All You Need to Know About Signet (SIG) Rating Upgrade to Buy

Core Viewpoint - Signet (SIG) has received an upgrade to a Zacks Rank 2 (Buy), indicating a positive outlook based on rising earnings estimates, which significantly influence stock prices [1][3]. Earnings Estimates and Stock Price Impact - The Zacks rating system is based on changes in earnings estimates, which are strongly correlated with near-term stock price movements [4][6]. - Institutional investors often rely on earnings estimates to determine a company's fair value, leading to buying or selling actions that affect stock prices [4]. Recent Performance and Outlook - For the fiscal year ending January 2026, Signet is expected to earn $9.22 per share, unchanged from the previous year, but the Zacks Consensus Estimate has increased by 1.1% over the past three months [8]. - The upgrade to Zacks Rank 2 places Signet in the top 20% of Zacks-covered stocks, suggesting potential for higher stock prices in the near term [10]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with a proven track record of performance, particularly for Zacks Rank 1 stocks, which have averaged a +25% annual return since 1988 [7][9].