This Major Jewelry Retailer Is Banking On a Wedding Rebound In 2024. Time to Buy?
Signet Jewelers (NYSE: SIG), one of the largest jewelry retailers in the United States, has made an important change to its business, reducing a major operational risk. But the company still has material, and outsized, exposure to a specific niche of the jewelry market that is causing some trouble today. It is making a big bet that could be a huge win if it works out, but a major ongoing headwind if it doesn't. Here's what you need to know.
Signet sells luxury items that tend to cost a lot of money. Many people choose to finance their jewelry purchases over time instead of paying all at once. In years past, Signet had a finance division that helped its customers do just that. The problem with this approach is that in economic hard times (such as recessions), an increasing number of customers will stop paying their loans. Signet and its shareholders had to eat the losses.
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Source Fool.com
Signet Jewelers Stock
Signet Jewelers is currently one of the favorites of our community with 7 Buy predictions and no Sell predictions.
With a target price of 109 € there is a positive potential of 20.02% for Signet Jewelers compared to the current price of 90.82 €.
