Destination XL (DXLG) AI Stock Analysis

• Market Cap: $62.31M
• Dividend Yield: N/A
• Average Volume (3M): 46.35K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.15
• Revenue Growth: -8.83%
• EPS Growth: -186.80%
• Country: US
• Employees: 1,447
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Apparel - Retail
• EPS (TTM): -0.11
• Shares Outstanding: 54,656,414
• 10 Day Avg. Volume: 48,078
• 30 Day Avg. Volume: 46,355
• PEG Ratio: -0.57
• Price to Book (P/B): 1.09
• Price to Sales (P/S): 0.33
• P/FCF Ratio: 83.03
• Enterprise Value/Market Cap: 4.07
• Enterprise Value/Revenue: 0.57
• Enterprise Value/Gross Profit: 1.29
• Enterprise Value/Ebitda: 40.11
• 1Y Price Target: $1.30
• Price Target Upside: 14.04% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 56 Neutral
• Price Target: $1.00 ▼(-12.28% Downside)

Destination XL's overall stock score reflects financial challenges and valuation concerns, offset by positive technical indicators and strategic merger prospects. The merger with FullBeauty is a significant positive factor, expected to drive future growth and operational efficiencies.

Positive Factors

Strategic Merger

The merger with FullBeauty is expected to generate $25 million in annual cost synergies by 2027, enhancing operational efficiencies and expanding market presence in the inclusive apparel sector.

Financial Strength Post-Merger

The merger will create a financially stronger entity with increased sales and EBITDA, providing enhanced flexibility and positioning for long-term growth.

Innovation and Customer Experience

Leveraging data science and proprietary technology will enhance product quality and customer experience, driving customer loyalty and market differentiation.

Negative Factors

Declining Revenue

A decline in net sales indicates a challenging market environment, potentially impacting long-term revenue growth and market position.

Gross Margin Decline

A declining gross margin suggests cost pressures and reduced pricing power, which could strain profitability and cash generation over time.

EBITDA Loss

An EBITDA loss reflects operational challenges and reduced profitability, potentially impacting financial stability and investment capacity.

Destination XL Business Overview & Revenue Model

Company Description

Destination XL Group, Inc., together with its subsidiaries, operates as a specialty retailer of big and tall men's clothing and shoes in the United States and Canada. Its stores offer sportswear and dresswear; fashion-neutral items, including jeans, casual slacks, T-shirts, polo shirts, dress shirts, and suit separates; and casual clothing. It also provides tailored-related separates, blazers, dress slacks, dress shirts, and neckwear; and vintage-screen T-shirts and wovens under various private labels. The company offers its products under the trade names of Destination XL, DXL, DXL Men's Apparel, DXL outlets, Casual Male XL, and Casual Male XL outlets. As of January 29, 2022, it operated 220 DXL retail stores, 16 DXL outlet stores, 35 Casual Male XL retail stores, and 19 Casual Male XL outlet stores; an e-commerce site, dxl.com; a mobile site, m.destinationXL.com; and mobile app. The company was formerly known as Casual Male Retail Group, Inc. and changed its name to Destination XL Group, Inc. in February 2013. Destination XL Group, Inc. was incorporated in 1976 and is headquartered in Canton, Massachusetts.

How the Company Makes Money

Destination XL makes money primarily through the sale of apparel and accessories in its retail stores and online. The company generates revenue from direct sales of its proprietary brands and a selection of third-party brands, catering specifically to the needs of big and tall customers. Key revenue streams include in-store sales, e-commerce sales, and potential private label partnerships. Additionally, DXLG benefits from customer loyalty programs and promotions that drive repeat business. The company has also made strategic partnerships with brands that align with its target demographic, enhancing its product offerings and market reach.

Destination XL Financial Statement Overview

Summary

Destination XL faces financial challenges with declining revenues and profitability. The balance sheet shows manageable leverage, but cash flow pressures are evident with negative free cash flow, impacting future operations.

Income Statement

In the TTM period, Destination XL experienced a decline in performance with negative EBIT and net income, leading to negative profit margins. Compared to prior years, revenue has decreased, indicating a challenging market environment. The company has previously shown positive EBITDA, suggesting operational strength that has since weakened.

Balance Sheet

The balance sheet shows a moderate debt-to-equity ratio, indicating a manageable level of leverage. However, the decrease in stockholders' equity and total assets signals potential financial stress. Return on equity has also deteriorated, reflecting reduced profitability.

Cash Flow

The company's cash flow position has weakened, with negative free cash flow in the TTM period. Operating cash flow remains positive, though significantly lower than previous years, hinting at reduced cash generation from operations. The free cash flow to net income ratio indicates cash flow challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	442.12M	467.01M	521.82M	545.84M	505.02M	318.95M
Gross Profit	196.20M	217.19M	252.42M	272.60M	249.82M	104.86M
EBITDA	6.32M	18.91M	55.89M	73.81M	76.86M	-39.04M
Net Income	-7.64M	3.06M	27.85M	89.12M	56.71M	-64.54M
Balance Sheet
Total Assets	401.54M	380.95M	357.74M	350.60M	279.96M	306.75M
Cash, Cash Equivalents and Short-Term Investments	27.02M	48.42M	60.05M	52.07M	15.51M	19.00M
Total Debt	0.00	184.62M	154.54M	144.24M	190.80M	253.81M
Total Liabilities	179.07M	239.73M	208.79M	213.37M	221.74M	310.83M
Stockholders Equity	137.20M	141.22M	148.95M	137.23M	58.22M	-4.08M
Cash Flow
Free Cash Flow	-11.40M	1.86M	32.18M	50.30M	70.27M	-5.47M
Operating Cash Flow	13.92M	29.58M	49.59M	59.94M	75.54M	-1.23M
Investing Cash Flow	-2.31M	-31.34M	-49.15M	-9.64M	-5.27M	-4.24M
Financing Cash Flow	-4.12M	-13.93M	-24.93M	-13.73M	-73.76M	20.13M

Destination XL Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1.14
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DXLG, the sentiment is Neutral. The current price of 1.14 is above the 20-day moving average (MA) of 1.02, above the 50-day MA of 1.03, and below the 200-day MA of 1.23, indicating a neutral trend. The MACD of 0.06 indicates Negative momentum. The RSI at 53.37 is Neutral, neither overbought nor oversold. The STOCH value of 61.62 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for DXLG.

Destination XL Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VSCO	71 Outperform	$4.37B	26.72	31.50%	―	2.97%	9.85%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
DXLG	56 Neutral	$62.31M	-8.06	-5.41%	―	-8.83%	-186.80%
SFIX	54 Neutral	$735.41M	-24.82	-14.67%	―	-0.08%	73.05%
DLTH	50 Neutral	$106.77M	-2.02	-24.97%	―	-6.13%	-215.18%
CATO	45 Neutral	$67.15M	―	-5.58%	―	-1.01%	65.04%
CURV	45 Neutral	$102.17M	-46.40	―	―	-7.33%	-114.80%

Destination XL Corporate Events

Destination XL Announces Merger with FullBeauty Holdings

On December 11, 2025, Destination XL Group, Inc. (DXL) and FBB Holdings I, Inc. (FullBeauty) announced a merger of equals to create a leading retailer in the inclusive apparel market. The combined company aims to leverage complementary strengths in gender, product, and channel to accelerate growth and improve operational efficiency. The merger is expected to generate $25 million in annual cost synergies and enhance financial flexibility, positioning the company for long-term growth and shareholder value. The leadership team will include Jim Fogarty as CEO and Peter Stratton as CFO, with the headquarters remaining in Canton, MA.