Prescott Group’s Favorite Consumer Stocks for Q3; Direct Selling Companies among Top Picks

#4. Civeo Corporation (Canada) (NYSE:CVEO)

– Number of shares owned by Prescott as of June 30: 5.09 Million

– Aggregate value of Prescott’s holding as of June 30: $9.16 Million

The Oklahoma-based asset manager upped its stake in Civeo Corporation (Canada) (NYSE:CVEO) by 1.46 million shares during the April-June period, ending the second quarter with 5.09 million shares. The stake was valued at $9.16 million at the end of the quarter and made up 2.2% of the hedge fund’s portfolio. The Houston-based provider of workforce accommodations for the natural resource industry in Canada, Australia and the U.S. has seen the value of its stock gain 9% since the start of 2016. In early March, Civeo Corporation was warned of delisting by the New York Stock Exchange as the company’s stock price nosedived below the $1-per-share price level amid depressed conditions in the crude oil industry, but the stock has somewhat recovered since then alongside crude oil prices. Demand for the company’s services are closely tied to the outlook for crude oil and met coal prices. Jim Simons’ Renaissance Technologies LLC owned 5.73 million shares of Civeo Corporation (Canada) (NYSE:CVEO) on March 31.

#3. Destination XL Group Inc. (NASDAQ:DXLG)

– Number of shares owned by Prescott as of June 30: 2.14 Million

– Aggregate value of Prescott’s holding as of June 30: $9.79 Million

The small- and mid-cap-focused hedge fund owned 2.14 million shares of Destination XL Group Inc. (NASDAQ:DXLG) both at the end of the second and first quarter of 2016. The unchanged position was worth $9.79 million at the end of the June quarter, accounting for 2.4% of the hedge fund’s portfolio. The shares of the largest specialty retailer of big and tall men’s apparel with retail and direct operations in the United States and England are 13% in the red year-to-date. Destination XL Group’s DXL comparable sales increased 5.8% for the three months that ended April 30, reflecting a 3.4% increase in the total number of transactions, a 3.5% increase in the units per transaction, as well as a 2.3% increase in dollars per transaction. The company’s capital expenditures for fiscal 2016 are expected to reach roughly $30 million, most of which will be channeled towards the opening of 28 DXL retail stores and 3 DXL outlet stores. Willem Mesdag’s Red Mountain Capital was the owner of 7.52 million shares of Destination XL Group Inc. (NASDAQ:DXLG) at the end of the first quarter.