Dave & Buster's Gears Up for Q4 Earnings: What's in the Offing?

Dave & Buster’s Entertainment, Inc. PLAY is scheduled to report fourth-quarter fiscal 2024 results on April 07, 2025, after market close. In the last reported quarter, the company posted an earnings miss of 7.1%.Stay up-to-date with all quarterly releases: See Zacks Earnings Calendar.PLAY’s Q4 ExpectationsThe Zacks Consensus Estimate for the fiscal fourth-quarter bottom line is pegged at 66 cents per share, indicating a decline of 35.9% year over year.For revenues, the consensus mark is pegged at $548 million. The metric indicates a decline of 8.5% from the year-ago quarter’s figure.Let us discuss the factors that are likely to be reflected in the quarter to be reported.Factors to Note Ahead of PLAY’s Q4 ReleaseDave & Buster's fiscal fourth-quarter results are likely to be negatively impacted by the drop in comps, disruptions due to remodeling construction at certain locations and seasonal demand patterns. The company has been grappling with a significant slowdown in consumer spending, particularly among lower-income customers. Our model predicts fiscal fourth-quarter comps to fall 3.7% year over year.The company’s traffic in the quarter to be reported is likely to have been impacted by pricing strategies. Our model predicts fiscal fourth-quarter F&B revenues to decline 24.2% year over year to $166.9 million.Higher operating expenses are likely to have negatively impacted the company’s bottom line in the to-be-reported quarter. However, sales boosting efforts, store operations, improving the guest experience and enhancing its food and beverage, and entertainment offerings are likely to have aided the top line. Remodeled locations and a positive reception of the new menu items are likely to have aided the company’s performance in the fiscal fourth quarter.Dave & Buster's Entertainment, Inc. Price and EPS Surprise Dave & Buster's Entertainment, Inc. price-eps-surprise | Dave & Buster's Entertainment, Inc. QuoteWhat Our Model Says About the PLAY StockOur proven model does not conclusively predict an earnings beat for Dave & Buster's this time. A stock needs to have a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) to beat earnings. However, that is not the case here.PLAY’s Earnings ESP: Dave & Buster’s has an Earnings ESP of -9.09%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.PLAY’s Zacks Rank: The company has a Zacks Rank #5 (Strong Sell).Stocks With the Favorable CombinationMonster Beverage MNST currently has an Earnings ESP of +0.54% and a Zacks Rank of 3. You can see the complete list of today’s Zacks #1 Rank stocks here.The company is expected to register growth in both top and bottom lines when it reports first-quarter 2025 results. The Zacks Consensus Estimate for MNST’s quarterly earnings has been stable in the past 30 days at 46 cents per share, indicating 9.5% growth from the year-ago quarter's number. The consensus estimate for Monster Beverage’s quarterly revenues is pegged at almost $2 billion, implying a rise of 3.7% from the figure reported in the prior-year quarter. MNST reported a negative earnings surprise of 5.8%, on average, in the trailing four quarters.  Tyson Foods, Inc. TSN currently has an Earnings ESP of +2.35% and a Zacks Rank of 3. The Zacks Consensus Estimate for second-quarter fiscal 2025 EPS is pegged at 85 cents, which implies a 37.1% increase year over year.  The Zacks Consensus Estimate for Tyson Foods’ quarterly revenues is pegged at $13.1 billion, which indicates growth of 0.2% from the figure reported in the prior-year quarter. TSN reported an earnings surprise of almost 52%, on average, in the trailing four quarters.  CAVA Group, Inc. CAVA currently has an Earnings ESP of +3.45% and a Zacks Rank of 3. The Zacks Consensus Estimate for first-quarter 2025 EPS is pegged at 15 cents, which implies a 25% increase year over year.  The Zacks Consensus Estimate for CAVA’s quarterly revenues is pegged at $330.8 million, which indicates growth of 27.7% from the figure reported in the prior-year quarter. CAVA reported an earnings surprise of almost 62.6%, on average, in the trailing four quarters. 5 Stocks Set to DoubleEach was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2024. While not all picks can be winners, previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%.Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.Today, See These 5 Potential Home Runs >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Tyson Foods, Inc. (TSN): Free Stock Analysis Report Monster Beverage Corporation (MNST): Free Stock Analysis Report Dave & Buster's Entertainment, Inc. (PLAY): Free Stock Analysis Report CAVA Group, Inc. (CAVA): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks