Consensus estimates

Analysts expect Signet Jewelers (SIG) to post net sales of $2.1 billion in the fourth quarter, which implies a YoY decline of 6.5%. Signet’s top line is expected to take a hit from a decrease in comps. A drop in traffic owing to higher competition and increased promotional spending is likely to hurt Signet’s comps.

Signet’s legacy product line is expected to decline. Meanwhile, higher-than-expected credit costs are likely to remain a drag. Soft sales and pressure on margins from higher promotional investment are anticipated to hurt the bottom line of the company.

What Analysts Expect from Signet’s Fourth Quarter

Analysts expect Signet to post adjusted earnings of $3.82 per share in the fiscal fourth quarter, which implies a YoY decline of 10.7%.

In comparison, rival Tiffany (TIF) posted mixed fourth-quarter results on March 22. The company’s top line missed analysts’ estimate and declined on a YoY basis, reflecting lower tourist spending. Meanwhile, earnings came in ahead of analysts’ estimate thanks to benefits from tax adjustments.

Rating and target price

Among the ten analysts covering Signet Jewelers stock, nine analysts suggest a “hold,” and one analyst has a “sell” recommendation. Analysts have a target price of $26.50 per share on SIG stock, which is on par with its closing price on March 22.

Latest articles

German chip maker Infineon Technologies has reportedly raised 1.55 billion euros (~$1.74 billion) in capital by selling its shares to fund its acquisition of Cypress Semiconductor (CY). Infineon has sold ~113 million new shares at 13.70 euros each.

As of June 18, Dunkin’ Brands (DNKN) was trading at $80.07, an 8.9% rise since reporting its first-quarter earnings on May 2. Also, DNKN was trading at a premium of 29.8% from its 52-week low of $61.69 and a discount of 1.6% from its 52-week high of $81.40.

19 Jun

Are Lower Oil Prices Weighing on ExxonMobil Stock?

WRITTEN BY Maitali Ramkumar

ExxonMobil (XOM) stock has fallen 7.1% in the second quarter so far. Let's review ExxonMobil's stock performance in comparison to oil price changes and equity market movements in the quarter.

19 Jun

As Facebook Unveils Libra, MSFT and CRM Join a Blockchain Group

WRITTEN BY Mayur Sontakke, CFA, FRM

On June 18, Facebook (FB) launched Libra, its own cryptocurrency. On the same day, CoinDesk published another piece of blockchain news that didn’t receive as much fanfare as Facebook’s Libra news. Was the timing a coincidence? We think not.

Uber Technologies (UBER) has picked Melbourne as another test site for its flying taxi service known as UberAir. The Australian city is the first international test site Uber has chosen for its flying taxi service. The addition of Melbourne brings the number of test locations Uber has picked for its UberAir service to three.

Lyft (LYFT) and Uber Technologies (UBER) are pushing back against California legislation that would require them to recognize their drivers as employees rather than independent contractors. The legislation would require companies like Lyft to give their drivers the compensation and benefits spelled out under California’s employment regulations.

172.31.16.229