Signet Jewelers (SIG) AI Stock Analysis

• Market Cap: $3.45B
• Dividend Yield: 1.52%
• Average Volume (3M): 1.24M
• Price to Earnings (P/E): 91.1
• Beta (1Y): 1.18
• Revenue Growth: -3.98%
• EPS Growth: -93.50%
• Country: US
• Employees: 27,595
• Sector: Consumer Cyclical
• Sector Strength: 56
• Industry: Luxury Goods
• EPS (TTM): 1.18
• Shares Outstanding: 41,150,234
• 10 Day Avg. Volume: 1,199,776
• 30 Day Avg. Volume: 1,238,346
• PEG Ratio: 0.38
• Price to Book (P/B): 1.97
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 8.32
• Enterprise Value/Market Cap: 1.25
• Enterprise Value/Revenue: 0.16
• Enterprise Value/Gross Profit: 1.62
• Enterprise Value/Ebitda: 1.57
• 1Y Price Target: $87.14
• Price Target Upside: 3.79% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 7

• Rating: 75 Outperform
• Price Target: $93.00 ▲(10.77%Upside)

Signet Jewelers' overall stock score reflects a balance of strong technical momentum and positive earnings sentiment against valuation concerns and strategic restructuring risks. The company's robust cash flow and improved brand alignment are significant strengths, but the high P/E ratio and potential challenges from reorganization and tariffs present notable risks.

Positive Factors

Financial Performance

Signet's North America comp sales have turned positive for the first time in 12 quarters, reaching a growth of 2.3%.

Valuation

Signet shares are trading at a low valuation of approximately 6x consensus F'27 adjusted EBITDA estimate, making them too cheap to ignore.

Negative Factors

Consumer Environment

The consumer environment remains uncertain, significantly impacting Signet's full-year guidance as much of their earnings depend on the holiday quarter.

Market Trends

Jewelry category spend was down 5.8% in 1Q, indicating a deceleration compared to the previous quarter.

Signet Jewelers Business Overview & Revenue Model

Company Description

Signet Jewelers (SIG) is a leading retailer in the specialty retail jewelry sector, operating primarily in the United States, United Kingdom, and Canada. The company owns well-known brands such as Kay Jewelers, Zales, Jared The Galleria of Jewelry, and H. Samuel, among others. Signet offers a diverse range of jewelry products, including diamond rings, necklaces, bracelets, and watches, catering to different customer segments and occasions.

How the Company Makes Money

Signet Jewelers generates revenue primarily through the sale of jewelry and related accessories. The company's revenue streams include income from its physical retail stores and e-commerce platforms. Key to its earnings are its diverse brand portfolio and extensive retail network, which allow it to reach a wide demographic. Signet also benefits from its customer financing programs, which provide an additional revenue stream through interest income. Additionally, the company engages in strategic partnerships and marketing initiatives to drive sales and enhance brand visibility. Seasonal demand, particularly around holidays and special occasions, significantly influences its revenue patterns.

Signet Jewelers Financial Statement Overview

Summary

Signet Jewelers displays a mixed financial performance. While the income statement reveals declining revenues and margins, the balance sheet maintains a stable leverage profile. Cash flow remains strong, reflecting efficient cash management. The company faces challenges in revitalizing revenue growth and improving profitability, but its cash flow strength provides a buffer against short-term volatility.

Income Statement

The income statement shows a declining trend in revenue and profitability. The gross profit margin for TTM (Trailing-Twelve-Months) is approximately 39.37%, while the net profit margin is about 0.63%. The company has seen a significant decrease in EBIT margin to 1.62% and EBITDA margin to 9.87% in the TTM period. Revenue growth has been negative over the past years, indicating declining sales performance.

Balance Sheet

The balance sheet reflects a stable financial position but with some concerning trends. The debt-to-equity ratio is 0.67 in the TTM period, suggesting moderate leverage. Return on equity (ROE) has declined significantly to 2.40%, reflecting reduced profitability. The equity ratio stands at 32.57%, indicating a solid equity position but a decrease from previous years.

