Dave & Buster's (PLAY) Stock Falls Amid Market Uptick: What Investors Need to Know
Dave & Buster's (PLAY) closed at $62.60 in the latest trading session, marking a -0.49% move from the prior day. This move lagged the S&P 500's daily gain of 0.51%. On the other hand, the Dow registered a gain of 0.2%, and the technology-centric Nasdaq increased by 0.58%.
Shares of the owner of Dave & Buster's, a chain of restaurants and arcades witnessed a gain of 15.75% over the previous month, beating the performance of the Retail-Wholesale sector with its gain of 4.13% and the S&P 500's gain of 2.94%.
Investors will be eagerly watching for the performance of Dave & Buster's in its upcoming earnings disclosure. The company is predicted to post an EPS of $1.10, indicating a 37.5% growth compared to the equivalent quarter last year. At the same time, our most recent consensus estimate is projecting a revenue of $607.62 million, reflecting a 7.78% rise from the equivalent quarter last year.
Investors should also note any recent changes to analyst estimates for Dave & Buster's. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.45% higher. Dave & Buster's is holding a Zacks Rank of #2 (Buy) right now.
From a valuation perspective, Dave & Buster's is currently exchanging hands at a Forward P/E ratio of 15.37. This expresses a discount compared to the average Forward P/E of 21.06 of its industry.
The Retail - Restaurants industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 90, finds itself in the top 36% echelons of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow PLAY in the coming trading sessions, be sure to utilize Zacks.com.
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Dave & Buster's Entertainment, Inc. (PLAY) : Free Stock Analysis Report
