estimate of $1.42 billion. During the same period last year, the business posted $0.10 EPS. Signet Jewelers’s revenue was down 3.3% on a year-over-year basis. Equities research analysts anticipate that Signet Jewelers will post 3.05 earnings per share for the current year.
The business also recently declared a quarterly dividend, which will be paid on Friday, August 30th. Shareholders of record on Friday, August 2nd will be issued a $0.37 dividend. The ex-dividend date is Thursday, August 1st. This represents a $1.48 annualized dividend and a yield of 11.49%. Signet Jewelers’s dividend payout ratio is currently 39.78%.
A number of institutional investors have recently added to or reduced their stakes in SIG. Norges Bank bought a new position in Signet Jewelers in the 4th quarter valued at about $25,113,000. Canada Pension Plan Investment Board raised its holdings in Signet Jewelers by 65.8% in the 2nd quarter. Canada Pension Plan Investment Board now owns 1,119,035 shares of the company’s stock valued at $20,008,000 after acquiring an additional 444,017 shares during the period. Robeco Institutional Asset Management B.V. raised its holdings in Signet Jewelers by 89.1% in the 2nd quarter. Robeco Institutional Asset Management B.V. now owns 741,588 shares of the company’s stock valued at $13,261,000 after acquiring an additional 349,327 shares during the period. Atria Investments LLC bought a new position in Signet Jewelers in the 2nd quarter valued at about $71,822,000. Finally, JPMorgan Chase & Co. raised its holdings in Signet Jewelers by 124.0% in the 2nd quarter. JPMorgan Chase & Co. now owns 375,925 shares of the company’s stock valued at $6,646,000 after acquiring an additional 208,090 shares during the period.
About Signet Jewelers
Signet Jewelers Limited engages in the retail sale of diamond jewelry, watches, and other products. As of February 02, 2019, it operated 3,334 stores and kiosks. The company operates through three segments: North America, International, and Other. The North America segment operates stores in malls and off-mall locations primarily under the Kay Jewelers, Kay Jewelers Outlet, Jared The Galleria Of Jewelry, Jared Vault, Zales Jewelers, Zales Outlet, Piercing Pagoda, Peoples Jewellers, Gordon's Jewelers, and Mappins Jewellers regional banners; and JamesAllen.com, an online jewelry retailer Website.
Recommended Story: What is Liquidity?
For more information about research offerings from Zacks Investment Research, visit Zacks.com
Receive News & Ratings for Signet Jewelers Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Signet Jewelers and related companies with MarketBeat.com's FREE daily email newsletter.