Dave & Buster’s Entertainment, Inc. (PLAY - Free Report) is scheduled to report second-quarter fiscal 2020 results on Sep 10.
In the fiscal first quarter, the company’s earnings missed the Zacks Consensus Estimate by 73.4%.
The Zacks Consensus Estimate for the second-quarter bottom line is pegged at a loss of $1.44, against an earnings of 90 cents reported in the prior-year quarter. For revenues, the consensus mark stands at $79.9 million, suggesting a decline of 76.8% from the year-ago reported figure.
Factors to Note
Dave & Buster's second-quarter top line is likely to reflect the impact of the coronavirus pandemic. Dismal performance of food and beverage, and amusement and other are likely to have negatively impacted the company’s results in the quarter. Per the Zacks Consensus Estimate food and beverage revenues is likely to witness a decline of 70.1% year over year to $41.2 million. Moreover, Amusement and other revenues are likely to witness a slump of 66.1% year over year to $70 million.
Moreover, Dave & Buster’s soft comps trend over the past few quarters has been a major concern. Dismal traffic and store closures due to the pandemic may have impacted the company’s comps. Moreover, higher labor costs on account of increased wages might have kept profits under pressure. However, the company is likely to have witnessed robust digital sales during the quarter to be reported.
Dave Busters Entertainment, Inc. Price and EPS Surprise
What the Zacks Model Unveils
Our proven model does not conclusively predict an earnings beat for Dave & Buster’s this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Dave & Buster’s has an Earnings ESP of -12.02% and a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.
McDonald's Corporation (MCD - Free Report) reported mixed second-quarter 2020 results, wherein the bottom line missed the Zacks Consensus Estimate but the top line beat the same. The company reported adjusted earnings of 66 cents per share, which missed the consensus mark of 76 cents. Moreover, the bottom line declined 68% year over year. However, the second-quarter revenues of $3,761.5 million beat the Zacks Consensus Estimate of $3,698 million.
Starbucks Corporation (SBUX - Free Report) reported strong third-quarter fiscal 2020 results, wherein both earnings and revenues surpasses the Zacks Consensus Estimate. In the quarter under review, the company reported adjusted loss per share of 46 cents per share, narrower than the Zacks Consensus Estimate of loss per share of 61 cents. In the prior-year quarter, the company had reported adjusted earnings per share of 78 cents. Total revenues were $4,222.1 million, which beat the Zacks Consensus Estimate of $4,111 million. However, the top line fell 38.1% from the year-ago quarter’s level.
YUM! Brands, Inc. (YUM - Free Report) reported robust second-quarter 2020 results, wherein both earnings and revenues beat the respective Zacks Consensus Estimate. The company’s adjusted earnings of 82 cents beat the Zacks Consensus Estimate of 52 cents. In the prior-year quarter, the company had reported adjusted earnings of 93 cents. YUM! Brands’ total revenues of $1,198 million declined 9% year over year but outpaced the consensus estimate of $1,168 million.
Just Released: Zacks’ 7 Best Stocks for Today'
Experts extracted 7 stocks from the list of 220 Zacks Rank #1 Strong Buys that has beaten the market more than 2X over with a stunning average gain of +24.3% per year.
These 7 were selected because of their superior potential for immediate breakout.
See these time-sensitive tickers now >>