DAVE & BUSTER'S ENTERTAINMEN (PLAY) Stock Fundamental Analysis
USA - NASDAQ:PLAY - US2383371091 - Common Stock
19.25 USD
+0.13 (+0.68%)
19.28 USD
+0.03 (+0.16%)
Taking everything into account, PLAY scores 3 out of 10 in our fundamental rating. PLAY was compared to 134 industry peers in the Hotels, Restaurants & Leisure industry. There are concerns on the financial health of PLAY while its profitability can be described as average. PLAY has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year PLAY was profitable.
PLAY had a positive operating cash flow in the past year.
PLAY had positive earnings in 4 of the past 5 years.
Of the past 5 years PLAY 4 years had a positive operating cash flow.
1.2 Ratios
PLAY's Return On Assets of 0.24% is on the low side compared to the rest of the industry. PLAY is outperformed by 64.93% of its industry peers.
PLAY has a Return On Equity of 5.84%. This is comparable to the rest of the industry: PLAY outperforms 57.46% of its industry peers.
PLAY has a Return On Invested Capital (4.39%) which is in line with its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for PLAY is significantly below the industry average of 15.67%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.24% | ||
| ROE | 5.84% | ||
| ROIC | 4.39% |
ROA(3y)2.83%
ROA(5y)0.86%
ROE(3y)41.3%
ROE(5y)5.64%
ROIC(3y)6.77%
ROIC(5y)N/A
1.3 Margins
PLAY's Profit Margin of 0.46% is on the low side compared to the rest of the industry. PLAY is outperformed by 64.18% of its industry peers.
PLAY's Profit Margin has declined in the last couple of years.
PLAY has a Operating Margin (9.66%) which is in line with its industry peers.
PLAY's Operating Margin has improved in the last couple of years.
PLAY's Gross Margin of 85.62% is amongst the best of the industry. PLAY outperforms 95.52% of its industry peers.
PLAY's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.66% | ||
| PM (TTM) | 0.46% | ||
| GM | 85.62% |
OM growth 3Y-5.03%
OM growth 5Y2.38%
PM growth 3Y-31.02%
PM growth 5Y-18.07%
GM growth 3Y0.39%
GM growth 5Y0.59%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so PLAY is destroying value.
PLAY has less shares outstanding than it did 1 year ago.
PLAY has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, PLAY has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.95, we must say that PLAY is in the distress zone and has some risk of bankruptcy.
PLAY has a worse Altman-Z score (0.95) than 68.66% of its industry peers.
PLAY has a Debt/Equity ratio of 9.52. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of PLAY (9.52) is worse than 66.42% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 9.52 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.95 |
ROIC/WACC0.44
WACC9.96%
2.3 Liquidity
PLAY has a Current Ratio of 0.33. This is a bad value and indicates that PLAY is not financially healthy enough and could expect problems in meeting its short term obligations.
PLAY's Current ratio of 0.33 is on the low side compared to the rest of the industry. PLAY is outperformed by 88.81% of its industry peers.
PLAY has a Quick Ratio of 0.33. This is a bad value and indicates that PLAY is not financially healthy enough and could expect problems in meeting its short term obligations.
PLAY's Quick ratio of 0.22 is on the low side compared to the rest of the industry. PLAY is outperformed by 92.54% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.33 | ||
| Quick Ratio | 0.22 |
3. Growth
3.1 Past
The earnings per share for PLAY have decreased strongly by -74.09% in the last year.
The earnings per share for PLAY have been decreasing by -10.14% on average. This is quite bad
The Revenue has decreased by -4.45% in the past year.
PLAY shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.50% yearly.
EPS 1Y (TTM)-74.09%
EPS 3Y-8.78%
EPS 5Y-10.14%
EPS Q2Q%-59.6%
Revenue 1Y (TTM)-4.45%
Revenue growth 3Y17.82%
Revenue growth 5Y9.5%
Sales Q2Q%0.05%
3.2 Future
PLAY is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 19.16% yearly.
PLAY is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.47% yearly.
EPS Next Y-47.56%
EPS Next 2Y8.38%
EPS Next 3Y19.16%
EPS Next 5YN/A
Revenue Next Year0.23%
Revenue Next 2Y3.23%
Revenue Next 3Y3.47%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 27.11, PLAY can be considered very expensive at the moment.
PLAY's Price/Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Earnings ratio of 27.32, PLAY is valued at the same level.
With a Price/Forward Earnings ratio of 9.81, the valuation of PLAY can be described as very reasonable.
PLAY's Price/Forward Earnings ratio is rather cheap when compared to the industry. PLAY is cheaper than 89.55% of the companies in the same industry.
