Trade-Ideas LLC identified

Signet Jewelers

(

SIG

) as an unusual social activity candidate. In addition to specific proprietary factors, Trade-Ideas identified Signet Jewelers as such a stock due to the following factors:

  • SIG has more that 20x the normal benchmarked social activity for this time of the day compared to its average of 1.03 mentions/day.
  • SIG has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $190.9 million.

Identifying stocks with 'Unusual Social Activity' tends to be a valuable process for traders looking to capitalize on the 'talk of the town' stocks that are basking in far more attention from the StockTwits financial community than normal. Good press? Bad press? It ultimately doesn't matter if it's good or bad if you know how to trade around the sentiment. Certain hedge funds use such data for their proprietary algorithms and it is not uncommon to see shared social sentiment play itself out in a stock's price trend.

EXCLUSIVE OFFER: Get the inside scoop on opportunities in SIG with the Ticky from Trade-Ideas. See the FREE profile for SIG NOW at Trade-Ideas

More details on SIG:

Signet Jewelers Limited engages in the retail sale of jewelry and watches in the United States, the United Kingdom, the Republic of Ireland, and the Channel Islands. The stock currently has a dividend yield of 0.9%. SIG has a PE ratio of 19. Currently there are 9 analysts that rate Signet Jewelers a buy, no analysts rate it a sell, and 1 rates it a hold.

The average volume for Signet Jewelers has been 1.6 million shares per day over the past 30 days. Signet Jewelers has a market cap of $7.8 billion and is part of the services sector and specialty retail industry. The stock has a beta of 1.01 and a short float of 6% with 3.01 days to cover. Shares are down 21.4% year-to-date as of the close of trading on Thursday.

EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he thinks could be potential winners. Click here to see his holdings for 14-days FREE.

TheStreetRatings.com

Analysis:

TheStreet Quant Ratings

rates Signet Jewelers as a

buy

. The company's strengths can be seen in multiple areas, such as its impressive record of earnings per share growth, compelling growth in net income, revenue growth, largely solid financial position with reasonable debt levels by most measures and reasonable valuation levels. We feel its strengths outweigh the fact that the company has had lackluster performance in the stock itself.

Highlights from the ratings report include:

  • SIGNET JEWELERS LTD reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past year. We feel that this trend should continue. During the past fiscal year, SIGNET JEWELERS LTD increased its bottom line by earning $4.74 versus $4.57 in the prior year. This year, the market expects an improvement in earnings ($6.81 versus $4.74).
  • The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Specialty Retail industry. The net income increased by 1253.8% when compared to the same quarter one year prior, rising from -$1.30 million to $15.00 million.
  • Despite its growing revenue, the company underperformed as compared with the industry average of 7.0%. Since the same quarter one year prior, revenues slightly increased by 2.8%. Growth in the company's revenue appears to have helped boost the earnings per share.
  • The current debt-to-equity ratio, 0.56, is low and is below the industry average, implying that there has been successful management of debt levels. Along with the favorable debt-to-equity ratio, the company maintains an adequate quick ratio of 1.12, which illustrates the ability to avoid short-term cash problems.

EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he thinks could be potential winners. Click here to see his holdings for 14-days FREE.