DAVE & BUSTER'S ENTERTAINMEN (PLAY) Stock Fundamental Analysis
USA - NASDAQ:PLAY - US2383371091 - Common Stock
15.03 USD
-1.06 (-6.59%)
15.2 USD
+0.17 (+1.13%)
PLAY gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 133 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
PLAY had positive earnings in the past year.
In the past year PLAY had a positive cash flow from operations.
Of the past 5 years PLAY 4 years were profitable.
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 64.66% of its industry peers.
Looking at the Return On Equity, with a value of 5.84%, PLAY is in line with its industry, outperforming 57.14% of the companies in the same industry.
PLAY has a Return On Invested Capital of 4.39%. This is comparable to the rest of the industry: PLAY outperforms 45.86% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for PLAY is below the industry average of 10.67%.
| 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
With a Profit Margin value of 0.46%, PLAY is not doing good in the industry: 63.91% of the companies in the same industry are doing better.
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 has a Gross Margin of 85.62%. This is amongst the best in the industry. PLAY outperforms 96.24% of its industry peers.
In the last couple of years the Gross Margin of PLAY has remained more or less at the same level.
| 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
PLAY has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
PLAY has less shares outstanding than it did 1 year ago.
The number of shares outstanding for PLAY has been increased compared to 5 years ago.
PLAY has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.93, we must say that PLAY is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.93, PLAY is doing worse than 68.42% of the companies in the same industry.
PLAY has a Debt/Equity ratio of 9.52. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 9.52, PLAY is doing worse than 66.92% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 9.52 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.93 |
ROIC/WACC0.46
WACC9.49%
2.3 Liquidity
A Current Ratio of 0.33 indicates that PLAY may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.33, PLAY is doing worse than 88.72% of the companies in the same industry.
A Quick Ratio of 0.22 indicates that PLAY may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.22, PLAY is doing worse than 91.73% of the companies in the same industry.
| 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 -77.01% 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)-77.01%
EPS 3Y-8.78%
EPS 5Y-10.14%
EPS Q2Q%-67.68%
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 18.44% yearly.
The Revenue is expected to grow by 3.36% on average over the next years.
EPS Next Y-59.93%
EPS Next 2Y2.67%
EPS Next 3Y18.44%
EPS Next 5YN/A
Revenue Next Year-0.68%
Revenue Next 2Y2.44%
Revenue Next 3Y3.36%
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
PLAY is valuated rather expensively with a Price/Earnings ratio of 23.86.
Compared to the rest of the industry, the Price/Earnings ratio of PLAY is on the same level as its industry peers.
When comparing the Price/Earnings ratio of PLAY to the average of the S&P500 Index (26.19), we can say PLAY is valued inline with the index average.
The Price/Forward Earnings ratio is 8.54, which indicates a very decent valuation of PLAY.
90.23% of the companies in the same industry are more expensive than PLAY, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.50, PLAY is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.86 | ||
| Fwd PE | 8.54 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of PLAY indicates a rather cheap valuation: PLAY is cheaper than 93.23% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 4.74 |
4.3 Compensation for Growth
PLAY's earnings are expected to grow with 18.44% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y2.67%
EPS Next 3Y18.44%
5. Dividend
5.1 Amount
PLAY does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
15.03
-1.06 (-6.59%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners97.88%
Inst Owner Change0.3%
Ins Owners1.84%
Ins Owner Change10.2%
Market Cap521.09M
Revenue(TTM)2.11B
Net Income(TTM)9.70M
Analysts74.12
Price Target33.15 (120.56%)
Short Float %28.68%
Short Ratio5.54
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)-52.07%
Min EPS beat(2)-65.86%
Max EPS beat(2)-38.29%
EPS beat(4)0
Avg EPS beat(4)-54.53%
Min EPS beat(4)-66.74%
Max EPS beat(4)-38.29%
EPS beat(8)2
Avg EPS beat(8)-32.24%
EPS beat(12)5
Avg EPS beat(12)-22.64%
EPS beat(16)7
Avg EPS beat(16)-15.81%
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)-6.14%
PT rev (3m)-6.81%
EPS NQ rev (1m)-25.51%
EPS NQ rev (3m)-38.1%
EPS NY rev (1m)-23.59%
EPS NY rev (3m)-60.24%
Revenue NQ rev (1m)-1.61%
Revenue NQ rev (3m)-1.75%
Revenue NY rev (1m)-0.9%
Revenue NY rev (3m)-1.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.86 | ||
| Fwd PE | 8.54 | ||
| P/S | 0.25 | ||
| P/FCF | N/A | ||
| P/OCF | 2.25 | ||
| P/B | 3.14 | ||
| P/tB | N/A | ||
| EV/EBITDA | 4.74 |
EPS(TTM)0.63
EY4.19%
EPS(NY)1.76
Fwd EY11.71%
FCF(TTM)-9.04
FCFYN/A
OCF(TTM)6.68
OCFY44.43%
SpS60.93
BVpS4.79
TBVpS-21.76
PEG (NY)N/A
PEG (5Y)N/A
Graham Number8.24
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
ROICexgc growth 3Y-4.38%
ROICexgc 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 | 0.93 |
F-Score6
WACC9.49%
ROIC/WACC0.46
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)-77.01%
EPS 3Y-8.78%
EPS 5Y-10.14%
EPS Q2Q%-67.68%
EPS Next Y-59.93%
EPS Next 2Y2.67%
EPS Next 3Y18.44%
EPS Next 5YN/A
Revenue 1Y (TTM)-4.45%
Revenue growth 3Y17.82%
Revenue growth 5Y9.5%
Sales Q2Q%0.05%
Revenue Next Year-0.68%
Revenue Next 2Y2.44%
Revenue Next 3Y3.36%
Revenue Next 5YN/A
EBIT growth 1Y-26.75%
EBIT growth 3Y11.89%
EBIT growth 5Y12.1%
EBIT Next Year80.91%
EBIT Next 3Y28.3%
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%
DAVE & BUSTER'S ENTERTAINMEN / PLAY FAQ
What is the fundamental rating for PLAY stock?
ChartMill assigns a fundamental rating of 3 / 10 to PLAY.
What is the valuation status of DAVE & BUSTER'S ENTERTAINMEN (PLAY) stock?
ChartMill assigns a valuation rating of 4 / 10 to DAVE & BUSTER'S ENTERTAINMEN (PLAY). This can be considered as Fairly Valued.
What is the profitability of PLAY stock?
DAVE & BUSTER'S ENTERTAINMEN (PLAY) has a profitability rating of 4 / 10.
Can you provide the expected EPS growth for PLAY stock?
The Earnings per Share (EPS) of DAVE & BUSTER'S ENTERTAINMEN (PLAY) is expected to decline by -59.93% in the next year.
Is the dividend of DAVE & BUSTER'S ENTERTAINMEN sustainable?
The dividend rating of DAVE & BUSTER'S ENTERTAINMEN (PLAY) is 0 / 10 and the dividend payout ratio is 0%.