PLAY is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.89, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.11 | ||
| Fwd PE | 9.81 |
4.2 Price Multiples
PLAY's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. PLAY is cheaper than 91.79% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 4.97 |
4.3 Compensation for Growth
PLAY's earnings are expected to grow with 19.16% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y8.38%
EPS Next 3Y19.16%
5. Dividend
5.1 Amount
No dividends for PLAY!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
19.25
+0.13 (+0.68%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners97.88%
Inst Owner Change-7.98%
Ins Owners1.84%
Ins Owner Change9.25%
Market Cap665.66M
Analysts74.12
Price Target35.32 (83.48%)
Short Float %22.69%
Short Ratio6.27
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-47.81%
Min EPS beat(2)-57.32%
Max EPS beat(2)-38.29%
EPS beat(4)0
Avg EPS beat(4)-52.4%
Min EPS beat(4)-66.74%
Max EPS beat(4)-38.29%
EPS beat(8)2
Avg EPS beat(8)-31.17%
EPS beat(12)5
Avg EPS beat(12)-21.93%
EPS beat(16)7
Avg EPS beat(16)-15.27%
Revenue beat(2)0
Avg Revenue beat(2)-3.17%
Min Revenue beat(2)-3.44%
Max Revenue beat(2)-2.9%
Revenue beat(4)0
Avg Revenue beat(4)-3.93%
Min Revenue beat(4)-4.79%
Max Revenue beat(4)-2.9%
Revenue beat(8)0
Avg Revenue beat(8)-3.91%
Revenue beat(12)1
Avg Revenue beat(12)-2.99%
Revenue beat(16)3
Avg Revenue beat(16)-2.48%
PT rev (1m)-0.72%
PT rev (3m)40.1%
EPS NQ rev (1m)-8.69%
EPS NQ rev (3m)-22.11%
EPS NY rev (1m)-47.42%
EPS NY rev (3m)-59.16%
Revenue NQ rev (1m)-0.31%
Revenue NQ rev (3m)0.86%
Revenue NY rev (1m)-0.23%
Revenue NY rev (3m)0.27%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.11 | ||
| Fwd PE | 9.81 | ||
| P/S | 0.32 | ||
| P/FCF | N/A | ||
| P/OCF | 2.88 | ||
| P/B | 4.01 | ||
| P/tB | N/A | ||
| EV/EBITDA | 4.97 |
EPS(TTM)0.71
EY3.69%
EPS(NY)1.96
Fwd EY10.19%
FCF(TTM)-9.06
FCFYN/A
OCF(TTM)6.69
OCFY34.78%
SpS61.09
BVpS4.81
TBVpS-21.82
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.24% | ||
| ROE | 5.84% | ||
| ROCE | 5.45% | ||
| ROIC | 4.39% | ||
| ROICexc | 4.41% | ||
| ROICexgc | 5.85% | ||
| OM | 9.66% | ||
| PM (TTM) | 0.46% | ||
| GM | 85.62% | ||
| FCFM | N/A |
ROA(3y)2.83%
ROA(5y)0.86%
ROE(3y)41.3%
ROE(5y)5.64%
ROIC(3y)6.77%
ROIC(5y)N/A
ROICexc(3y)6.93%
ROICexc(5y)N/A
ROICexgc(3y)9.6%
ROICexgc(5y)N/A
ROCE(3y)8.4%
ROCE(5y)N/A
ROICexcg growth 3Y-4.38%
ROICexcg growth 5Y2.58%
ROICexc growth 3Y-7.68%
ROICexc growth 5Y0.35%
OM growth 3Y-5.03%
OM growth 5Y2.38%
PM growth 3Y-31.02%
PM growth 5Y-18.07%
GM growth 3Y0.39%
GM growth 5Y0.59%
F-Score6
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 9.52 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 3.51 | ||
| Cap/Depr | 221.23% | ||
| Cap/Sales | 25.79% | ||
| Interest Coverage | 1.52 | ||
| Cash Conversion | 51.41% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.33 | ||
| Quick Ratio | 0.22 | ||
| Altman-Z | 0.95 |
F-Score6
WACC9.96%
ROIC/WACC0.44
Cap/Depr(3y)173.1%
Cap/Depr(5y)129.15%
Cap/Sales(3y)17.25%
Cap/Sales(5y)15.57%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-74.09%
EPS 3Y-8.78%
EPS 5Y-10.14%
EPS Q2Q%-59.6%
EPS Next Y-47.56%
EPS Next 2Y8.38%
EPS Next 3Y19.16%
EPS Next 5YN/A
Revenue 1Y (TTM)-4.45%
Revenue growth 3Y17.82%
Revenue growth 5Y9.5%
Sales Q2Q%0.05%
Revenue Next Year0.23%
Revenue Next 2Y3.23%
Revenue Next 3Y3.47%
Revenue Next 5YN/A
EBIT growth 1Y-26.75%
EBIT growth 3Y11.89%
EBIT growth 5Y12.1%
EBIT Next Year80.91%
EBIT Next 3Y26.93%
EBIT Next 5YN/A
FCF growth 1Y-324.66%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-43.2%
OCF growth 3Y3.33%
OCF growth 5Y1.57%