NasdaqGS:PLAY

Stock Analysis Report

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Executive Summary

Dave & Buster's Entertainment, Inc. owns and operates entertainment and dining venues for adults and families in North America. More Details


Snowflake Analysis

Exceptional growth potential with weak fundamentals.


Similar Companies

Share Price & News

How has Dave & Buster's Entertainment's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: PLAY is more volatile than 75% of US stocks over the past 3 months, typically moving +/- 14% a week.

Volatility Over Time: PLAY's weekly volatility has decreased from 23% to 14% over the past year, but is still higher than 75% of US stocks.


Market Performance


7 Day Return

0.9%

PLAY

0.4%

US Hospitality

1.4%

US Market


1 Year Return

-27.1%

PLAY

-7.0%

US Hospitality

22.6%

US Market

Return vs Industry: PLAY underperformed the US Hospitality industry which returned -7.4% over the past year.

Return vs Market: PLAY underperformed the US Market which returned 22.8% over the past year.


Shareholder returns

PLAYIndustryMarket
7 Day0.9%0.4%1.4%
30 Day18.0%5.2%4.9%
90 Day64.7%20.8%14.6%
1 Year-27.1%-27.1%-5.9%-7.0%25.4%22.6%
3 Year-30.3%-31.7%-4.1%-9.9%46.8%37.0%
5 Year-1.0%-3.1%64.3%47.7%132.0%106.1%

Long-Term Price Volatility Vs. Market

How volatile is Dave & Buster's Entertainment's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Dave & Buster's Entertainment undervalued compared to its fair value and its price relative to the market?

7.76x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: PLAY ($33.69) is trading above our estimate of fair value ($29.08)

Significantly Below Fair Value: PLAY is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: PLAY is unprofitable, so we can't compare its PE Ratio to the US Hospitality industry average.

PE vs Market: PLAY is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate PLAY's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: PLAY is overvalued based on its PB Ratio (7.8x) compared to the US Hospitality industry average (3.2x).


Next Steps

Future Growth

How is Dave & Buster's Entertainment forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?

107.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PLAY is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2%).

Earnings vs Market: PLAY is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: PLAY's is expected to become profitable in the next 3 years.

Revenue vs Market: PLAY's revenue (33.1% per year) is forecast to grow faster than the US market (10.5% per year).

High Growth Revenue: PLAY's revenue (33.1% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: PLAY's Return on Equity is forecast to be very high in 3 years time (51.5%).


Next Steps

Past Performance

How has Dave & Buster's Entertainment performed over the past 5 years?

-15.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PLAY is currently unprofitable.

Growing Profit Margin: PLAY is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: PLAY is unprofitable, and losses have increased over the past 5 years at a rate of 15.9% per year.

Accelerating Growth: Unable to compare PLAY's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: PLAY is unprofitable, making it difficult to compare its past year earnings growth to the Hospitality industry (-56.1%).


Return on Equity

High ROE: PLAY has a negative Return on Equity (-60.55%), as it is currently unprofitable.


Next Steps

  • Explore strong past performing companies in the Consumer Services industry.

Financial Health

How is Dave & Buster's Entertainment's financial position?


Financial Position Analysis

Short Term Liabilities: PLAY's short term assets ($92.4M) do not cover its short term liabilities ($287.4M).

Long Term Liabilities: PLAY's short term assets ($92.4M) do not cover its long term liabilities ($1.9B).


Debt to Equity History and Analysis

Debt Level: PLAY's debt to equity ratio (278.8%) is considered high.

Reducing Debt: PLAY's debt to equity ratio has increased from 110.5% to 278.8% over the past 5 years.

Debt Coverage: PLAY's debt is not well covered by operating cash flow (6.8%).

Interest Coverage: Insufficient data to determine if PLAY's interest payments on its debt are well covered by EBIT.


Balance Sheet


Next Steps

Dividend

What is Dave & Buster's Entertainment current dividend yield, its reliability and sustainability?

