Destination XL price target lowered to $1.50 from $2 at DA Davidson

DA Davidson lowered the firm’s price target on Destination XL (DXLG) to $1.50 from $2 and keeps a Buy rating on the shares. The company posted an inline quarter with respect to revenues and some encouraging signs of improvement when adjusting for well-documented weather events this winter, the analyst tells investors in a research note. The firm adds, however, that margins were below estimates due to higher than expected markdowns and deleverage on fixed costs.