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Can PLAY's Revamped Remodel Blueprint Catalyze Its Next Growth Cycle?
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Key Takeaways
PLAY's revamped remodels have delivered roughly a 700-basis-point lift versus the system.
New insights guide investment toward elements that directly affect the guest experience.
PLAY plans nine remodel openings in five months, aiming for stronger traffic and productivity.
Dave & Buster's Entertainment, Inc. (PLAY - Free Report) is advancing a more focused and efficiency-oriented remodel strategy that management highlighted as a key component of its Back to Basics plan. In the third quarter of fiscal 2025, the company stated that remodels have delivered a roughly 700-basis-point positive impact relative to the system, underscoring the performance lift associated with refreshed units.
Management also acknowledged that previous remodel waves included overinvestment in areas that did not materially affect guest experience, leading to capital spending that was not generating the intended returns. Through recent consumer insight work, the company has identified which remodel elements directly influence guest experience and is now concentrating investment in those areas. Dave & Buster’s is optimistic about the updated prototype and anticipates the initiative to drive improved outcomes while eliminating ineffective spend.
Execution is accelerating under this new framework. PLAY has three remodels currently under construction and expects to open six additional remodeled locations within the next five months. Management stated that the redesigned prototype is expected to increase traffic and overall productivity at an appropriate cost, positioning remodels as a more disciplined and purposeful use of capital moving forward.
As Dave & Buster’s continues to focus on strengthening operations and elevating the guest experience, the remodel program represents one of the company’s most clearly defined strategic levers. With a refined investment approach and an accelerated rollout timetable, management views remodels as an important contributor to the broader Back to Basics strategy, positioning the brand for a stronger performance foundation in the upcoming periods.
How Are Competitors Faring?
In the restaurant industry’s push to refresh assets and elevate in-store consistency, Restaurant Brands International Inc. (QSR - Free Report) and Brinker International, Inc. (EAT - Free Report) stand out as PLAY’s benchmarks. Both QSR and EAT are leaning on remodel and reimage programs to reinforce unit performance and long-term growth.
Restaurant Brands continues to modernize the Burger King system through its updated restaurant image, with management highlighting solid post-remodel uplifts and average unit volumes nearing $2 million. Carrols — Burger King’s largest U.S. franchisee — remains a key proof point, with nearly two-thirds of its remodels since 2023 reflecting the new design and outperforming the broader system. QSR emphasized that modernization remains central to sustaining category outperformance, even as elevated beef costs pressure near-term margins.
Meanwhile, Brinker is pursuing a more targeted refresh strategy across both Chili’s and Maggiano’s. Chili’s is rolling out its next-generation Greenville prototype, with four pilot remodels expected by fourth-quarter 2025, aimed at sharpening atmosphere, bar presence and overall brand relevance. Maggiano’s is taking a foundational approach, focusing on guest-facing repairs, maintenance and selective reimaging to stabilize traffic ahead of more ambitious updates.
PLAY’s Price Performance, Valuation & Estimates
Shares of Dave & Buster's have declined 14.4% in the past three months compared with the industry’s 1.4% fall.
PLAY Stock's Three-Month Price Performance
Image Source: Zacks Investment Research
From a valuation standpoint, Dave & Buster's stock trades at a forward price-to-sales ratio of 0.32, below the industry’s average of 3.23.
PLAY’s P/s Ratio (Forward 12-Month) vs. Industry
Image Source: Zacks Investment Research
EPS Trend of PLAY Stock
The Zacks Consensus Estimate for PLAY’s fiscal 2026 earnings per share (EPS) implies a year-over-year downtick of 83%. The EPS estimates for fiscal 2026 have remained unchanged in the past 30 days.
Image: Shutterstock
Can PLAY's Revamped Remodel Blueprint Catalyze Its Next Growth Cycle?
Key Takeaways
Dave & Buster's Entertainment, Inc. (PLAY - Free Report) is advancing a more focused and efficiency-oriented remodel strategy that management highlighted as a key component of its Back to Basics plan. In the third quarter of fiscal 2025, the company stated that remodels have delivered a roughly 700-basis-point positive impact relative to the system, underscoring the performance lift associated with refreshed units.
Management also acknowledged that previous remodel waves included overinvestment in areas that did not materially affect guest experience, leading to capital spending that was not generating the intended returns. Through recent consumer insight work, the company has identified which remodel elements directly influence guest experience and is now concentrating investment in those areas. Dave & Buster’s is optimistic about the updated prototype and anticipates the initiative to drive improved outcomes while eliminating ineffective spend.
Execution is accelerating under this new framework. PLAY has three remodels currently under construction and expects to open six additional remodeled locations within the next five months. Management stated that the redesigned prototype is expected to increase traffic and overall productivity at an appropriate cost, positioning remodels as a more disciplined and purposeful use of capital moving forward.
As Dave & Buster’s continues to focus on strengthening operations and elevating the guest experience, the remodel program represents one of the company’s most clearly defined strategic levers. With a refined investment approach and an accelerated rollout timetable, management views remodels as an important contributor to the broader Back to Basics strategy, positioning the brand for a stronger performance foundation in the upcoming periods.
How Are Competitors Faring?
In the restaurant industry’s push to refresh assets and elevate in-store consistency, Restaurant Brands International Inc. (QSR - Free Report) and Brinker International, Inc. (EAT - Free Report) stand out as PLAY’s benchmarks. Both QSR and EAT are leaning on remodel and reimage programs to reinforce unit performance and long-term growth.
Restaurant Brands continues to modernize the Burger King system through its updated restaurant image, with management highlighting solid post-remodel uplifts and average unit volumes nearing $2 million. Carrols — Burger King’s largest U.S. franchisee — remains a key proof point, with nearly two-thirds of its remodels since 2023 reflecting the new design and outperforming the broader system. QSR emphasized that modernization remains central to sustaining category outperformance, even as elevated beef costs pressure near-term margins.
Meanwhile, Brinker is pursuing a more targeted refresh strategy across both Chili’s and Maggiano’s. Chili’s is rolling out its next-generation Greenville prototype, with four pilot remodels expected by fourth-quarter 2025, aimed at sharpening atmosphere, bar presence and overall brand relevance. Maggiano’s is taking a foundational approach, focusing on guest-facing repairs, maintenance and selective reimaging to stabilize traffic ahead of more ambitious updates.
PLAY’s Price Performance, Valuation & Estimates
Shares of Dave & Buster's have declined 14.4% in the past three months compared with the industry’s 1.4% fall.
PLAY Stock's Three-Month Price Performance
Image Source: Zacks Investment Research
From a valuation standpoint, Dave & Buster's stock trades at a forward price-to-sales ratio of 0.32, below the industry’s average of 3.23.
PLAY’s P/s Ratio (Forward 12-Month) vs. Industry
Image Source: Zacks Investment Research
EPS Trend of PLAY Stock
The Zacks Consensus Estimate for PLAY’s fiscal 2026 earnings per share (EPS) implies a year-over-year downtick of 83%. The EPS estimates for fiscal 2026 have remained unchanged in the past 30 days.
Image Source: Zacks Investment Research
Dave & Buster's stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.