Dave & Buster’s Entertainment (NASDAQ:PLAY) Trading 9.8% Higher – What’s Next?

Dave & Buster’s Entertainment Inc (NASDAQ:PLAY) shares rose 9.8% during mid-day trading on Monday . The company traded as high as $37.41 and last traded at $37.40. Approximately 395,328 shares traded hands during trading, a decline of 68% from the average daily volume of 1,248,920 shares. The stock had previously closed at $34.05.

Analyst Upgrades and Downgrades

PLAY has been the subject of a number of analyst reports. Truist Financial reduced their target price on shares of Dave & Buster’s Entertainment from $64.00 to $59.00 and set a “buy” rating for the company in a research note on Thursday, August 22nd. Loop Capital lowered their target price on shares of Dave & Buster’s Entertainment from $63.00 to $59.00 and set a “buy” rating on the stock in a research note on Thursday, September 12th. StockNews.com cut Dave & Buster’s Entertainment from a “hold” rating to a “sell” rating in a research report on Wednesday, September 11th. BMO Capital Markets lowered their target price on Dave & Buster’s Entertainment from $65.00 to $55.00 and set an “outperform” rating on the stock in a report on Wednesday, September 11th. Finally, Benchmark assumed coverage on shares of Dave & Buster’s Entertainment in a research note on Monday, October 7th. They set a “hold” rating for the company. One equities research analyst has rated the stock with a sell rating, four have issued a hold rating and five have issued a buy rating to the company’s stock. According to MarketBeat, the company presently has a consensus rating of “Hold” and a consensus price target of $62.57.

Dave & Buster’s Entertainment Price Performance

The company’s 50 day simple moving average is $35.63 and its 200 day simple moving average is $38.35. The company has a debt-to-equity ratio of 4.54, a current ratio of 0.24 and a quick ratio of 0.14. The stock has a market cap of $1.43 billion, a P/E ratio of 13.42 and a beta of 2.13.

Dave & Buster’s Entertainment (NASDAQ:PLAY) last released its quarterly earnings data on Tuesday, September 10th. The restaurant operator reported $1.12 earnings per share for the quarter, beating the consensus estimate of $0.84 by $0.28. Dave & Buster’s Entertainment had a return on equity of 51.75% and a net margin of 5.10%. The business had revenue of $557.10 million for the quarter, compared to analysts’ expectations of $560.65 million. During the same quarter in the previous year, the business posted $0.94 EPS. Dave & Buster’s Entertainment’s revenue for the quarter was up 2.8% on a year-over-year basis. As a group, equities analysts forecast that Dave & Buster’s Entertainment Inc will post 2.62 earnings per share for the current year.

Insider Activity

In related news, CEO Christopher Daniel Morris purchased 14,912 shares of the firm’s stock in a transaction on Monday, October 7th. The stock was purchased at an average cost of $33.67 per share, for a total transaction of $502,087.04. Following the completion of the purchase, the chief executive officer now directly owns 83,847 shares in the company, valued at $2,823,128.49. This trade represents a 21.63 % increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Corporate insiders own 1.60% of the company’s stock.

Institutional Trading of Dave & Buster’s Entertainment

Several institutional investors and hedge funds have recently added to or reduced their stakes in PLAY. Kimelman & Baird LLC bought a new stake in shares of Dave & Buster’s Entertainment in the 2nd quarter valued at about $28,000. Quarry LP bought a new stake in Dave & Buster’s Entertainment in the third quarter valued at approximately $47,000. Point72 Hong Kong Ltd acquired a new stake in shares of Dave & Buster’s Entertainment in the third quarter valued at approximately $121,000. Point72 Asia Singapore Pte. Ltd. bought a new position in shares of Dave & Buster’s Entertainment during the 3rd quarter worth approximately $144,000. Finally, Allspring Global Investments Holdings LLC boosted its stake in shares of Dave & Buster’s Entertainment by 22,338.9% during the 2nd quarter. Allspring Global Investments Holdings LLC now owns 4,039 shares of the restaurant operator’s stock worth $161,000 after acquiring an additional 4,021 shares during the period. 91.45% of the stock is owned by 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.