Incline Global Management LLC Decreases Stock Position in Dave & Buster’s Entertainment, Inc. $PLAY

Incline Global Management LLC decreased its stake in shares of Dave & Buster’s Entertainment, Inc. (NASDAQ:PLAY) by 91.0% during the fourth quarter, according to the company in its most recent disclosure with the SEC. The institutional investor owned 76,548 shares of the restaurant operator’s stock after selling 769,671 shares during the quarter. Dave & Buster’s Entertainment comprises 0.4% of Incline Global Management LLC’s holdings, making the stock its 27th largest position. Incline Global Management LLC owned 0.22% of Dave & Buster’s Entertainment worth $1,241,000 as of its most recent filing with the SEC.

A number of other institutional investors have also recently added to or reduced their stakes in the stock. Nomura Holdings Inc. lifted its position 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 in the last quarter. Clearline Capital LP lifted its position in Dave & Buster’s Entertainment by 20.4% during the third quarter. Clearline Capital LP now owns 1,619,964 shares of the restaurant operator’s stock worth $29,419,000 after buying an additional 274,541 shares in the last quarter. Healthcare of Ontario Pension Plan Trust Fund lifted its position in Dave & Buster’s Entertainment by 40.1% during the fourth quarter. Healthcare of Ontario Pension Plan Trust Fund now owns 1,515,000 shares of the restaurant operator’s stock worth $24,558,000 after buying an additional 434,000 shares in the last quarter. Goldman Sachs Group Inc. lifted its position 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 in the last quarter. Finally, State Street Corp lifted its position 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 in the last quarter. Hedge funds and other institutional investors own 91.45% of the company’s stock.

Dave & Buster’s Entertainment Price Performance

NASDAQ:PLAY opened at $11.19 on Thursday. Dave & Buster’s Entertainment, Inc. has a 52 week low of $9.61 and a 52 week high of $35.53. The company has a quick ratio of 0.19, a current ratio of 0.29 and a debt-to-equity ratio of 15.01. The company has a market capitalization of $389.30 million, a P/E ratio of -5.92 and a beta of 1.81. The stock’s fifty day moving average is $11.97 and its two-hundred day moving average is $14.76.

Dave & Buster’s Entertainment (NASDAQ:PLAY) last posted its earnings results on Monday, June 15th. The restaurant operator reported $0.22 EPS for the quarter, missing analysts’ consensus estimates of $0.60 by ($0.38). Dave & Buster’s Entertainment had a negative net margin of 3.09% and a negative return on equity of 24.19%. The business had revenue of $559.20 million during the quarter, compared to analysts’ expectations of $580.60 million. During the same quarter in the prior year, the firm earned $0.76 EPS. Dave & Buster’s Entertainment’s revenue for the quarter was down 1.5% compared to the same quarter last year. Equities analysts expect that Dave & Buster’s Entertainment, Inc. will post -0.77 EPS for the current year.

Analysts Set New Price Targets

A number of equities analysts recently commented on PLAY shares. Zacks Research downgraded Dave & Buster’s Entertainment from a “hold” rating to a “strong sell” rating in a research report on Thursday, April 2nd. Weiss Ratings reiterated a “sell (d)” rating on shares of Dave & Buster’s Entertainment in a research report on Monday, April 20th. Piper Sandler reduced 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. 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, UBS Group reduced their price objective on Dave & Buster’s Entertainment from $13.00 to $12.00 and set a “neutral” rating on the stock in a research report on Tuesday. Two investment analysts have rated the stock with a Buy rating, three have given a Hold rating and two have assigned a Sell rating to the company’s stock. According to MarketBeat, Dave & Buster’s Entertainment has a consensus rating of “Hold” and a consensus price target of $19.33.

Insider Buying and Selling

In other Dave & Buster’s Entertainment news, SVP Steve Klohn sold 6,989 shares of Dave & Buster’s Entertainment stock in a transaction 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 sale, the senior vice president owned 38,547 shares in the company, valued at $566,255.43. The trade was a 15.35% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. 1.73% of the stock is owned by corporate insiders.

Trending Headlines about Dave & Buster’s Entertainment

Here are the key news stories impacting Dave & Buster’s Entertainment this week:

• Positive Sentiment: Some articles point to potential turnaround drivers, including new games, stronger value messaging, remodel gains, improved food sales, and tighter cash flow discipline that could help recovery later in the year. Article Title
• Positive Sentiment: One report says internal metrics are showing traction in remodeled stores and that institutional investors are accumulating shares, suggesting some market participants still see recovery potential. Article Title
• Positive Sentiment: Analysts note the stock’s steep valuation discount may appeal to bargain hunters if management can deliver a sustained improvement in traffic and margins. Article Title
• Neutral Sentiment: Management is leaning on a “back-to-basics” turnaround plan focused on restoring traffic, improving entertainment sales, and proving cash flow can support a rebound. Article Title
• Negative Sentiment: The main catalyst for the selloff is the Q1 earnings report, where Dave & Buster’s missed expectations on both profits and revenue, while comparable sales fell 5.4% and consumer demand softened. Article Title
• Negative Sentiment: Several reports highlight higher operating costs, weak comps, and estimate cuts from analysts, all of which are making investors question how quickly PLAY can recover. Article Title
• Negative Sentiment: Commentary from Benchmark and others says the disappointing quarter shows the recovery remains elusive, reinforcing the bearish tone around the stock. Article Title

Dave & Buster’s Entertainment 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.