Dave & Buster’s price target raised to $80 from $60 at Jefferies

Jefferies raised the firm’s price target on Dave & Buster’s to $80 from $60 and keeps a Buy rating on the shares. After analyzing near- and long-term drivers, the firm thinks Dave & Buster’s can “realistically achieve” $750M of adjusted EBITDA in FY27, which it notes would be up nearly 40% from FY23, even using “conservative” same-store sales, margin, and unit growth and remodel assumptions, the analyst tells investors. While the firm trimmed its Q4 and Q1 estimates after examining foot traffic data into February, it remains confident in “a fundamentals improvement story,” the analyst added.