Revision in target prices
After the announcement of second-quarter results on September 14, two analysts have revised their price target for Dave & Buster’s Entertainment (PLAY) stock. We expect a few more revisions in the coming days.
On September 16, Canaccord Genuity upped its price target on the stock to $72.00 from $65.00. Jefferies has revised the price target to $72.00 from $66.00. Jefferies has retained a “buy” rating for PLAY stock. All ten analysts covering Dave & Buster’s stock rated the stock a “buy.” Analysts’ 12-month average target price for PLAY stock is $66.44, which reflects a 7.1% upside to its price on September 14.
The company’s second-quarter revenue of $319.2 million topped analysts’ estimates by 2.4% and grew 13.7% on a year-over-year basis. The adjusted EPS (earnings per share) of $0.84 topped the consensus estimate by 25.4%. On a reported basis, the company’s EPS of $0.74 increased 18.3%.
Wall Street’s stance on peers
Out of the 27 analysts covering Dunkin’ Brands (DNKN), ~26% gave the stock a “buy” rating, and 63% gave it a “hold” rating. Currently, analysts’ target price for Dunkin’ Brands is $70.11, reflecting a 5.6% downside to the stock price as of September 14.
For Jack in the Box (JACK), 47.0% of the 17 analysts covering the stock recommended a “buy” rating. Another 53.0% rated it as a “hold.” Jack in the Box’s target price is $100.50, implying 18.9% upside to the stock price.
27.0% of the 11 analysts covering Shake Shack (SHAK) recommended a “buy” rating, while 46.0% rated it as a “hold.” Shake Shack’s mean target price is $54.67, which indicates a 4.4% downside to the stock price.
About 54.0% of the 26 analysts covering Darden Restaurants (DRI) recommended a “buy” rating. The remaining 46% of the analysts rated it as a “hold.” Darden’s mean target price is $119.15, which indicates a 0.1% upside to the stock price.