Cash Flow

The cash flow statement shows robust free cash flow generation of $407.5 million, although it has decreased compared to previous years. The operating cash flow to net income ratio is strong at 13.47, indicating efficient cash generation relative to net income. The free cash flow to net income ratio is 9.56, highlighting substantial cash generation capabilities despite lower net income.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	6.73B	6.70B	7.17B	7.84B	7.83B	5.23B
Gross Profit	2.65B	2.63B	2.83B	3.05B	3.12B	1.73B
EBITDA	665.10M	651.20M	789.60M	629.20M	1.06B	118.30M
Net Income	42.60M	61.20M	810.40M	376.70M	769.90M	-15.20M
Balance Sheet
Total Assets	5.45B	5.73B	6.81B	6.62B	6.58B	6.18B
Cash, Cash Equivalents and Short-Term Investments	264.10M	604.00M	1.38B	1.17B	1.42B	1.17B
Total Debt	1.18B	1.18B	1.24B	1.33B	1.45B	1.67B
Total Liabilities	3.68B	3.87B	3.99B	4.39B	4.36B	4.35B
Stockholders Equity	1.78B	1.85B	2.82B	2.23B	2.22B	1.83B
Cash Flow
Free Cash Flow	407.50M	437.90M	421.40M	659.00M	1.13B	1.29B
Operating Cash Flow	573.80M	590.90M	546.90M	797.90M	1.26B	1.37B
Investing Cash Flow	-174.20M	-159.10M	-75.80M	-545.40M	-642.70M	-77.80M
Financing Cash Flow	-869.30M	-1.20B	-259.70M	-490.00M	-366.60M	-498.60M

Signet Jewelers Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 83.96
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SIG, the sentiment is Positive. The current price of 83.96 is above the 20-day moving average (MA) of 79.85, above the 50-day MA of 70.06, and above the 200-day MA of 73.69, indicating a bullish trend. The MACD of 3.67 indicates Positive momentum. The RSI at 65.37 is Neutral, neither overbought nor oversold. The STOCH value of 69.18 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SIG.

Signet Jewelers Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SIG	75 Outperform	$3.45B	91.09	2.04%	1.52%	-3.98%	-93.50%
ELA	71 Outperform	$159.35M	21.91	14.06%	―	15.71%	15.03%
MOV	63 Neutral	$251.04M	19.68	3.67%	8.80%	-1.36%	-54.97%
Sector *	56 Neutral	HK$23.71B	3.90	-1.57%	6.72%	0.06%	-64.88%
BRLT	47 Neutral	$137.05M	―	-0.45%	―	-6.12%	-105.56%
CTHR	45 Neutral	$1.09M	―		―	―	―
BGI	40 Underperform	$18.10M	―	89.94%	―	3.11%	11.94%

Signet Jewelers Corporate Events

Signet Jewelers Holds Annual General Meeting 2025

On July 1, 2025, Signet Jewelers Limited held its Annual General Meeting of Shareholders, where several key proposals were voted on. Eleven members were elected to the Board of Directors, KPMG LLP was appointed as the independent registered public accounting firm, and the compensation of the company’s named executive officers was approved on a non-binding advisory basis.

The most recent analyst rating on (SIG) stock is a Buy with a $132.00 price target. To see the full list of analyst forecasts on Signet Jewelers stock, see the SIG Stock Forecast page.

Signet Jewelers Announces Board Member Resignation

On June 27, 2025, Signet Jewelers Limited announced the resignation of Board member Jonathan Seiffer, effective after the Annual General Meeting on July 1, 2025. The Board will reduce its size from 12 to 11 members following his departure, and Seiffer’s resignation was not due to any disagreements with the company.

The most recent analyst rating on (SIG) stock is a Buy with a $132.00 price target. To see the full list of analyst forecasts on Signet Jewelers stock, see the SIG Stock Forecast page.

Signet Jewelers Announces Major Reorganization Plan

On May 12, 2025, Signet Jewelers Limited informed employees about a reorganization plan aligned with its Grow Brand Love strategy, which involves restructuring its brand and optimizing its store fleet in North America. The company anticipates incurring $30 million to $45 million in restructuring costs, including severance and store closure expenses, with the plan expected to be substantially completed by the end of Fiscal 2026, except for store fleet optimization, which will take two to three years.

The most recent analyst rating on (SIG) stock is a Buy with a $132.00 price target. To see the full list of analyst forecasts on Signet Jewelers stock, see the SIG Stock Forecast page.