Signet: A Jewel of a Value Stock

NYSE: SIG | Signet Jewelers Limited Common Shares News, Ratings, and Charts

SIG – With valuations sky high on many stocks, you might think it would be hard to find a great value stock. But that’s not the case if you use our POWR Ratings service. Signet Jewelers Limited (SIG) is not only trading at a low valuation, but is also growing, giving you the best of both worlds.

Signet Jewelers Limited (SIG) is one of the seven stocks featured in a new special report. Claim your copy now! 7 SEVERELY Undervalued Stocks. 

Signet Jewelers Limited (SIG) is a retailer of diamond jewelry. Its merchandise mix includes bridal, fashion, watches, and others. The bridal category includes engagement, wedding, and anniversary purchases. You may know its brands that include Kay, Jared, Zales, and Piercing Pagoda. 

Its Canadian stores operate as Peoples Jewellers and Mappins Jewellers. Outside of North America, is legacy UK Jewelry division operates stores in the United Kingdom, Republic of Ireland, and the Channel Islands. These stores operate as H.Samuel and Ernest Jones in shopping malls and off-mall locations.

The company had strong fiscal 2022 first-quarter results where both revenue and earnings topped analyst expectations and rose year over year. This was the company’s fourth straight quarter, where sales and earnings beat estimates. These results were driven by robust growth in its e-commerce channel. 

E-commerce sales came in at $346.3 million, up 110.3% from the prior year quarter. SIG also saw broad growth across most regions, channels, and categories. Sales during the quarter were also supported by higher conversion and higher average order value. In fact, same-store sales surged 106.5% year over year.

These results also led to improved guidance for the second-quarter fiscal 2022. Management now expects revenues in the range of $1.6 to $1.65 billion. This is significantly higher than the $888 million generated in the year-ago quarter. 

The company also expects same-store sales between 76% and 82% in the second quarter and has raised projections for fiscal 2022. Management now expects revenues in the range of $6.50-$6.65 billion, higher than the previous projection of between $6 and $6.14 billion.

Like many other companies now, SIG has invested in boosting its online shopping experience. The company is even on track to lead digital commerce in the jewelry industry. Management has been looking into combining the digital and in-store experience to help it gain a competitive edge. 

It has been integrating its physical stores into the digital customer experience through data-driven in-store consultations and options such as buy online pickup in-store and curbside. SIG is also making interaction a part of its websites, stores, and inventory pipeline.

So far, the company has added more than 100 features and capabilities across its digital platforms. It also rolled out the Google Business Messages and Apple Business Chat features. This allows customers to engage in virtual jewelry consultants in real-time or offline from search results or maps. 

Plus, the company has been introducing technology tools such as conversational messaging, improved text search, and virtual try-on and consulting. SIG also recently bought Rocksbox, a jewelry rental subscription service. This should also provide a boost to the company’s online service offerings. 

The buyout lines up with SIG’s Inspiring Brilliance strategy. This growth strategy focuses on expanding its big banners, boosting its service revenues, and broadening the Accessible Luxury and Value segments.

SIG has an overall grade of A, translating into a Strong Buy rating in our POWR Ratings system. The company has a Growth Grade of A, which makes sense as analysts expect earnings to rise 301.4% in the current year.

The company also has a Value Grade of B due as its forward P/E is a paltry 11.95. We also provide Momentum, Stability, Sentiment, and Quality grades for SIG, which you can find here. SIG is ranked #7 in the A-rated Fashion & Luxury industry. For more top stocks in this industry, click here

Want to Find More Great Value Stocks? 

Then get your hands on the just-released special report featuring the best value stocks for 2021. Just click the link below to claim your copy!

7 SEVERELY Undervalued Stocks


SIG shares were trading at $74.91 per share on Wednesday afternoon, down $3.07 (-3.94%). Year-to-date, SIG has gained 175.46%, versus a 21.29% rise in the benchmark S&P 500 index during the same period.


About the Author: David Cohne


David Cohne has 20 years of experience as an investment analyst and writer. He is the Chief Value Strategist for StockNews.com and the editor of POWR Value newsletter. Prior to StockNews, David spent eleven years as a consultant providing outsourced investment research and content to financial services companies, hedge funds, and online publications. David enjoys researching and writing about stocks and the markets. He takes a fundamental quantitative approach in evaluating stocks for readers. More...


More Resources for the Stocks in this Article

TickerPOWR RatingIndustry RankRank in Industry
SIGGet RatingGet RatingGet Rating

Most Popular Stories on StockNews.com


:  |  News, Ratings, and Charts

2022 Stock Market Outlook

The stock market (SPY) has continued on a bullish path in 2021. Will that continue in 2022? And what could happen to awaken the bear market from hibernation? 40 year investment veteran Steve Reitmeister explores this and more in this early edition of his 2022 Stock Market Outlook. Read on for full details below...

:  |  News, Ratings, and Charts

How Recent Bearish Sentiment Will Impact the Stock Market

Last week, the S&P 500 (SPY) fell during a short trading week. Multiple factors were weighing on investor sentiment. First was September's history for being a weaker month for stock performance. In addition, the previous week's August payrolls miss seemed to linger on investors' minds due to concerns that the delta variant of COVID was slowing the rebound in the economy. The real estate sector led declines as long-term interest rates increased. Consumer staples and utility stocks performed the best. In terms of market cap, the small-cap Russell 2000 Index underperformed the market after two strong weeks of outperforming the larger benchmarks. Growth stocks also outperformed Value stocks. I’ll discuss this and more below…

:  |  News, Ratings, and Charts

How to Turn Low Priced Stocks into BIG Winners?

Some investors are into growth stocks...some prefer value stocks while others are into momentum, income, chart patterns, insider trading and more. But one area that most investors agree upon is the great appeal in buying low priced stocks. Like those under $10 given the potential that prices soar and you easily beat the stock market (SPY). Read on to discover our brand new strategy for selecting low priced stocks that has led to a surprising +62.88% average annual return. Get the rest below...

:  |  News, Ratings, and Charts

3 Growth Stocks You Can Buy at a Reasonable Price

Even with growth stocks falling last week, investors are still pouring money into companies with strong growth potential. When you add in a value component, you get the best of both worlds. That's why investors should consider growth at a reasonable price stocks such as Westlake Chemical Corporation (WLK), ManpowerGroup (MAN), AutoNation, Inc. (AN).

:  |  News, Ratings, and Charts

How to Turn Low Priced Stocks into BIG Winners?

Some investors are into growth stocks...some prefer value stocks while others are into momentum, income, chart patterns, insider trading and more. But one area that most investors agree upon is the great appeal in buying low priced stocks. Like those under $10 given the potential that prices soar and you easily beat the stock market (SPY). Read on to discover our brand new strategy for selecting low priced stocks that has led to a surprising +62.88% average annual return. Get the rest below...

Read More Stories

More Signet Jewelers Limited Common Shares (SIG) News View All

Event/Date Symbol News Detail Start Price End Price Change POWR Rating
Loading, please wait...
View All SIG News