Dave & Buster's (PLAY) Registers a Bigger Fall Than the Market: Important Facts to Note
In the latest trading session, Dave & Buster's (PLAY) closed at $34.26, marking a -1.44% move from the previous day. The stock fell short of the S&P 500, which registered a loss of 1.18% for the day. Meanwhile, the Dow lost 0.76%, and the Nasdaq, a tech-heavy index, lost 1.76%.
Prior to today's trading, shares of the owner of Dave & Buster's, a chain of restaurants and arcades had lost 4.11% over the past month. This has was narrower than the Retail-Wholesale sector's loss of 4.94% and lagged the S&P 500's loss of 3.35% in that time.
Analysts and investors alike will be keeping a close eye on the performance of Dave & Buster's in its upcoming earnings disclosure. The company's upcoming EPS is projected at -$0.19, signifying a 575% drop compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $473.55 million, down 1.59% from the prior-year quarter.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $2.85 per share and revenue of $2.24 billion. These totals would mark changes of +2.15% and +13.85%, respectively, from last year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Dave & Buster's. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. As of now, Dave & Buster's holds a Zacks Rank of #3 (Hold).
Looking at valuation, Dave & Buster's is presently trading at a Forward P/E ratio of 12.18. This denotes a discount relative to the industry's average Forward P/E of 19.47.
The Retail - Restaurants industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 75, which puts it in the top 30% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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Dave & Buster's Entertainment, Inc. (PLAY) : Free Stock Analysis Report