0.23%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate PLAY's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate PLAY's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if PLAY's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if PLAY's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: PLAY is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of PLAY's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.3yrs

Average management tenure


CEO

Brian Jenkins (58 yo)

2.42yrs

Tenure

US$3,044,168

Compensation

Mr. Brian A. Jenkins serves as Chief Executive Officer at Dave & Buster's Entertainment, Inc. since August 05, 2018 and its Director since September 13, 2018. Mr. Jenkins was Senior Vice President and Chie...


CEO Compensation Analysis

Compensation vs Market: Brian's total compensation ($USD3.04M) is about average for companies of similar size in the US market ($USD3.86M).

Compensation vs Earnings: Brian's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Brian Jenkins
CEO & Director2.42yrsUS$3.04m0.36%
$ 5.8m
Scott Bowman
Senior VP & CFO1.67yrsUS$1.18m0.074%
$ 1.2m
Margo Manning
COO & Senior VP4.08yrsUS$1.37m0.15%
$ 2.4m
Joseph DeProspero
Senior Vice President of Supply Chain & Business Development1.67yrsUS$460.36k0.031%
$ 494.7k
John Mulleady
Senior Vice President of Real Estate & Development8.75yrsUS$1.18m0.072%
$ 1.2m
Michael Metzinger
VP of Accounting & Controller16yrsno data0.022%
$ 346.1k
John Hurtado
Senior VP & Chief Information Officer1.67yrsno data0.094%
$ 1.5m
Robert Edmund
General Counsel2.25yrsno data0.059%
$ 946.3k
Brandon Coleman
Senior VP & Chief Marketing Officer0.92yrno data0.051%
$ 816.5k
Kevin Bachus
Senior Vice President of Entertainment & Games Strategy8.17yrsUS$701.72k0.056%
$ 897.5k
Joe Jackman
Consultantno datano datano data

2.3yrs

Average Tenure

53yo

Average Age

Experienced Management: PLAY's management team is considered experienced (2.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Brian Jenkins
CEO & Director2.42yrsUS$3.04m0.36%
$ 5.8m
John Hockin
Independent Director0.67yrno datano data
Kevin Sheehan
Independent Director9.25yrsUS$209.96k0.17%
$ 2.7m
Stephen King
Chairman of the Board3.5yrsUS$264.96k0.17%
$ 2.7m
Jonathan Halkyard
Independent Director9.25yrsUS$207.46k0.067%
$ 1.1m
Hamish Dodds
Independent Director3.75yrsUS$189.96k0.036%
$ 580.9k
Michael Griffith
Lead Independent Director3yrsUS$254.96k0.10%
$ 1.6m
Jennifer Storms
Independent Director4.75yrsUS$189.96k0.039%
$ 627.4k
Patricia Mueller
Independent Director5.75yrsUS$197.46k0.043%
$ 688.7k
James Chambers
Independent Director0.083yrno datano data

3.6yrs

Average Tenure

58yo

Average Age

Experienced Board: PLAY's board of directors are considered experienced (3.6 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: PLAY insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been substantially diluted in the past year, with total shares outstanding growing by 55.8%.


Top Shareholders

Company Information

Dave & Buster's Entertainment, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Dave & Buster's Entertainment, Inc.
  • Ticker: PLAY
  • Exchange: NasdaqGS
  • Founded: 1982
  • Industry: Restaurants
  • Sector: Consumer Services
  • Market Cap: US$1.605b
  • Shares outstanding: 47.64m
  • Website: https://ir.daveandbusters.com

Number of Employees


Location

  • Dave & Buster's Entertainment, Inc.
  • 2481 MaNana Drive
  • Dallas
  • Texas
  • 75220
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PLAYNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDOct 2014
9DBDB (Deutsche Boerse AG)YesCommon StockDEEUROct 2014

Biography

Dave & Buster's Entertainment, Inc. owns and operates entertainment and dining venues for adults and families in North America. Its venues offer a menu of entrées and appetizers, as well as a selection of ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/01/21 23:19
End of Day Share Price2021/01/21 00:00
Earnings2020/11/01
Annual Earnings2020/02/02


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.