PLAY's fiscal fourth-quarter revenues reflect dismal contributions from food and beverage and entertainment segments.
Despite strong EBITDA figures, Dave & Buster's has no free cash flow and an increasing debt load, making it a poor investment. Management's continued share repurchases amid high leverage and negative free cash flow depict poor capital allocation. PLAY stock's valuation at 1x EBITDA is misleading due to the lack of topline growth and a negative balance sheet.
Dave & Buster's Entertainment, Inc. PLAY will release its fourth-quarter financial results after the closing bell on Monday, April 7.
Sen. Dave McCormick (R-Pa.) joins 'Squawk Box' to discuss President Trump's sweeping new tariffs.
PLAY fourth-quarter fiscal 2024 results are likely to be negatively impacted by the drop in comps and disruptions due to remodeling construction at certain locations.
Dave targets unbanked Americans with a mobile-first approach, offering cash advances and avoiding overdraft fees, making it a low-cost banking alternative. Despite a market cap drop to $1 billion post-SPAC, Dave's revenue grew 38% in 2024, with improved customer credit profiles and reduced delinquency rates. Dave's fixed expenses as a percentage of revenue declined by 800 basis points, enhancing operating leverage and profitability, and positioning it for growth.
Dave has seen a 67% stock increase since I last wrote about it, but its valuation is still a fraction of its peak. DAVE's current P/E ratio is 20x, with a P/S ratio of 3.4x, making it a historical bargain compared to its overvalued past. Despite a volatile history, DAVE's strong financial turnaround and growth metrics suggest it remains a buy, though the best gains may have already been made.
Dave Inc. demonstrated strong financial performance in 2024, with 38% revenue growth and significant profitability improvements, positioning it well for 2025 despite a recent stock pullback. The company's expanding product offerings, improved execution, and strong end markets support a bullish outlook, with 20-25% revenue growth and ~27% adjusted EBITDA margins expected in 2025. Dave's focus on AI-driven credit underwriting and low-cost digital banking solutions provides a competitive edge, tapping into the underbanked market and reducing customer acquisition costs.
Dave (DAVE) has seen solid earnings estimate revision activity over the past month, and belongs to a strong industry as well.
Dave Inc. (NASDAQ:DAVE ) Q4 2024 Results Conference Call March 4, 2025 8:30 AM ET Company Participants Jason Wilk - CEO Kyle Beilman - CFO Conference Call Participants Joseph Vafi - Canaccord Genuity Jacob Stephan - Lake Street Capital Markets Jeff Cantwell - Seaport Research Harold Goetsch - B. Riley Securities Gary Prestopino - Barrington Operator Good morning, everyone, and thank you for participating in today's conference call to discuss Dave's Financial Results for the Fourth Quarter and Full Year Ended December 31, 2024.
Dave Inc. (DAVE) came out with quarterly earnings of $2.04 per share, beating the Zacks Consensus Estimate of $1.09 per share. This compares to earnings of $0.03 per share a year ago.
On Friday, Dave got an upgrade for its IBD SmartSelect Composite Rating from 92 to 96. The post Dave Stock Sees Its Composite Rating Rise To 96 appeared first on Investor's Business Daily.