Signet Jewelers (SIG) AI Stock Analysis

• Market Cap: $3.57B
• Dividend Yield: 1.37%
• Average Volume (3M): 1.00M
• Price to Earnings (P/E): 94.2
• Beta (1Y): 1.20
• Revenue Growth: -3.98%
• EPS Growth: -93.50%
• Country: US
• Employees: 27,595
• Sector: Consumer Cyclical
• Sector Strength: 71
• Industry: Luxury Goods
• EPS (TTM): 1.18
• Shares Outstanding: 41,150,234
• 10 Day Avg. Volume: 958,466
• 30 Day Avg. Volume: 1,000,639
• PEG Ratio: 0.37
• Price to Book (P/B): 1.91
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 8.06
• Enterprise Value/Market Cap: 1.17
• Enterprise Value/Revenue: 0.15
• Enterprise Value/Gross Profit: 1.57
• Enterprise Value/Ebitda: 1.52
• 1Y Price Target: $85.00
• Price Target Upside: -2.02% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 7

• Rating: 75 Outperform
• Price Target: $93.00 ▲(7.20%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 turned positive for the first time in 12 quarters, reaching a growth of 2.3%.

Product Offering

Signet's focus on lab-grown diamonds resulted in a 60% growth in this segment and an 8% increase in average unit retail.

Strategic Initiatives

Signet's Grow Brand Love strategy is showing early positive signs, leading to an increase in the price objective to $78.

Negative Factors

Jewelry Market Trend

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

Market Environment

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

Signet Jewelers Business Overview & Revenue Model

Company Description

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 Jewelers, Zales Outlet, Diamonds Direct, James Allen, Banter by Piercing Pagoda, and Peoples Jewellers names, as well as operates online through JamesAllen.com and Rocksbox. The International segment operates stores in shopping malls and off-mall locations primarily under the H.Samuel and Ernest Jones brands in the United Kingdom, Republic of Ireland, and Channel Islands. The Other segment is involved in the purchase and conversion of rough diamonds to polished stones, as well as the provision of diamond polishing services. As of January 29, 2022, it operated 2,854 stores and kiosks. Signet Jewelers Limited is based in Hamilton, Bermuda.

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

Signet Jewelers Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 86.75
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

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 86.75 is above the 20-day moving average (MA) of 81.72, above the 50-day MA of 76.08, and above the 200-day MA of 72.74, indicating a bullish trend. The MACD of 2.08 indicates Negative momentum. The RSI at 66.61 is Neutral, neither overbought nor oversold. The STOCH value of 85.81 is Negative, 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	$3.57B	94.16	2.04%	1.37%	-3.98%	-93.50%
ELA	68 Neutral	$159.87M	21.84	14.06%	―	15.71%	15.03%
MOV	63 Neutral	$260.19M	20.39	3.67%	10.61%	-1.36%	-54.97%
Sector *	57 Neutral	HK$26.32B	4.03	-2.03%	5.52%	-0.23%	-68.02%
BRLT	50 Neutral	$164.86M	―	-0.45%	―	-6.12%	-105.56%
CTHR	44 Neutral	$935.48K	―		―	―	―
BGI	40 Underperform	$16.90M	―	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.