Oxford Industries Inc (OXM, Financial) has experienced a notable fluctuation in its stock price recently. With a current market capitalization of $1.6 billion, the company's shares are trading at $102.61. Over the past week, the stock has seen a decline of 5.71%, yet when looking at the broader picture, OXM has gained 11.57% over the past three months. According to GuruFocus's valuation metrics, the stock is currently modestly undervalued with a GF Value of $133.56, up from a past GF Value of $130.93. This suggests that despite recent losses, the stock's overall trajectory has been positive.
Understanding Oxford Industries Inc
Oxford Industries Inc, operating in the Manufacturing - Apparel & Accessories industry, is known for its Tommy Bahama and Lilly Pulitzer brands. These brands are synonymous with upscale sportswear and related products, with Tommy Bahama catering to both men and women, while Lilly Pulitzer focuses on women's and girls' dresses and sportswear. The majority of the company's revenue is generated from the Tommy Bahama division. This business model has allowed Oxford Industries to carve out a significant niche in the apparel market.
Profitability Analysis
Oxford Industries boasts a strong Profitability Rank of 7 out of 10, indicating a robust position within its industry. The company's operating margin stands at an impressive 13.07%, outperforming 85.51% of 1,056 companies in the same sector. Its Return on Equity (ROE) is equally remarkable at 25.92%, surpassing 91.41% of its peers. The Return on Assets (ROA) and Return on Invested Capital (ROIC) are 13.09% and 15.58% respectively, both indicating efficient management and profitability. With nine years of profitability over the past decade, Oxford Industries demonstrates a consistent track record of financial health.
Growth Prospects
The company's Growth Rank is currently at 5 out of 10. Oxford Industries has seen a 3-Year Revenue Growth Rate per Share of 9.40%, which is better than 67.32% of 1,013 companies in the same industry. The 5-Year Revenue Growth Rate per Share is at 3.40%, and the Total Revenue Growth Rate (Future 3Y To 5Y Est) is projected at 5.60%. Additionally, the 3-Year EPS without NRI Growth Rate is a robust 36.00%, indicating strong earnings potential moving forward.
Top Shareholders
Notable investment firms have taken an interest in Oxford Industries. HOTCHKIS & WILEY holds 29,980 shares, representing 0.19% of the company's shares. Steven Cohen (Trades, Portfolio) owns 13,187 shares, and Jim Simons (Trades, Portfolio) holds 11,921 shares, each with a 0.08% stake in the company. These holdings reflect the confidence of seasoned investors in the company's future performance.
Competitive Landscape
When compared to its competitors, Oxford Industries maintains a competitive edge. G-III Apparel Group Ltd (GIII, Financial) has a market cap of $1.33 billion, Hanesbrands Inc (HBI, Financial) is valued at $1.93 billion, and FIGS Inc (FIGS, Financial) stands at $936.212 million. Oxford Industries' market cap of $1.6 billion positions it comfortably within this range, suggesting a stable standing among its peers.
Conclusion
In summary, Oxford Industries Inc's stock performance has been a mixed bag in the short term but shows a positive trend over the past three months. The company's valuation indicates it is modestly undervalued, presenting potential for investors. With strong profitability metrics and a solid growth outlook, Oxford Industries appears to be in a good position to maintain its market presence. The confidence shown by significant holders further bolsters the company's investment profile. Finally, when compared to its competitors, Oxford Industries holds its own, suggesting resilience and potential for continued success in the apparel industry.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
