Signet Jewelers Limited Common Shares (SIG) Company Bio
Signet Jewelers is the world's largest retailer of diamond jewelry. Signet operates approximately 3,600 stores primarily under the name brands of Kay Jewelers, Zales, Jared The Galleria Of Jewelry, H.Samuel, Ernest Jones, Peoples and Piercing Pagoda. The company was founded in 1950 and is based in Hamilton, Bermuda.
SIG Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for SIG, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Signet Jewelers Ltd ranked in the 91th percentile in terms of potential gain offered. More precisely, our analysis suggests the stock is undervalued by approximately 2393.17% on a DCF basis. In terms of the factors that were most noteworthy in this DCF analysis for SIG, they are:
20% of the company's capital comes from equity, which is greater than just 8.58% of stocks in our cash flow based forecasting set.
Signet Jewelers Ltd's weighted average cost of capital (WACC) is 5%; for context, that number is higher than just 0.61% of tickers in our DCF set.
Relative to other stocks in its sector (Consumer Cyclical), Signet Jewelers Ltd has a reliance on debt greater than 88.28% of them.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
SCVL, MHK, PRTY, EYE, and MLR can be thought of as valuation peers to SIG, in the sense that they are in the Consumer Cyclical sector and have a similar price forecast based on DCF valuation.
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HAMILTON, Bermuda, May 4, 2020 /PRNewswire/ -- Signet Jewelers Limited ("Signet") (NYSE:SIG), the world's largest retailer of diamond jewelry, today announced the appointment of Vincent ("Vinnie") Sinisi as Senior Vice President, Investor Relations. His appointment follows Signet's…