Oxford Industries, Inc. (OXM) manufactures and markets branded and private label apparel for men, women and children. The company sells its products under brands like Tommy Bahama, Indigo Palms, Island Soft, Ely & Walker, and Oxford Golf. Oxford also holds exclusive licenses to produce and sell certain products under the Tommy Hilfiger, Nautica, Geoffrey Beene, Slates, Dockers, and Oscar de le Renta brands.

We are lowering our estimates ahead of Oxford's third quarter earnings report, which is scheduled for December 9. When it reported second quarter results, the company lowered its guidance for the second half of the year. But that report was prior to the dramatic slowdown that we've seen in retail over the last several weeks, and conditions are worsening.

We are taking our 2008 EPS estimate from $1.89 to $1.69 and our 2009 EPS estimate from $2.19 to $1.68. While the stock looks extremely cheap at current levels, we think it is premature to recommend buying shares. That's because we believe consensus estimates will decline even further over the next few months. We prefer to remain neutral on the stock.