Oxford Industries (OXM) AI Stock Analysis

• Market Cap: $554.93M
• Dividend Yield: 6.77%
• Average Volume (3M): 541.52K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.98
• Revenue Growth: -2.40%
• EPS Growth: -131.59%
• Country: US
• Employees: 6,000
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Apparel - Manufacturers
• EPS (TTM): -0.92
• Shares Outstanding: 14,877,391
• 10 Day Avg. Volume: 921,815
• 30 Day Avg. Volume: 541,525
• PEG Ratio: 0.27
• Price to Book (P/B): 2.11
• Price to Sales (P/S): 0.87
• P/FCF Ratio: 21.97
• Enterprise Value/Market Cap: 1.99
• Enterprise Value/Revenue: 0.74
• Enterprise Value/Gross Profit: 1.20
• Enterprise Value/Ebitda: 17.24
• 1Y Price Target: $34.33
• Price Target Upside: -6.56% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 5
• EPS Forecast (FY): 2.28
• Revenue Forecast (FY): $1.49B

• Rating: 49 Neutral
• Price Target: $37.00 ▲(0.71% Upside)

Oxford Industries is facing significant financial and operational challenges, reflected in its negative P/E ratio and declining sales. However, strong cash flow management and a high dividend yield provide some positive aspects. The technical indicators suggest neutral momentum, and the earnings call highlights both strategic successes and ongoing difficulties.

Positive Factors

Strong Cash Flow Management

The significant growth in free cash flow indicates effective cash management, providing the company with flexibility to invest in strategic initiatives and manage debt levels, which is crucial for long-term sustainability.

Direct-to-Consumer Growth

Growth in direct-to-consumer channels, particularly e-commerce, aligns with shifting consumer preferences and enhances revenue stability by reducing reliance on wholesale partners.

Emerging Brands and Lilly Pulitzer Growth

The growth in Emerging Brands and Lilly Pulitzer suggests successful brand positioning and potential for market share expansion, which can drive long-term revenue growth.

Negative Factors

Declining Revenue Growth

The decline in revenue growth reflects challenges in maintaining sales momentum, which could impact profitability and market competitiveness if not addressed.

Increased Debt Levels

The significant increase in debt levels raises concerns about financial leverage and interest obligations, potentially limiting the company's ability to invest in growth opportunities.

Tariff-Related Product Limitations

Tariff-related limitations on product assortments can hinder sales, especially during peak seasons, affecting revenue and customer satisfaction in the long term.

Oxford Industries Business Overview & Revenue Model

Company Description

Oxford Industries, Inc., an apparel company, designs, sources, markets, and distributes products of lifestyle and other brands worldwide. The company offers men's and women's sportswear and related products under the Tommy Bahama brand; women's and girl's dresses and sportswear, scarves, bags, jewelry, and belts, as well as footwear and children's apparel and swimwear under the Lilly Pulitzer brand; and men's shirts, pants, shorts, outerwear, ties, swimwear, footwear, and accessories, as well as women and youth products under the Southern Tide brand. It also designs, sources, markets, and distributes premium childrenswear, including bonnets, hats, apparel, swimwear, and accessories through thebeaufortbonnetcompany.com and wholesale specialty retailers; men's apparel, which include pants, shorts, and tops through duckhead.com and wholesale specialty retailers. In addition, the company licenses Tommy Bahama brand for various products, such as indoor and outdoor furniture, beach chairs, bedding and bath linens, fabrics, leather goods and gifts, headwear, hosiery, sleepwear, shampoo, toiletries, fragrances, cigar accessories, distilled spirits, and other products; Lilly Pulitzer for stationery and gift products, home furnishing products, and eyewear; and Southern Tide trademark for bed and bath product. Oxford Industries, Inc. offers products through its retail stores, department stores, specialty stores, multi-branded e-commerce retailers, off-price retailers, and other retailers, as well as e-commerce sites. As of January 29, 2022, it operated 186 brand-specific full-price retail stores; 21 Tommy Bahama food and beverage locations; and 35 Tommy Bahama outlet stores. Oxford Industries, Inc. was founded in 1942 and is headquartered in Atlanta, Georgia.

How the Company Makes Money

Oxford Industries generates revenue through the sale of its branded apparel and accessories across multiple channels, including wholesale, direct-to-consumer, and e-commerce platforms. The company primarily earns money from wholesale distribution to department stores and specialty retailers, which account for a significant portion of its sales. Additionally, its direct-to-consumer segment, which includes branded retail stores and online sales, provides a growing revenue stream as consumer shopping habits shift towards online purchasing. Oxford Industries has established partnerships with various retailers and utilizes targeted marketing strategies to enhance brand visibility and consumer engagement. The company's diverse brand portfolio allows it to appeal to different market segments, thereby driving sales across various demographics and lifestyle preferences.

