Signet Jewelers (NYSE:SIG) Shares Gap Down After Earnings Miss

Signet Jewelers Limited (NYSE:SIG)’s share price gapped down before the market opened on Thursday following a dissappointing earnings announcement. The stock had previously closed at $98.73, but opened at $85.44. Signet Jewelers shares last traded at $88.07, with a volume of 1,397,905 shares trading hands.

The company reported $0.24 earnings per share for the quarter, missing the consensus estimate of $0.29 by ($0.05). Signet Jewelers had a return on equity of 29.90% and a net margin of 8.58%. The business had revenue of $1.35 billion during the quarter, compared to the consensus estimate of $1.37 billion. During the same period in the prior year, the firm earned $0.24 EPS. The business’s revenue for the quarter was down 3.1% compared to the same quarter last year.

Signet Jewelers Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Friday, February 21st. Investors of record on Friday, January 24th will be issued a $0.29 dividend. The ex-dividend date is Friday, January 24th. This represents a $1.16 annualized dividend and a yield of 1.26%. Signet Jewelers’s payout ratio is 13.35%.

Wall Street Analysts Forecast Growth

Several equities analysts recently issued reports on SIG shares. Bank of America dropped their target price on shares of Signet Jewelers from $108.00 to $100.00 and set a “neutral” rating on the stock in a report on Friday, September 13th. UBS Group dropped their target price on shares of Signet Jewelers from $145.00 to $132.00 and set a “buy” rating on the stock in a report on Wednesday, September 11th. Telsey Advisory Group restated a “market perform” rating and issued a $87.00 target price on shares of Signet Jewelers in a report on Thursday. StockNews.com lowered shares of Signet Jewelers from a “buy” rating to a “hold” rating in a report on Friday. Finally, Wells Fargo & Company boosted their target price on shares of Signet Jewelers from $105.00 to $110.00 and gave the company an “overweight” rating in a report on Wednesday, October 23rd. Three equities research analysts have rated the stock with a hold rating and three have assigned a buy rating to the company. According to data from MarketBeat.com, Signet Jewelers currently has a consensus rating of “Moderate Buy” and a consensus price target of $109.60.

Insider Activity

In related news, insider Oded Edelman sold 1,398 shares of the company’s stock in a transaction dated Wednesday, October 2nd. The shares were sold at an average price of $94.53, for a total value of $132,152.94. Following the sale, the insider now owns 32,666 shares in the company, valued at $3,087,916.98. This represents a 4.10 % decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, CEO Virginia Drosos sold 3,475 shares of the company’s stock in a transaction dated Thursday, September 26th. The stock was sold at an average price of $101.67, for a total transaction of $353,303.25. Following the completion of the sale, the chief executive officer now directly owns 775,345 shares of the company’s stock, valued at $78,829,326.15. The trade was a 0.45 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 46,957 shares of company stock worth $4,599,306. Company insiders own 3.26% of the company’s stock.

Institutional Investors Weigh In On Signet Jewelers

Institutional investors have recently added to or reduced their stakes in the company. Harbor Capital Advisors Inc. bought a new stake in Signet Jewelers in the 3rd quarter worth about $25,000. Brown Brothers Harriman & Co. bought a new stake in Signet Jewelers in the 2nd quarter worth about $51,000. Hexagon Capital Partners LLC grew its position in Signet Jewelers by 33.4% in the 2nd quarter. Hexagon Capital Partners LLC now owns 699 shares of the company’s stock worth $63,000 after purchasing an additional 175 shares in the last quarter. Erste Asset Management GmbH bought a new stake in Signet Jewelers in the 3rd quarter worth about $77,000. Finally, Blue Trust Inc. grew its position in Signet Jewelers by 15.3% in the 2nd quarter. Blue Trust Inc. now owns 917 shares of the company’s stock worth $82,000 after purchasing an additional 122 shares in the last quarter.

Signet Jewelers Trading Up 5.6 %

The stock’s 50-day simple moving average is $96.90 and its 200-day simple moving average is $91.55. The firm has a market capitalization of $4.04 billion, a P/E ratio of 10.56, a P/E/G ratio of 1.11 and a beta of 2.10.

About Signet Jewelers

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 Outlet, Zales Jewelers, Diamonds Direct, James Allen, Banter by Piercing Pagoda, and Peoples Jewellers names, as well as operates online through its digital banners, James Allen and Blue Nile.