Signet Jewelers (NYSE:SIG) Shares Gap Down – Should You Sell?

Signet Jewelers Limited (NYSE:SIG)’s stock price gapped down before the market opened on Friday . The stock had previously closed at $90.05, but opened at $87.92. Signet Jewelers shares last traded at $84.4390, with a volume of 300,239 shares traded.

Analyst Upgrades and Downgrades

A number of equities research analysts have weighed in on SIG shares. Wall Street Zen lowered Signet Jewelers from a “strong-buy” rating to a “buy” rating in a research report on Sunday, January 4th. Stephens assumed coverage on shares of Signet Jewelers in a report on Tuesday, November 11th. They set an “overweight” rating and a $150.00 target price on the stock. Jefferies Financial Group upped their price target on shares of Signet Jewelers from $130.00 to $150.00 and gave the stock a “buy” rating in a research report on Wednesday, December 10th. Weiss Ratings reissued a “hold (c)” rating on shares of Signet Jewelers in a report on Wednesday, October 8th. Finally, UBS Group restated a “buy” rating on shares of Signet Jewelers in a report on Wednesday, December 31st. Five equities research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company’s stock. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus price target of $109.67.

Signet Jewelers Stock Performance

The firm has a market cap of $3.50 billion, a price-to-earnings ratio of 25.69, a price-to-earnings-growth ratio of 1.11 and a beta of 1.18. The stock’s 50 day simple moving average is $92.05 and its 200-day simple moving average is $89.86.

Signet Jewelers (NYSE:SIG) last posted its earnings results on Tuesday, December 2nd. The company reported $0.63 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.16 by $0.47. Signet Jewelers had a net margin of 2.13% and a return on equity of 24.44%. The company had revenue of $1.39 billion during the quarter, compared to the consensus estimate of $1.36 billion. During the same period in the previous year, the firm posted $0.25 earnings per share. The firm’s quarterly revenue was up 3.1% on a year-over-year basis. Signet Jewelers has set its FY 2026 guidance at 8.430-9.59 EPS. On average, analysts expect that Signet Jewelers Limited will post 8.73 EPS for the current fiscal year.

Signet Jewelers Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, February 20th. Investors of record on Friday, January 23rd will be issued a dividend of $0.32 per share. The ex-dividend date of this dividend is Friday, January 23rd. This represents a $1.28 dividend on an annualized basis and a yield of 1.5%. Signet Jewelers’s dividend payout ratio is 38.21%.

Institutional Investors Weigh In On Signet Jewelers

Several hedge funds have recently modified their holdings of SIG. Hood River Capital Management LLC purchased a new position in Signet Jewelers during the second quarter worth approximately $56,537,000. Arrowstreet Capital Limited Partnership lifted its position in shares of Signet Jewelers by 321.8% during the 2nd quarter. Arrowstreet Capital Limited Partnership now owns 861,769 shares of the company’s stock valued at $68,554,000 after buying an additional 657,444 shares in the last quarter. Divisadero Street Capital Management LP purchased a new position in Signet Jewelers during the second quarter valued at $50,342,000. Bowen Hanes & Co. Inc. purchased a new stake in shares of Signet Jewelers during the third quarter worth about $47,837,000. Finally, LSV Asset Management lifted its position in shares of Signet Jewelers by 263.4% in the third quarter. LSV Asset Management now owns 567,300 shares of the company’s stock valued at $54,415,000 after acquiring an additional 411,200 shares in the last quarter.

About Signet Jewelers

Signet Jewelers Ltd is the world’s largest retailer of diamond jewelry, operating a diversified network of retail stores across the United States, Canada, the United Kingdom and Ireland. Its portfolio includes well-established banners such as Kay Jewelers, Zales, Jared The Galleria of Jewelry, H.Samuel, Ernest Jones, Peoples and Piercing Pagoda, offering customers a range of shopping environments from suburban malls to high-street locations.

The company’s product assortment encompasses engagement rings, wedding bands, fine fashion jewelry and timepieces, complemented by services including jewelry cleaning, repairs, appraisals and extended care plans.