UPDATE: Deutsche Bank Upgrades Signet Jewelers Ahead of Tuesday Investor Day

In a report published Monday, Deutsche Bank analyst Gilles Errico upgraded the rating on Signet Jewelers Ltd. SIG from Hold to Buy, and raised the price target from $73.00t o $85.00. In the report, Deutsche Bank noted, “Signet will host an investor day on 8 October, which should refocus investors on its successful business model and should confirm Q3 guidance. Signet should deliver 12-13% EPS annual growth in the next three years, due to its average 3% outperformance of the US market, a strong gross margin (driven by the success of exclusive products and a commodities tailwind) and an improving credit portfolio. The sound cash generation should provide scope for further share buybacks and dividends.” Signet Jewelers Ltd. closed on Friday at $72.74.