Dave & Buster’s Entertainment Inc (NASDAQ:PLAY) Sees Significant Decline in Short Interest

Dave & Buster’s Entertainment Inc (NASDAQ:PLAY) was the target of a large drop in short interest during the month of November. As of November 15th, there was short interest totalling 6,320,000 shares, a drop of 25.9% from the October 31st total of 8,530,000 shares. Approximately 16.4% of the company’s shares are short sold. Based on an average daily volume of 1,420,000 shares, the short-interest ratio is currently 4.5 days.

Dave & Buster’s Entertainment Price Performance

Shares of Dave & Buster’s Entertainment stock traded up $1.54 during mid-day trading on Friday, reaching $39.16. 399,753 shares of the stock traded hands, compared to its average volume of 1,248,560. The stock has a market capitalization of $1.54 billion, a PE ratio of 13.73 and a beta of 2.13. The business has a 50-day moving average of $36.00 and a 200 day moving average of $38.10. Dave & Buster’s Entertainment has a fifty-two week low of $29.31 and a fifty-two week high of $69.82. The company has a quick ratio of 0.14, a current ratio of 0.24 and a debt-to-equity ratio of 4.54.

Dave & Buster’s Entertainment (NASDAQ:PLAY) last released its earnings results on Tuesday, September 10th. The restaurant operator reported $1.12 earnings per share for the quarter, topping analysts’ consensus estimates of $0.84 by $0.28. The business had revenue of $557.10 million for the quarter, compared to analyst estimates of $560.65 million. Dave & Buster’s Entertainment had a net margin of 5.10% and a return on equity of 51.75%. The business’s revenue was up 2.8% on a year-over-year basis. During the same period last year, the company posted $0.94 EPS. On average, analysts predict that Dave & Buster’s Entertainment will post 2.59 EPS for the current year.

Wall Street Analyst Weigh In

Several equities research analysts have issued reports on the stock. Benchmark started coverage on shares of Dave & Buster’s Entertainment in a research report on Monday, October 7th. They issued a “hold” rating for the company. Truist Financial lowered their price target on Dave & Buster’s Entertainment from $59.00 to $56.00 and set a “buy” rating for the company in a report on Tuesday. StockNews.com downgraded Dave & Buster’s Entertainment from a “hold” rating to a “sell” rating in a report on Wednesday, September 11th. BMO Capital Markets lowered their target price on Dave & Buster’s Entertainment from $55.00 to $51.00 and set an “outperform” rating for the company in a report on Tuesday. Finally, Loop Capital cut their price target on 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. One research analyst has rated the stock with a sell rating, four have assigned a hold rating and five have assigned a buy rating to the company. According to data from MarketBeat, Dave & Buster’s Entertainment presently has an average rating of “Hold” and a consensus price target of $61.57.

Insider Activity

In other Dave & Buster’s Entertainment news, CEO Christopher Daniel Morris acquired 14,912 shares of the business’s stock in a transaction on Monday, October 7th. The shares were bought at an average price of $33.67 per share, with a total value of $502,087.04. Following the transaction, the chief executive officer now directly owns 83,847 shares of the company’s stock, valued at $2,823,128.49. The trade was a 21.63 % increase in their position. The purchase was disclosed in a document filed with the SEC, which is available at this link. Corporate insiders own 1.60% of the company’s stock.

Institutional Trading of Dave & Buster’s Entertainment

Several large investors have recently added to or reduced their stakes in PLAY. Kimelman & Baird LLC acquired a new position in shares of Dave & Buster’s Entertainment during the 2nd quarter valued at about $28,000. Quarry LP purchased a new stake in shares of Dave & Buster’s Entertainment in the 3rd quarter valued at approximately $47,000. Point72 Hong Kong Ltd acquired a new stake in Dave & Buster’s Entertainment during the third quarter worth $121,000. Point72 Asia Singapore Pte. Ltd. purchased a new stake in Dave & Buster’s Entertainment in the 3rd quarter valued at about $144,000. Finally, Allspring Global Investments Holdings LLC lifted its holdings in shares of Dave & Buster’s Entertainment by 22,338.9% in 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 last quarter. 91.45% of the stock is currently owned by hedge funds and other 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.