PLAY - Dave & Buster's is tipped by Jefferies for near-term bounce

Jefferies circled Dave & Busters Entertainment (NASDAQ:PLAY) as a stock to watch this month. Analyst Andy Barish and team find PLAY incrementally attractive at current levels with eyes on the insulation the company has against traditional and inflated cost pressures in commodities and labor. It was noted two-thirds of PLAY's revenue is derived from amusements and games that carry a 90% gross margin. "Recent read-throughs from full service peers suggest sustained if not accelerating trends to date in 1Q, and we see cont’d drivers of SSS momentum, including the recent rollout of a loyalty program, step-up in marketing dollars, new games, events & other unique ideas to drive incremental traffic/ volume. We also expect the impending decision around the CEO role (held in interim by Chairman), potential visibility around LT strategic goals/planning with new hire of CFO, and upcoming sports gaming/fantasy-league partnerships to act as near term catalysts." Dave &

For further details see:

Dave & Buster's is tipped by Jefferies for near-term bounce