Oxford Industries Financial Statement Overview

Summary

Oxford Industries demonstrates robust profitability with a strong gross profit margin but faces challenges in revenue growth and free cash flow generation. Operational efficiencies have decreased, and moderate leverage is evident. Continued focus on operational improvements and managing debt levels will be crucial for sustaining financial health.

Income Statement

Oxford Industries shows a steady financial performance with a strong gross profit margin of 62.8% TTM (Trailing-Twelve-Months) and a net profit margin of 5.3% TTM. While revenue growth has faced challenges, particularly a revenue decline from $1.57 billion in 2024 to $1.52 billion TTM, the company maintains solid profitability metrics, though a decrease in EBIT margin from 5.1% TTM compared to 7.5% in 2024 highlights some operational efficiency issues.

Balance Sheet

The balance sheet of Oxford Industries indicates moderate leverage with a debt-to-equity ratio of 0.92 TTM, reflecting an increase from 0.60 in 2024. The equity ratio stands at 44.2% TTM, suggesting a reasonable level of financial stability. Return on equity is moderate at 13.6% TTM, showing a slight decline, which might be a concern for long-term investors.

Cash Flow

Oxford Industries' cash flow statement highlights a significant reduction in free cash flow from $59.8 million in 2024 to $11.4 million TTM, indicating potential liquidity challenges. The operating cash flow to net income ratio is favorable at 1.94 TTM, reflecting strong cash generation relative to net income. However, the decline in free cash flow prompts caution.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.49B	1.52B	1.57B	1.41B	1.14B	748.83M
Gross Profit	921.87M	954.57M	995.59M	888.86M	706.22M	415.21M
EBITDA	64.15M	186.91M	145.05M	266.38M	205.44M	-83.76M
Net Income	-2.92M	92.97M	60.70M	165.74M	131.32M	-95.69M
Balance Sheet
Total Assets	1.28B	1.29B	1.10B	1.19B	957.64M	865.63M
Cash, Cash Equivalents and Short-Term Investments	7.98M	9.47M	7.60M	8.83M	209.75M	66.01M
Total Debt	566.22M	449.18M	337.58M	413.58M	260.76M	300.85M
Total Liabilities	756.08M	667.25M	536.93M	632.39M	449.98M	459.91M
Stockholders Equity	528.01M	622.56M	560.91M	556.27M	507.66M	405.73M
Cash Flow
Free Cash Flow	25.55M	59.80M	170.19M	78.94M	166.11M	54.93M
Operating Cash Flow	160.97M	194.03M	244.28M	125.61M	198.01M	83.85M
Investing Cash Flow	-142.90M	-143.27M	-83.98M	-151.75M	-181.57M	-34.65M
Financing Cash Flow	-17.00M	-48.61M	-161.17M	-11.53M	-38.17M	-35.85M

Oxford Industries Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 36.74
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For OXM, the sentiment is Negative. The current price of 36.74 is below the 20-day moving average (MA) of 37.14, below the 50-day MA of 37.20, and below the 200-day MA of 44.29, indicating a bearish trend. The MACD of -0.04 indicates Positive momentum. The RSI at 48.52 is Neutral, neither overbought nor oversold. The STOCH value of 61.36 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for OXM.

Oxford Industries Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RL	78 Outperform	$22.40B	27.28	34.01%	0.93%	12.32%	29.40%
ZGN	74 Outperform	$4.20B	25.09	10.58%	1.37%	-1.88%	-5.94%
GIII	74 Outperform	$1.33B	9.65	8.61%	―	-2.61%	-11.87%
COLM	69 Neutral	$3.05B	17.02	10.84%	2.12%	2.76%	-7.83%
PVH	66 Neutral	$3.34B	10.94	6.70%	0.21%	0.52%	-45.80%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
OXM	49 Neutral	$554.93M	―	-0.51%	6.77%	-2.40%	-131.59%

Oxford Industries Corporate Events

Oxford Industries Navigates Mixed Earnings Landscape

The recent earnings call for Oxford Industries, Inc. painted a picture of a company navigating through a mixed landscape. While the company faces significant challenges such as declining sales in key segments and gross margin contraction due to tariff costs, there are also positive developments. Notable among these are the performance of the Lilly Pulitzer brand, successful tariff mitigation efforts, and growth in emerging brands. The sentiment expressed during the call was balanced, with a focus on both the hurdles and the proactive measures being taken to address them.

Oxford Industries Reports Decline in Q2 Sales

Oxford Industries, Inc., a prominent player in the apparel industry, owns and markets well-known lifestyle brands such as Tommy Bahama, Lilly Pulitzer, and Johnny Was. The company operates in the retail sector, offering a variety of apparel and accessories through its direct-to-consumer and wholesale channels.