Dave & Buster’s Entertainment (NASDAQ:PLAY) Downgraded to “Strong Sell” Rating by Wall Street Zen

Wall Street Zen cut shares of Dave & Buster’s Entertainment (NASDAQ:PLAY) from a hold rating to a strong sell rating in a report published on Monday.

PLAY has been the subject of several other reports. Truist Financial reduced their price target on Dave & Buster’s Entertainment from $23.00 to $18.00 and set a “hold” rating for the company in a research note on Thursday, January 8th. Loop Capital set a $20.00 price target on Dave & Buster’s Entertainment in a research note on Wednesday, December 10th. BMO Capital Markets dropped their price objective on Dave & Buster’s Entertainment from $35.00 to $30.00 and set an “outperform” rating for the company in a report on Wednesday, December 10th. Benchmark raised Dave & Buster’s Entertainment from a “hold” rating to a “buy” rating and set a $30.00 price objective for the company in a report on Friday, January 16th. Finally, Zacks Research raised Dave & Buster’s Entertainment from a “strong sell” rating to a “hold” rating in a report on Thursday, December 11th. Three equities research analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, the stock has a consensus rating of “Hold” and a consensus price target of $21.83.

Dave & Buster’s Entertainment Stock Performance

PLAY opened at $12.13 on Monday. The business has a fifty day simple moving average of $14.85 and a 200 day simple moving average of $16.43. The company has a market capitalization of $421.40 million, a PE ratio of -8.48 and a beta of 1.83. Dave & Buster’s Entertainment has a 1 year low of $9.61 and a 1 year high of $35.53. The company has a debt-to-equity ratio of 16.61, a current ratio of 0.29 and a quick ratio of 0.22.

Dave & Buster’s Entertainment (NASDAQ:PLAY) last released its quarterly earnings results on Tuesday, March 31st. The restaurant operator reported ($0.35) earnings per share (EPS) for the quarter, missing the consensus estimate of $0.39 by ($0.74). The firm had revenue of $529.60 million during the quarter, compared to the consensus estimate of $556.56 million. Dave & Buster’s Entertainment had a negative net margin of 2.32% and a negative return on equity of 7.93%. The business’s revenue for the quarter was down .9% compared to the same quarter last year. During the same quarter last year, the firm earned $0.69 earnings per share. Research analysts expect that Dave & Buster’s Entertainment will post 2.52 EPS for the current year.

Hedge Funds Weigh In On Dave & Buster’s Entertainment

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Raymond James Financial Inc. raised its holdings in Dave & Buster’s Entertainment by 0.5% in the 2nd quarter. Raymond James Financial Inc. now owns 121,847 shares of the restaurant operator’s stock valued at $3,665,000 after acquiring an additional 637 shares in the last quarter. Deutsche Bank AG raised its holdings in Dave & Buster’s Entertainment by 3.1% in the 4th quarter. Deutsche Bank AG now owns 24,794 shares of the restaurant operator’s stock valued at $402,000 after acquiring an additional 741 shares in the last quarter. Nuveen LLC raised its holdings in Dave & Buster’s Entertainment by 1.2% in the 4th quarter. Nuveen LLC now owns 102,226 shares of the restaurant operator’s stock valued at $1,657,000 after acquiring an additional 1,254 shares in the last quarter. Advisory Services Network LLC acquired a new position in Dave & Buster’s Entertainment in the 3rd quarter valued at $27,000. Finally, Caitong International Asset Management Co. Ltd raised its holdings in Dave & Buster’s Entertainment by 616.6% in the 4th quarter. Caitong International Asset Management Co. Ltd now owns 1,942 shares of the restaurant operator’s stock valued at $31,000 after acquiring an additional 1,671 shares in the last quarter. 91.45% of the stock is owned by institutional investors and hedge funds.

About Dave & Buster’s Entertainment

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.