Signet Jewelers (NYSE:SIG) Shares Gap Up on Better-Than-Expected Earnings

Signet Jewelers Limited (NYSE:SIG)’s stock price gapped up before the market opened on Thursday following a stronger than expected earnings report. The stock had previously closed at $78.09, but opened at $89.85. Signet Jewelers shares last traded at $91.32, with a volume of 679,573 shares changing hands.

The company reported $1.25 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.14 by $0.11. The firm had revenue of $1.49 billion during the quarter, compared to the consensus estimate of $1.50 billion. Signet Jewelers had a net margin of 10.91% and a return on equity of 32.51%. Signet Jewelers’s revenue was down 7.6% compared to the same quarter last year. During the same period in the previous year, the firm earned $1.55 earnings per share.

Signet Jewelers Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, November 22nd. Shareholders of record on Friday, October 25th will be given a dividend of $0.29 per share. This represents a $1.16 dividend on an annualized basis and a yield of 1.27%. The ex-dividend date is Friday, October 25th. Signet Jewelers’s dividend payout ratio (DPR) is presently 9.43%.

Analyst Ratings Changes

Several equities analysts have recently weighed in on the company. StockNews.com lowered Signet Jewelers from a “buy” rating to a “hold” rating in a research note on Wednesday, September 4th. Telsey Advisory Group decreased their price objective on shares of Signet Jewelers from $105.00 to $87.00 and set a “market perform” rating for the company in a research note on Monday, September 9th. Citigroup reissued a “buy” rating and issued a $119.00 target price on shares of Signet Jewelers in a research note on Friday, June 14th. Bank of America decreased their price target on shares of Signet Jewelers from $108.00 to $100.00 and set a “neutral” rating for the company in a research report on Friday. Finally, Wells Fargo & Company cut their price objective on Signet Jewelers from $125.00 to $105.00 and set an “overweight” rating on the stock in a research report on Tuesday, August 27th. Three investment analysts have rated the stock with a hold rating and three have given a buy rating to the company. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $108.60.

Insider Activity

In related news, insider Oded Edelman sold 9,000 shares of Signet Jewelers stock in a transaction on Wednesday, August 14th. The shares were sold at an average price of $74.55, for a total transaction of $670,950.00. Following the sale, the insider now owns 28,398 shares of the company’s stock, valued at approximately $2,117,070.90. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. In other news, insider Rebecca Wooters sold 3,000 shares of the stock in a transaction that occurred on Monday, June 24th. The stock was sold at an average price of $90.34, for a total transaction of $271,020.00. Following the completion of the transaction, the insider now directly owns 90,494 shares in the company, valued at approximately $8,175,227.96. The transaction was disclosed in a document filed with the SEC, which is accessible through this link. Also, insider Oded Edelman sold 9,000 shares of Signet Jewelers stock in a transaction on Wednesday, August 14th. The stock was sold at an average price of $74.55, for a total transaction of $670,950.00. Following the completion of the sale, the insider now owns 28,398 shares of the company’s stock, valued at approximately $2,117,070.90. The disclosure for this sale can be found here. Over the last three months, insiders sold 57,439 shares of company stock worth $4,809,869. 3.26% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in the stock. Nordea Investment Management AB increased its holdings in shares of Signet Jewelers by 25.0% in the 1st quarter. Nordea Investment Management AB now owns 76,951 shares of the company’s stock valued at $7,627,000 after acquiring an additional 15,376 shares during the last quarter. Cetera Advisors LLC acquired a new stake in shares of Signet Jewelers during the first quarter worth $1,093,000. Illinois Municipal Retirement Fund lifted its position in shares of Signet Jewelers by 97.3% in the 1st quarter. Illinois Municipal Retirement Fund now owns 45,593 shares of the company’s stock worth $4,562,000 after buying an additional 22,482 shares during the last quarter. Cambridge Investment Research Advisors Inc. acquired a new position in shares of Signet Jewelers in the 4th quarter valued at about $1,370,000. Finally, BNP Paribas Financial Markets grew its position in shares of Signet Jewelers by 28.2% during the 4th quarter. BNP Paribas Financial Markets now owns 65,723 shares of the company’s stock valued at $7,049,000 after buying an additional 14,465 shares during the last quarter.

Signet Jewelers Stock Up 4.8 %

The firm’s 50 day moving average is $81.40 and its two-hundred day moving average is $92.26. The stock has a market cap of $4.07 billion, a price-to-earnings ratio of 7.41, a price-to-earnings-growth ratio of 0.85 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.