Eminence Capital LP Decreases Stake in Dave & Buster's Entertainment, Inc. $PLAY

Key Points

• Eminence Capital LP has reduced its holdings in Dave & Buster's Entertainment by 24.4%, selling 940,000 shares and now owning 2,905,454 shares valued at approximately $51 million as of the latest SEC filing.
• The company's latest earnings report showed an EPS of $0.76, falling short of analysts' expectations of $0.96, and revenue decreased by 3.5% year-over-year.
• Brokerages have updated their price targets for Dave & Buster's stock, with estimates ranging from $27.00 to $46.00, reflecting mixed sentiment as analysts rate it as a "Hold" on average.

Eminence Capital LP reduced its position in Dave & Buster's Entertainment, Inc. (NASDAQ:PLAY - Free Report) by 24.4% during the first quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The firm owned 2,905,454 shares of the restaurant operator's stock after selling 940,000 shares during the quarter. Eminence Capital LP owned 8.42% of Dave & Buster's Entertainment worth $51,049,000 as of its most recent SEC filing.

Other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. US Bancorp DE raised its position in Dave & Buster's Entertainment by 442.0% in the 1st quarter. US Bancorp DE now owns 1,561 shares of the restaurant operator's stock worth $27,000 after purchasing an additional 1,273 shares during the period. Signaturefd LLC boosted its stake in shares of Dave & Buster's Entertainment by 1,427.5% during the first quarter. Signaturefd LLC now owns 4,277 shares of the restaurant operator's stock valued at $75,000 after purchasing an additional 3,997 shares in the last quarter. GAMMA Investing LLC boosted its stake in shares of Dave & Buster's Entertainment by 3,974.8% during the first quarter. GAMMA Investing LLC now owns 4,360 shares of the restaurant operator's stock valued at $77,000 after purchasing an additional 4,253 shares in the last quarter. Federated Hermes Inc. bought a new position in shares of Dave & Buster's Entertainment during the first quarter valued at approximately $139,000. Finally, ProShare Advisors LLC boosted its stake in shares of Dave & Buster's Entertainment by 44.5% during the fourth quarter. ProShare Advisors LLC now owns 9,728 shares of the restaurant operator's stock valued at $284,000 after purchasing an additional 2,996 shares in the last quarter. 91.45% of the stock is owned by hedge funds and other institutional investors.

Analyst Ratings Changes

A number of research firms have recently issued reports on PLAY. Loop Capital increased their price objective on shares of Dave & Buster's Entertainment from $35.00 to $46.00 and gave the company a "buy" rating in a research note on Wednesday, June 11th. BMO Capital Markets increased their price objective on shares of Dave & Buster's Entertainment from $30.00 to $35.00 and gave the company an "outperform" rating in a research note on Wednesday, June 11th. Piper Sandler increased 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 research note on Wednesday, June 11th. Truist Financial dropped their price objective on shares of Dave & Buster's Entertainment from $29.00 to $27.00 and set a "hold" rating on the stock in a research note on Wednesday, August 27th. Finally, UBS Group increased 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 research note on Wednesday, June 11th. Two research analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of "Hold" and an average price target of $33.50.

Insiders Place Their Bets

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

Dave & Buster's Entertainment Stock Down 1.9%

PLAY traded down $0.45 during trading on Monday, hitting $23.28. The stock had a trading volume of 1,016,288 shares, compared to its average volume of 1,263,175. The company has a market capitalization of $805.02 million, a PE ratio of 23.05 and a beta of 2.04. Dave & Buster's Entertainment, Inc. has a twelve month low of $15.08 and a twelve month high of $43.73. The company has a debt-to-equity ratio of 10.69, a quick ratio of 0.17 and a current ratio of 0.26. The stock has a 50 day simple moving average of $28.33 and a two-hundred day simple moving average of $23.99.

Dave & Buster's Entertainment (NASDAQ:PLAY - Get Free Report) last announced its earnings results 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). The firm had revenue of $567.70 million during the quarter, compared to analyst estimates of $572.12 million. Dave & Buster's Entertainment had a net margin of 1.83% and a return on equity of 40.67%. Dave & Buster's Entertainment's revenue was down 3.5% on a year-over-year basis. During the same quarter last year, the business earned $0.99 earnings per share. On average, research analysts predict that Dave & Buster's Entertainment, Inc. will post 2.52 earnings per share for the current year.

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.