Dave & Buster's Q1 Earnings Simply Weren't Good Enough

  • Dave & Buster's stock has surged post-Q1 earnings but faces significant multi-year resistance at $30–32, making further upside challenging. Q1 results showed sequential improvement in comparable sales, but margins continue to deteriorate sharply, raising sustainability concerns. Heavy investment in remodels and aggressive buybacks strains cash flow, while high debt and rising interest expenses threaten financial stability.