Why Signet Jewelers Shares Are Shining

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Shares of specialty retail jeweler Signet Jewelers (NYSE: SIG  ) rose 10% today after its November-December sales topped Wall Street expectations.

So what: Signet's strong holiday season -- total sales jumped 7.1% to $1.23 billion, while same-store sales rose 3.3% -- reinforces a great deal of optimism over the company's growth prospects going forward. Although the U.K. segment continues to struggle amid Europe's woes, Signet's U.S. operations, in which it derives more than 80% of its revenue, saw same-store sales increase a solid 4.7%.

Now what: Management now sees fourth-quarter EPS of $2.05-$2.10. "We believe that Signet is well positioned for fiscal 2014, and we will remain focused on providing our customers with an outstanding experience, while continuing to invest in the business to further our competitive strengths and create shareholder value," CEO Mike Barnes said in a statement. Of course, with the stock now up 30% over the past six months and hitting a new 52-week high, much of that optimism might already be baked into the price.

Interested in more info on Signet? Add it to your watchlist.


Read/Post Comments (0) | Recommend This Article (0)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2185626, ~/Articles/ArticleHandler.aspx, 9/18/2014 11:45:46 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...


Advertisement