Judging by the fact that Destination XL Group Inc (NASDAQ:DXLG) has witnessed level interest from hedge fund managers, logic holds that there was a specific group of money managers that slashed their positions entirely heading into Q4. Interestingly, Ken Gray and Steve Walsh’s Bryn Mawr Capital dumped the largest stake of the 700 funds tracked by Insider Monkey, valued at an estimated $2.4 million in stock. Cliff Asness’ fund, AQR Capital Management, also cut its stock, about $0.1 million worth. These moves are intriguing to say the least, as aggregate hedge fund interest stayed the same (this is a bearish signal in our experience).
Let’s now take a look at hedge fund activity in other stocks – not necessarily in the same industry as Destination XL Group Inc (NASDAQ:DXLG) but similarly valued. These stocks are Angie’s List Inc (NASDAQ:ANGI), Reading International, Inc. (NASDAQ:RDI), Everyday Health Inc (NYSE:EVDY), and FRP Holdings Inc (NASDAQ:FRPH). This group of stocks’ market valuations are closest to Destination XL Group Inc’s market valuation.
|Ticker||No of HFs with positions||Total Value of HF Positions (x1000)||Change in HF Position|
As you can see these stocks had an average of 9 hedge funds with bullish positions and the average amount invested in these stocks was $29 million. That figure was $115 million in Destination XL Group Inc’s case. Angie’s List Inc (NASDAQ:ANGI) is the most popular stock in this table. On the other hand FRP Holdings Inc (NASDAQ:FRPH) is the least popular one with only 5 bullish hedge fund positions. Compared to these stocks Destination XL Group Inc (NASDAQ:DXLG) is more popular among hedge funds and has a lot more money invested in it. Considering that hedge funds are fond of this stock in relation to its market cap peers, it may be a good idea to analyze it in detail and potentially include it in your portfolio.