Dave & Buster's Entertainment, Inc. (PLAY) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Liberty Media Corp.

Churchill Downs, Inc.

Atlanta Braves Holdings, Inc.

Cinemark Holdings, Inc.

DraftKings, Inc.

Dave & Buster's Entertainment, Inc.

Cedar Fair LP

PENN Entertainment, Inc.

United Parks & Resorts, Inc.

Six Flags Entertainment Corp.

Madison Square Garden Sports Corp.

Why is Dave & Buster's Entertainment, Inc. ?

Negative results in Apr 25

NET PROFIT(HY) At USD 33 MM has Grown at -60.11%
OPERATING CASH FLOW(Y) Lowest at USD 299.3 MM
ROCE(HY) Lowest at 17.57%

With ROCE of 15.85%, it has a fair valuation with a 1.58 Enterprise value to Capital Employed

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -55.92%, its profits have fallen by -46.6%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -55.92% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Media & Entertainment)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Dave & Buster's Entertainment, Inc. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Dave & Buster's Entertainment, Inc.

-52.36%

-0.91

73.44%

S&P 500

13.22%

0.61

20.17%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

12.91%

EBIT Growth (5y)

34.93%

EBIT to Interest (avg)

1.94

Debt to EBITDA (avg)

2.30

Net Debt to Equity (avg)

11.24

Sales to Capital Employed (avg)

1.28

Tax Ratio

12.07%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

17.89%

ROE (avg)

33.10%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

7.78

EV to EBIT

9.97

EV to EBITDA

5.30

EV to Capital Employed

1.58

EV to Sales

1.26

PEG Ratio

Dividend Yield

ROCE (Latest)

15.85%

ROE (Latest)

52.60%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

2What is working for the Company

INVENTORY TURNOVER RATIO(HY)

Highest at 44.69 times

-16What is not working for the Company

NET PROFIT(HY)

At USD 33 MM has Grown at -60.11%

OPERATING CASH FLOW(Y)

Lowest at USD 299.3 MM

ROCE(HY)

Lowest at 17.57%

RAW MATERIAL COST(Y)

Grown by 15.52% (YoY

CASH AND EQV(HY)

Lowest at USD 18.8 MM

DEBT-EQUITY RATIO (HY)

Highest at 2,359.74 %

Here's what is working for Dave & Buster's Entertainment, Inc.

Inventory Turnover Ratio

Highest at 44.69 times and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Here's what is not working for Dave & Buster's Entertainment, Inc.

Net Profit

At USD 33 MM has Grown at -60.11%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Operating Cash Flow

Lowest at USD 299.3 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Cash and Eqv

Lowest at USD 18.8 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at 2,359.74 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Raw Material Cost

Grown by 15.52% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales