Destination XL Group, headquartered in Canton, Massachusetts, operates 232 DXL and 36 Casual Male XL retail and outlet stores, employing 1,439 staff to provide specialty apparel in large sizes. The company also features a digital business offering a variety of merchandise and footwear from sizes 10W to 18W.
Based on our analysis, Destination XL Group (DXLG) has received an undervalued rating of 4 out of 5 stars from Cashu. Several key financial ratios indicate that the company is performing well relative to its sector, suggesting potential for growth and investment appeal.
The Price-to-Book (PB) Ratio for Destination XL stands at 1.02, significantly lower than the sector average of 1.99. This indicates that the stock is trading at a lower price compared to its book value, which may suggest it is undervalued by the market.
Additionally, the company boasts a Net Profit Margin of 0.65, compared to a sector average of -0.20. This positive margin demonstrates that Destination XL is effectively converting revenue into profit, highlighting its operational efficiency and strong financial management.
The Return on Equity (ROE) Ratio for Destination XL is 2.16, well above the sector average of 0.23. A higher ROE indicates that the company is generating more profit from its shareholders' equity, showcasing its ability to enhance shareholder value.
Lastly, the Return on Assets Ratio stands at 0.80, compared to the sector's -0.76. This ratio reflects how well the company is utilizing its assets to generate earnings, further reinforcing its operational effectiveness.
These financial indicators suggest that Destination XL Group is undervalued relative to its sector peers, making it an intriguing option for investors seeking potentially undervalued opportunities.
This is not a comprehensive overview of our valuation, and should not be viewed as financial advice. Always do your own research before considering an investment.
📡️ Consumer Discretionary
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