Dave & Buster’s Entertainment Inc. (NASDAQ:PLAY) shares are trading lower Tuesday after the company reported worse-than-expected second-quarter financial results. Freedom Capital Markets lowered its price target on the stock from $13 to $9.

• Dave & Buster’s stock is testing key support levels. What’s pressuring PLAY?

Dave & Buster Slips to Loss In Q2 as Revenue Decline

Dave & Buster’s reported a loss of 27 cents per share, missing the consensus estimate of 24 cents. In addition, the company reported revenue of $544.100 million, missing the consensus estimate of $557.194 million.

Comparable store sales decreased 2.9% compared to the same calendar period in fiscal 2025, and adjusted EBITDA fell to $98.9 million from $129.8 million in the second quarter of fiscal 2025.

“We are energized by the obvious, actionable and enormous opportunities ahead for Dave & Buster’s and Main Event,” said Darin Harper, CEO of Dave & Buster’s. “Our Back-to-Basics strategy is gaining momentum with enhanced executional urgency. We are experiencing ongoing growth in food and beverage sales as well as in special events sales.”

Dave & Buster’s Shares Fall

PLAY Price Action: At the time of publication, Dave & Buster’s shares are trading 13.46% lower at $7.33, according to data from Benzinga Pro.

This illustration was generated using artificial intelligence via Midjourney.

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