Dave & Buster’s Entertainment (NASDAQ:PLAY) Posts Earnings Results, Misses Estimates By $0.38 EPS

Dave & Buster’s Entertainment (NASDAQ:PLAY) announced its quarterly earnings data on Monday. The restaurant operator reported $0.22 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.60 by ($0.38), FiscalAI reports. The company had revenue of $559.20 million for the quarter, compared to analysts’ expectations of $580.60 million. Dave & Buster’s Entertainment had a negative net margin of 2.32% and a negative return on equity of 7.93%.

Dave & Buster’s Entertainment Trading Down 4.7%

Shares of PLAY traded down $0.61 during mid-day trading on Monday, reaching $12.32. 4,558,760 shares of the company’s stock traded hands, compared to its average volume of 1,527,327. Dave & Buster’s Entertainment has a 12 month low of $9.61 and a 12 month high of $35.53. The stock has a market cap of $428.00 million, a P/E ratio of -8.62 and a beta of 1.81. The stock’s 50-day moving average is $12.01 and its two-hundred day moving average is $14.88. The company has a debt-to-equity ratio of 16.61, a current ratio of 0.29 and a quick ratio of 0.19.

Analyst Ratings Changes

A number of brokerages have issued reports on PLAY. Zacks Research cut Dave & Buster’s Entertainment from a “hold” rating to a “strong sell” rating in a research note on Thursday, April 2nd. Benchmark reaffirmed a “buy” rating on shares of Dave & Buster’s Entertainment in a report on Thursday. Weiss Ratings reissued a “sell (d)” rating on shares of Dave & Buster’s Entertainment in a report on Monday, April 20th. Wall Street Zen downgraded Dave & Buster’s Entertainment from a “hold” rating to a “strong sell” rating in a research report on Monday, April 6th. Finally, Piper Sandler lowered their price objective on Dave & Buster’s Entertainment from $22.00 to $14.00 and set a “neutral” rating on the stock in a research report on Monday, April 6th. Two research analysts have rated the stock with a Buy rating, three have given a Hold rating and two have issued a Sell rating to the company’s stock. According to data from MarketBeat, the company currently has an average rating of “Hold” and an average target price of $21.83.

Insider Transactions at Dave & Buster’s Entertainment

In related news, SVP Steve Klohn sold 6,989 shares of the stock in a transaction that occurred on Friday, April 17th. The stock was sold at an average price of $14.69, for a total value of $102,668.41. Following the transaction, the senior vice president owned 38,547 shares of the company’s stock, valued at $566,255.43. This represents a 15.35% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. 1.73% of the stock is currently owned by company insiders.

Institutional Trading of Dave & Buster’s Entertainment

A number of hedge funds have recently bought and sold shares of the stock. Nomura Holdings Inc. lifted its holdings in Dave & Buster’s Entertainment by 532.9% during the third quarter. Nomura Holdings Inc. now owns 2,411,191 shares of the restaurant operator’s stock worth $43,787,000 after buying an additional 2,030,186 shares during the period. Goldman Sachs Group Inc. lifted its holdings in Dave & Buster’s Entertainment by 22.3% during the fourth quarter. Goldman Sachs Group Inc. now owns 1,511,591 shares of the restaurant operator’s stock worth $24,503,000 after buying an additional 276,064 shares during the period. State Street Corp lifted its holdings in Dave & Buster’s Entertainment by 2.6% during the fourth quarter. State Street Corp now owns 1,106,488 shares of the restaurant operator’s stock worth $17,936,000 after buying an additional 28,349 shares during the period. Charles Schwab Investment Management Inc. lifted its holdings in Dave & Buster’s Entertainment by 12.5% during the fourth quarter. Charles Schwab Investment Management Inc. now owns 628,455 shares of the restaurant operator’s stock worth $10,187,000 after buying an additional 69,847 shares during the period. Finally, UBS Group AG lifted its holdings in Dave & Buster’s Entertainment by 137.2% during the third quarter. UBS Group AG now owns 509,924 shares of the restaurant operator’s stock worth $9,260,000 after buying an additional 294,916 shares during the period. Hedge funds and other institutional investors own 91.45% of the company’s stock.

Dave & Buster’s Entertainment Company Profile

Dave & Buster’s Entertainment, Inc operates a chain of combined restaurant and entertainment venues designed to appeal to families, young adults and corporate groups. Each location features a full-service restaurant and bar alongside an arcade gaming area with ticket-based redemption, virtual reality experiences and skill-based games. Many venues also include multiple large-screen televisions and a sports bar atmosphere, catering to fans who wish to watch live sporting events in a social setting.

The company was founded in 1982 by David Corriveau and James “Buster” Corley, opening its first location in Dallas, Texas.