Wall Street Analysts Downgrade Oxford Industries Stock Ratings
Analysts at Wall Street Zen have downgraded the stock rating of Oxford Industries (NYSE: OXM) from “hold” to “sell” in a research note released on December 9, 2023. This change reflects a broader trend among financial analysts who have recently reassessed their outlook on the company.
A series of adjustments from other financial institutions has accompanied this downgrade. On December 7, 2023, Truist Financial reduced its price target on Oxford Industries from $50.00 to $35.00, maintaining a “hold” rating. Similarly, Zacks Research lowered its ratings to “strong sell” on December 8, 2023. Citigroup followed suit on December 8, cutting its price target from $35.00 to $33.00 and assigning a “neutral” rating. The Telsey Advisory Group also revised its price target to $35.00 while keeping a “market perform” rating. Lastly, KeyCorp reaffirmed a “sector weight” rating on December 7, 2023.
Currently, five equity research analysts have rated Oxford Industries with a “hold” rating, while two have assigned a “sell” rating. According to data from MarketBeat.com, the average rating for the stock stands at “reduce,” with a target price of $43.60.
Quarterly Earnings Report Shows Mixed Results
On December 6, 2023, Oxford Industries released its quarterly earnings report, revealing earnings per share (EPS) of ($0.92). This figure exceeded analysts’ expectations of ($0.95) by $0.03. The textile maker reported a return on equity of 9.35%, although it faced a negative net margin of 0.20%. Revenue for the quarter reached $307.34 million, slightly surpassing the forecast of $304.42 million. Despite this, revenue declined by 0.2% compared to the same quarter in the previous year.
Looking ahead, Oxford Industries has projected its fiscal year 2025 EPS guidance range between ($1.540) and ($1.320), with Q4 2025 guidance set at ($0.000) to ($0.200) EPS. Analysts estimate an average EPS of 6.62 for the current year.
Insider Activity and Institutional Investments
In a notable insider transaction, CEO Thomas Caldecot Chubb III purchased 5,000 shares of Oxford Industries on December 8, 2023, at an average price of $35.12 per share. This acquisition, totaling $175,600, increased his ownership stake in the company to 22,709 shares, valued at approximately $797,540.08. This purchase reflects a 28.23% increase in his stock ownership, as disclosed in a filing with the Securities and Exchange Commission (SEC).
In addition to insider buying, several institutional investors have adjusted their holdings in Oxford Industries recently. Jump Financial LLC acquired a new stake valued at about $4,775,000 in the first quarter. Mirae Asset Global Investments Co. Ltd. raised its holdings by 5.8% in the second quarter, now owning 12,724 shares valued at $512,000. Inspire Advisors LLC also acquired a new stake worth around $2,086,000 during the same period.
CenterBook Partners LP significantly increased its stake by 226.6%, now holding 81,236 shares valued at $3,270,000. Arrowstreet Capital Limited Partnership raised its stake by 63.3%, now owning 439,276 shares worth $17,681,000. Collectively, institutional investors and hedge funds own approximately 91.16% of Oxford Industries.
Founded in 1942 and headquartered in Atlanta, Georgia, Oxford Industries, Inc. is a prominent designer, marketer, and distributor of high-quality lifestyle apparel and accessories for men and women. The company boasts a diverse product portfolio that includes both owned brands and licensed partnerships, spanning casual, resort, and performance categories. Key owned brands include Tommy Bahama, known for its island-inspired menswear and women’s sportswear, and Southern Tide, which specializes in coastal-themed clothing and footwear.
As the market continues to evolve, investors are closely monitoring Oxford Industries and the implications of these recent changes on its stock performance.
