Dave & Buster's Entertainment, Inc. (NASDAQ:PLAY) Receives Average Recommendation of "Hold" from Brokerages

Key Points

• Dave & Buster's Entertainment has garnered an average "Hold" rating from brokerages, with six analysts recommending a hold and two suggesting a buy, while the average 1-year price target is set at $33.50.
• The company's recent quarterly earnings showed a miss with $0.76 earnings per share, falling short of the consensus estimate of $0.96 and reflecting a 3.5% decrease in revenue year-over-year.
• Insider trading activity includes CEO Tarun Lal buying 8,060 shares at approximately $31.26 per share, indicating confidence in the company's future potential.

Dave & Buster's Entertainment, Inc. (NASDAQ:PLAY - Get Free Report) has earned an average rating of "Hold" from the eight ratings firms that are covering the company, Marketbeat reports. Six investment analysts have rated the stock with a hold recommendation and two have issued a buy recommendation on the company. The average 1-year price target among analysts that have covered the stock in the last year is $33.50.

Several research analysts have recently weighed in on the stock. Truist Financial decreased their price objective on shares of Dave & Buster's Entertainment from $29.00 to $27.00 and set a "hold" rating for the company in a report on Wednesday, August 27th. UBS Group boosted their price objective on shares of Dave & Buster's Entertainment from $18.00 to $29.00 and gave the company a "neutral" rating in a report on Wednesday, June 11th. Piper Sandler boosted their price objective on shares of Dave & Buster's Entertainment from $22.00 to $30.00 and gave the company a "neutral" rating in a report on Wednesday, June 11th. BMO Capital Markets upped their target price on shares of Dave & Buster's Entertainment from $30.00 to $35.00 and gave the company an "outperform" rating in a report on Wednesday, June 11th. Finally, Loop Capital upped their target price on shares of Dave & Buster's Entertainment from $35.00 to $46.00 and gave the company a "buy" rating in a report on Wednesday, June 11th.

Dave & Buster's Entertainment Stock Up 3.6%

PLAY opened at $23.03 on Friday. The company has a quick ratio of 0.17, a current ratio of 0.26 and a debt-to-equity ratio of 10.69. The firm has a 50 day moving average price of $27.57 and a 200-day moving average price of $23.95. Dave & Buster's Entertainment has a twelve month low of $15.08 and a twelve month high of $43.73. The stock has a market capitalization of $796.38 million, a price-to-earnings ratio of 22.80 and a beta of 2.04.

Dave & Buster's Entertainment (NASDAQ:PLAY - Get Free Report) last released its quarterly earnings data on Tuesday, June 10th. The restaurant operator reported $0.76 earnings per share for the quarter, missing the consensus estimate of $0.96 by ($0.20). Dave & Buster's Entertainment had a net margin of 1.83% and a return on equity of 40.67%. The company had revenue of $567.70 million for the quarter, compared to analysts' expectations of $572.12 million. During the same period in the previous year, the firm earned $0.99 earnings per share. The firm's revenue for the quarter was down 3.5% on a year-over-year basis. Equities research analysts forecast that Dave & Buster's Entertainment will post 2.52 earnings per share for the current year.

Insider Buying and Selling

In other Dave & Buster's Entertainment news, CEO Tarun Lal bought 8,060 shares of Dave & Buster's Entertainment stock in a transaction on Tuesday, July 22nd. The stock was acquired at an average cost of $31.26 per share, with a total value of $251,955.60. Following the completion of the acquisition, the chief executive officer owned 8,060 shares in the company, valued at approximately $251,955.60. This represents a ∞ increase in their ownership of the stock. The purchase was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, SVP John Mulleady sold 5,931 shares of the company's stock in a transaction that occurred on Tuesday, June 17th. The shares were sold at an average price of $32.79, for a total transaction of $194,477.49. Following the sale, the senior vice president directly owned 42,550 shares of the company's stock, valued at approximately $1,395,214.50. This represents a 12.23% decrease in their ownership of the stock. The disclosure for this sale can be found here. 2.02% of the stock is currently owned by corporate insiders.

Institutional Trading of Dave & Buster's Entertainment

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Northern Trust Corp boosted its position in shares of Dave & Buster's Entertainment by 11.0% in the fourth quarter. Northern Trust Corp now owns 371,818 shares of the restaurant operator's stock worth $10,853,000 after purchasing an additional 36,785 shares during the period. Ameriprise Financial Inc. boosted its position in shares of Dave & Buster's Entertainment by 7.1% in the fourth quarter. Ameriprise Financial Inc. now owns 123,246 shares of the restaurant operator's stock worth $3,598,000 after purchasing an additional 8,159 shares during the period. Bank of America Corp DE boosted its position in shares of Dave & Buster's Entertainment by 50.7% in the fourth quarter. Bank of America Corp DE now owns 212,720 shares of the restaurant operator's stock worth $6,209,000 after purchasing an additional 71,520 shares during the period. Deutsche Bank AG boosted its position in shares of Dave & Buster's Entertainment by 50.9% in the fourth quarter. Deutsche Bank AG now owns 30,120 shares of the restaurant operator's stock worth $879,000 after purchasing an additional 10,163 shares during the period. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its position in shares of Dave & Buster's Entertainment by 4.1% in the fourth quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 18,407 shares of the restaurant operator's stock worth $537,000 after purchasing an additional 728 shares during the period. 91.45% of the stock is owned by hedge funds and other institutional investors.

About Dave & Buster's Entertainment

Dave & Buster's Entertainment, Inc owns and operates entertainment and dining venues for adults and families. Its venues offer a menu of entrees and appetizers, as well as a selection of non-alcoholic and alcoholic beverages; and an assortment of entertainment attractions centered on playing games and watching live sports, and other televised events.

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