In a report published Monday, Nomura analyst Simeon Siegel initiated coverage on Signet Jewelers Ltd. SIG with a Buy rating and $80.00 price target.
In the report, Nomura noted, “We expect ongoing MSD to HSD sales growth driven by LSD comp and square footage increases along with $0.15+ of FY15 EPS accretion from Ultra, as the company expands its focus on the outlet channel. Additionally, the company will not incur the $0.09–0.11 integration-related drag experienced this past year, and we would expect to see a rapid improvement in the SGA rate as the company leverages SIG's platform. We are projecting FY14/FY15 EPS estimates of $4.73/$5.45 compared to the Street at $4.77/$5.39. Our target price of $80 is based on 14–15x our FY15 estimate of $5.45, below our coverage universe group average 18x multiple due to uncertainty around timing for Ultra's EPS benefit.”
Signet Jewelers Ltd. closed on Friday at $66.98.
Market News and Data brought to you by Benzinga APIs© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Loading...
date | ticker | name | Price Target | Upside/Downside | Recommendation | Firm |
---|
Benzinga simplifies the market for smarter investing
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
Join Now: Free!
Already a member?Sign in