Research Analysts Offer Predictions for PLAY Q3 Earnings

Dave & Buster’s Entertainment, Inc. (NASDAQ:PLAY) – Research analysts at Zacks Research reduced their Q3 2027 earnings per share estimates for Dave & Buster’s Entertainment in a report issued on Monday, September 28th. Zacks Research analyst Team now expects that the restaurant operator will earn ($1.42) per share for the quarter, down from their prior forecast of ($1.40). Zacks Research has a “Strong Sell” rating on the stock. The consensus estimate for Dave & Buster’s Entertainment’s current full-year earnings is ($1.39) per share. Zacks Research also issued estimates for Dave & Buster’s Entertainment’s Q4 2027 earnings at ($0.10) EPS, FY2027 earnings at ($1.57) EPS, Q2 2028 earnings at ($0.05) EPS, Q3 2028 earnings at ($1.45) EPS, Q4 2028 earnings at ($0.21) EPS, FY2028 earnings at ($1.49) EPS, Q1 2029 earnings at $0.56 EPS, Q2 2029 earnings at ($0.15) EPS and FY2029 earnings at ($0.83) EPS.

Several other research firms also recently issued reports on PLAY. BMO Capital Markets decreased their price objective on shares of Dave & Buster’s Entertainment from $22.00 to $13.00 and set an “outperform” rating for the company in a research note on Tuesday, September 15th. Weiss Ratings reiterated a “sell (d)” rating on shares of Dave & Buster’s Entertainment in a research report on Friday, July 17th. Citizens Jmp assumed coverage on Dave & Buster’s Entertainment in a report on Monday, June 29th. They issued a “market perform” rating for the company. UBS Group decreased their target price on Dave & Buster’s Entertainment from $12.00 to $9.00 and set a “neutral” rating for the company in a research report on Tuesday, September 15th. Finally, Citigroup restated a “market perform” rating on shares of Dave & Buster’s Entertainment in a research note on Tuesday, September 15th. Two analysts have rated the stock with a Buy rating, five have assigned a Hold rating and two have assigned a Sell rating to the company’s stock. According to data from MarketBeat, the company currently has an average rating of “Hold” and an average price target of $17.33.

Dave & Buster’s Entertainment Price Performance

Shares of NASDAQ:PLAY opened at $6.49 on Wednesday. The company’s fifty day moving average price is $9.09 and its 200 day moving average price is $10.79. Dave & Buster’s Entertainment has a 12 month low of $6.38 and a 12 month high of $22.10. The company has a debt-to-equity ratio of 17.07, a current ratio of 0.30 and a quick ratio of 0.21. The firm has a market capitalization of $226.05 million, a P/E ratio of -2.53 and a beta of 1.82.

Dave & Buster’s Entertainment (NASDAQ:PLAY) last issued its earnings results on Monday, September 14th. The restaurant operator reported ($0.27) earnings per share (EPS) for the quarter, missing the consensus estimate of $0.19 by ($0.46). The company had revenue of $544.10 million during the quarter, compared to analyst estimates of $556.83 million. Dave & Buster’s Entertainment had a negative net margin of 4.26% and a negative return on equity of 51.87%. The company’s quarterly revenue was down 2.4% on a year-over-year basis. During the same quarter in the previous year, the company posted $0.32 EPS.

Institutional Investors Weigh In On Dave & Buster’s Entertainment

Several hedge funds have recently modified their holdings of PLAY. Public Employees Retirement System of Ohio acquired a new stake in Dave & Buster’s Entertainment in the 2nd quarter valued at about $25,000. Legal & General Group Plc acquired a new position in Dave & Buster’s Entertainment during the second quarter worth about $28,000. Persistent Asset Partners Ltd purchased a new stake in shares of Dave & Buster’s Entertainment in the second quarter valued at about $33,000. Caitong International Asset Management Co. Ltd lifted its holdings in shares of Dave & Buster’s Entertainment by 1,547.2% in the fourth quarter. Caitong International Asset Management Co. Ltd now owns 4,464 shares of the restaurant operator’s stock valued at $72,000 after purchasing an additional 4,193 shares in the last quarter. Finally, Headlands Technologies LLC acquired a new stake in shares of Dave & Buster’s Entertainment in the second quarter valued at approximately $141,000. 91.45% of the stock is owned by institutional investors and hedge funds.

Insider Transactions at Dave & Buster’s Entertainment

In related news, CFO Cory Hatton purchased 4,000 shares of the company’s stock in a transaction that occurred on Monday, September 28th. The shares were purchased at an average price of $6.50 per share, for a total transaction of $26,000.00. Following the transaction, the chief financial officer directly owned 104,475 shares of the company’s stock, valued at approximately $679,087.50. The trade was a 3.98% increase in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, Director Nathaniel Lipman acquired 12,000 shares of Dave & Buster’s Entertainment stock in a transaction on Thursday, September 17th. The shares were bought at an average cost of $6.78 per share, with a total value of $81,360.00. Following the completion of the purchase, the director owned 30,715 shares in the company, valued at $208,247.70. The trade was a 64.12% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. 1.73% of the stock is currently owned by corporate insiders.

Key Stories Impacting Dave & Buster’s Entertainment

Here are the key news stories impacting Dave & Buster’s Entertainment this week:

• Positive Sentiment: CFO Cory Hatton purchased 4,000 shares at an average price of $6.50, increasing his direct stake by approximately 4%. The insider purchase may signal management confidence that the stock has been oversold. Dave & Buster’s Entertainment CFO Cory Hatton Purchases 4,000 Shares of Stock
• Neutral Sentiment: Zacks Research maintained a “Hold” rating, despite making numerous changes to its forecasts. It raised estimates for Q4 2027 EPS to a loss of $0.10 from $0.18 and Q1 2029 EPS to $0.56 from $0.36, but these improvements were outweighed by broader reductions.
• Negative Sentiment: Zacks cut its FY2027 EPS forecast to a loss of $1.57 from $1.18 and reduced FY2028 EPS to a loss of $1.49 from $1.09. It also lowered estimates for Q2 2028, Q3 2028, Q4 2028, Q2 2029 and FY2029, suggesting analysts expect prolonged earnings weakness. Zacks Research Has Pessimistic Opinion of PLAY Q1 Earnings
• Negative Sentiment: Moody’s cut its outlook on Dave & Buster’s to negative, citing a sales slump. The action adds credit-risk concerns for a company with a debt-to-equity ratio above 17 and could weigh on investor confidence. Moody’s cuts Dave & Buster’s outlook to negative on sales slump
• Negative Sentiment: The company’s latest reported quarter included an EPS loss of $0.27 versus expectations for $0.19 of profit, while revenue declined 2.4% year over year and missed estimates. The results reinforce concerns about the turnaround and help explain the stock’s sharp decline from its one-year high.

Dave & Buster’s Entertainment Company Profile

Dave & Buster’s Entertainment, Inc (NASDAQ: PLAY) is an entertainment and dining company that operates venues combining arcade games, sports viewing, food and beverages, and social experiences. Its Dave & Buster’s locations are designed for adults and families and offer interactive games, prize redemption, casual dining, full-service bars, and space for group events and parties.

The company also operates Main Event, a family entertainment brand offering bowling, arcade games, laser tag, virtual reality attractions, and food and beverages.