In a Tuesday interview with CNBC’s Jim Cramer, Signet Jewelers CEO J.Okay. Symancyk mentioned that whereas his firm makes a distinction between natural and lab-grown diamonds, there’s a marketplace for both varieties.
“When you get above $5,000 price point, that’s a more natural leaning customer. That’s somebody that’s thinking about holding value as an asset,” Symancyk mentioned. “When you get — particularly in engagement rings — below $2,000 that’s about maximum emotional value, and that’s where lab really has play.”
Signet Jewelers owns a lot of manufacturers, together with Kay Jewelers, Zales and Jared.
According to Symancyk, lab-grown diamonds profit enterprise past the engagement ring section. He mentioned the man-made gems are a “category extender for fashion,” which is important to his firm’s progress technique. Lab-diamonds increase shoppers’ entry to diamond jewellery, he continued, saying they make “diamond fashion jewelry more affordable in a broader cross section of jewelry.”
Engagement rings with lab-grown diamonds have turn out to be extra prevalent lately as {couples} prioritize affordability, CNBC reported. While the 2 are chemically and visibly equivalent, lab-grown diamonds value considerably lower than mined diamonds — though the previous has little resale value. A study by bridal web site The Knot discovered that in 2024, 52% of {couples} surveyed mentioned their engagement ring featured a lab-grown diamond. The report additionally discovered that the recognition of lab-grown grown diamonds has grown by 40% since 2019
Despite the recognition of extra cheap jewellery choices, Symancyk mentioned some shoppers are nonetheless prepared to pay up for supplies like gold — which surged to an all-time excessive on Tuesday.
“The nice thing about gold is customers know the value. There’s a definable market, and they’re willing to make that investment,” he mentioned. “That’s probably the most permeable category as it relates to transferring price because people can anchor against it.”
Signet Jewelers comfortably topped Wall Street’s expectations for earnings and income when it reported on Tuesday. At market shut shares had been up 2.74%.
