Dave & Buster's Drops 15% Premarket as Comparable Sales Fall 5.4%
Updated
Updated · CNBC · Jun 16
Dave & Buster's Drops 15% Premarket as Comparable Sales Fall 5.4%
3 articles · Updated · CNBC · Jun 16
Summary
Nearly 15% of Dave & Buster's market value was wiped out premarket after the chain reported a 5.4% comparable-store sales decline for the quarter ended May 5.
That miss was far worse than the 1.2% decline analysts expected, with the company blaming high gas prices and geopolitical uncertainty for weaker traffic.
Comparable sales have improved in the new quarter but remain down 4%, suggesting the pressure on consumer spending has not fully eased.
Benchmark cut the stock to hold from buy, and other analysts also lowered their price targets after the weak sales update.