Lucky Strike Entertainment (NYSE:LUCK) Hits New 1-Year Low - Should You Sell?

Key Points

• Lucky Strike Entertainment shares hit a new 52-week low, falling to $5.52 and trading 5% below the previous close. The stock remains below both its 50-day and 200-day moving averages.
• The company reported a wider-than-expected quarterly loss of $0.20 per share and revenue of $303.95 million, below analysts’ $311.30 million estimate. Analysts maintain a consensus “Hold” rating with an average price target of $8.39.
• Lucky Strike declared a quarterly dividend of $0.06, implying a 4.3% annualized yield, while insiders bought 12,550 shares over the past 90 days. However, the negative payout ratio and ongoing losses add risk for investors.

Shares of Lucky Strike Entertainment (NYSE:LUCK - Get Free Report) hit a new 52-week low during trading on Wednesday . The stock traded as low as $5.52 and last traded at $5.5250, with a volume of 105187 shares traded. The stock had previously closed at $5.81.

Analyst Upgrades and Downgrades

LUCK has been the topic of several research reports. Roth Capital set a $6.50 target price on Lucky Strike Entertainment in a research report on Friday, August 28th. Citigroup began coverage on Lucky Strike Entertainment in a research note on Monday, June 29th. They set a "market perform" rating for the company. Wall Street Zen raised Lucky Strike Entertainment from a "strong sell" rating to a "sell" rating in a research note on Saturday, June 20th. Truist Financial set a $10.00 target price on shares of Lucky Strike Entertainment in a research report on Thursday, August 27th. Finally, Citizens Jmp started coverage on shares of Lucky Strike Entertainment in a report on Monday, June 29th. They issued a "market perform" rating on the stock. Four equities research analysts have rated the stock with a Buy rating, six have issued a Hold rating and three have issued a Sell rating to the company's stock. According to MarketBeat.com, the company presently has a consensus rating of "Hold" and an average price target of $8.39.

Lucky Strike Entertainment Stock Down 5.0%

The firm has a 50-day moving average of $6.88 and a two-hundred day moving average of $7.74. The stock has a market capitalization of $752.53 million, a price-to-earnings ratio of -16.23 and a beta of 0.62.

Lucky Strike Entertainment (NYSE:LUCK - Get Free Report) last issued its earnings results on Thursday, August 27th. The company reported ($0.20) EPS for the quarter, missing analysts' consensus estimates of ($0.05) by ($0.15). The business had revenue of $303.95 million during the quarter, compared to analysts' expectations of $311.30 million. As a group, sell-side analysts predict that Lucky Strike Entertainment will post -0.02 EPS for the current year.

Lucky Strike Entertainment Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, September 22nd. Stockholders of record on Tuesday, September 8th will be given a $0.06 dividend. This represents a $0.24 annualized dividend and a dividend yield of 4.3%. The ex-dividend date of this dividend is Tuesday, September 8th. Lucky Strike Entertainment's dividend payout ratio (DPR) is currently -70.59%.

Insider Buying and Selling at Lucky Strike Entertainment

In other Lucky Strike Entertainment news, Director Sandeep Mathrani acquired 9,350 shares of Lucky Strike Entertainment stock in a transaction dated Friday, August 28th. The stock was bought at an average cost of $6.41 per share, with a total value of $59,933.50. Following the completion of the transaction, the director owned 9,350 shares of the company's stock, valued at $59,933.50. The trade was a ∞ increase in their ownership of the stock. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Over the last ninety days, insiders bought 12,550 shares of company stock worth $79,878. 84.20% of the stock is currently owned by insiders.

Institutional Trading of Lucky Strike Entertainment

Several hedge funds and other institutional investors have recently bought and sold shares of the stock. Private Management Group Inc. raised its holdings in Lucky Strike Entertainment by 2.6% in the 4th quarter. Private Management Group Inc. now owns 1,911,134 shares of the company's stock valued at $16,187,000 after acquiring an additional 48,093 shares in the last quarter. Rice Hall James & Associates LLC boosted its stake in Lucky Strike Entertainment by 52.7% during the first quarter. Rice Hall James & Associates LLC now owns 481,189 shares of the company's stock worth $4,003,000 after buying an additional 166,104 shares in the last quarter. Millennium Management LLC increased its holdings in Lucky Strike Entertainment by 291.5% in the 3rd quarter. Millennium Management LLC now owns 412,218 shares of the company's stock valued at $4,221,000 after buying an additional 306,931 shares during the period. Geode Capital Management LLC acquired a new position in shares of Lucky Strike Entertainment in the 2nd quarter valued at $2,661,000. Finally, Great Lakes Advisors LLC bought a new position in shares of Lucky Strike Entertainment during the 2nd quarter worth about $1,361,000. 68.11% of the stock is currently owned by institutional investors and hedge funds.

About Lucky Strike Entertainment

Lucky Strike Entertainment Corp. engages in operating bowling centers. It offers entertainment concepts with lounge seating, arcades, food and beverage offerings, and hosting and overseeing professional and non-professional bowling tournaments and related broadcasting. The company was founded by Thomas F. Shannon in 1997 and is headquartered in Mechanicsville, VA.

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