Drosos said that transformations take time to complete and Signet continues on its initiative to cut costs and bring customers back to the center of its operations.
When asked about the outlook for the mall, Drosos said that in some cases, Signet is moving their stores out of c-level malls and into off-mall locations. But, she added, there's still plenty of growth ahead for top-tier mall locations.
Let's check and see if there is any growth in store for the stock price.
In the daily bar chart of SIG, below, we can see that prices have made a low in the August/September time frame. Prices have firmed and the indicators have improved a bit.
Trading volume has increased since August and the daily On-Balance-Volume (OBV) has worked irregularly higher from early September suggesting that buyers of SIG have become more aggressive. The trend-following Moving Average Convergence Divergence (MACD) oscillator has been bullish since the middle of September but has rolled over to a take profits sell signal (a sell for a stock in an uptrend).
In the weekly bar chart of SIG, below, we can see that after a long and crushing decline that prices have started to improve. SIG is above the bottoming 40-week moving average line.
The weekly OBV line shows some improvement from its August nadir. The MACD oscillator finally moved above the zero line last month for a buy signal.
In the 10-year weekly bar chart of SIG, below, we can see the bigger picture with this stock. Prices peaked back in 2015 around $150.
This is a huge decline and huge declines tend to need long recoveries and base building.
In this daily Point and Figure chart of SIG, below, we can see a possible upside price target of $32. A trade at $23.48 will probably weaken the chart and precipitate further declines.
Bottom-line strategy: In the short-run (perhaps until the middle of April) SIG could trade higher. In the long-run, however, SIG will likely need a lot more base building and sideways price action. With Valentine's Day coming up Friday there are probably better investment ideas out there.