Signet Jewelers Valuation

Is SIG undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of SIG when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: SIG ($100.17) is trading below our estimate of fair value ($245.87)

Significantly Below Fair Value: SIG is trading below fair value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for SIG?

Key metric: As SIG is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for SIG. This is calculated by dividing SIG's market cap by their current earnings.
What is SIG's PE Ratio?
PE Ratio9.2x
EarningsUS$479.00m
Market CapUS$4.26b

Price to Earnings Ratio vs Peers

How does SIG's PE Ratio compare to its peers?

The above table shows the PE ratio for SIG vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average13.1x
ASO Academy Sports and Outdoors
6.6x3.3%US$3.2b
FIVE Five Below
16.3x4.4%US$4.6b
BBWI Bath & Body Works
7.2x-0.5%US$6.7b
UPBD Upbound Group
22.2x28.3%US$1.8b
SIG Signet Jewelers
9.2x9.4%US$4.3b

Price-To-Earnings vs Peers: SIG is good value based on its Price-To-Earnings Ratio (9.2x) compared to the peer average (13.1x).


Price to Earnings Ratio vs Industry

How does SIG's PE Ratio compare vs other companies in the US Specialty Retail Industry?

6 CompaniesPrice / EarningsEstimated GrowthMarket Cap
TKLF Tokyo Lifestyle
1.8xn/aUS$15.11m
SSOK Sunstock
1.4xn/aUS$1.02m
MASN Maison Luxe
0.08xn/aUS$168.03k
FTCH.Q Farfetch
n/an/aUS$39.55k
SIG 9.2xIndustry Avg. 16.8xNo. of Companies13PE01224364860+
6 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: SIG is good value based on its Price-To-Earnings Ratio (9.2x) compared to the US Specialty Retail industry average (16.7x).


Price to Earnings Ratio vs Fair Ratio

What is SIG's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

SIG PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio9.2x
Fair PE Ratio15.7x

Price-To-Earnings vs Fair Ratio: SIG is good value based on its Price-To-Earnings Ratio (9.2x) compared to the estimated Fair Price-To-Earnings Ratio (15.7x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst SIG forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$100.17
US$110.40
+10.2%
15.1%US$136.00US$87.00n/a5
Nov ’25US$92.05
US$110.40
+19.9%
15.1%US$136.00US$87.00n/a5
Oct ’25US$94.98
US$109.40
+15.2%
15.3%US$136.00US$87.00n/a5
Sep ’25US$84.10
US$116.40
+38.4%
13.1%US$145.00US$105.00n/a5
Aug ’25US$82.08
US$120.40
+46.7%
11.9%US$145.00US$105.00n/a5
Jul ’25US$87.45
US$120.40
+37.7%
11.9%US$145.00US$105.00n/a5
Jun ’25US$109.49
US$123.20
+12.5%
12.0%US$152.00US$110.00n/a5
May ’25US$95.95
US$122.30
+27.5%
11.2%US$152.00US$110.00n/a6
Apr ’25US$98.71
US$114.13
+15.6%
9.2%US$128.00US$100.00n/a6
Mar ’25US$101.57
US$115.40
+13.6%
13.5%US$138.00US$90.00n/a5
Feb ’25US$100.44
US$115.40
+14.9%
13.5%US$138.00US$90.00n/a5
Jan ’25US$107.26
US$106.80
-0.4%
11.5%US$120.00US$90.00n/a5
Dec ’24US$85.39
US$90.20
+5.6%
7.5%US$100.00US$82.00n/a5
Nov ’24US$69.84
US$88.00
+26.0%
8.3%US$100.00US$82.00US$92.055
Oct ’24US$71.81
US$88.00
+22.5%
8.3%US$100.00US$82.00US$94.985
Sep ’24US$78.62
US$85.20
+8.4%
12.8%US$100.00US$68.00US$84.105
Aug ’24US$79.37
US$82.50
+3.9%
15.6%US$100.00US$68.00US$82.086
Jul ’24US$65.26
US$82.50
+26.4%
15.6%US$100.00US$68.00US$87.456
Jun ’24US$61.78
US$92.17
+49.2%
8.0%US$100.00US$82.00US$109.496
May ’24US$70.60
US$92.17
+30.5%
8.0%US$100.00US$82.00US$95.956
Apr ’24US$77.78
US$90.50
+16.4%
10.6%US$100.00US$75.00US$98.716
Mar ’24US$71.63
US$85.50
+19.4%
8.0%US$92.00US$75.00US$101.576
Feb ’24US$79.49
US$83.33
+4.8%
9.3%US$92.00US$75.00US$100.446
Jan ’24US$68.00
US$83.50
+22.8%
9.5%US$93.00US$75.00US$107.266
Dec ’23US$63.30
US$75.67
+19.5%
14.7%US$90.00US$60.00US$85.396
Nov ’23US$66.57
US$74.33
+11.7%
13.4%US$90.00US$60.00US$69.846

Analyst Forecast: Target price is less than 20% higher than the current share price.


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