PLAY trade ideas
Dave and Buster's Entertainment (PLAY) stock: reasons to be bullDave & Buster's Entertainment, Inc. (PLAY) shares are trading at $57.19. The company is announcing its quarterly earnings on Friday, September 14, before the market opens. What's driving PLAY stock price? What's PLAY stock price forecast, and what should investors know about Dave & Buster's?
Dave & Buster’s Entertainment currently operates 110 stores in 37 states, Puerto Rico, and Canada. The revenue mix includes amusement (57% of first-quarter sales for the fiscal year 2018) and food & beverage (43%).
The company’s revenue grew 9.2% to $332.2 million and earnings per share were $1.04 compared to $0.98 for the same quarter last year. The stock jumped 17% after the last quarter's results were announced. The bulls are enthusiastic about the stock due to strong revenue growth and a positive customer feedback on Jurassic-World virtual reality game. The bears worry that the margins could decline with increasing competition and operating costs...
www.finstead.com
$PLAY LongRetesting right now, won't be good if it can't hold this level and might be an early warning sign of more downside
longWhy i like this stock:
There was a nice move on the upside and then the stock pause for a moment because a stock cant go higher forever so it pause and yesterday the stock break out of that tight consolidation with good volume and with a very strong candle so im expecting a move on the upside and a continuation from the prior uptrend.
Another top one breaking out after earnings GAPbeen watching this one for a while finally breaking out. Position initiated
PLAY - Short at the break of 39.43 to as low as 28PLAY is forming a potential head & shoulder. It is rolling over & moneyflow is rolling over too. It also had insider selling recently.
It has good potential to go down from here to 28 area, and for short we have very good risk-reward ration over 5:1.
For trade we are also considering $40 January puts.
You can check our detailed analysis on PLAY in the trading room/ Executive summary link here-
www.youtube.com
Time Span: 1:45"
Trade Status: Pending
Still time to PLAY?See if it fills the gap and try a buy in there? Or Look at a short on way down to gap? One can do whatever seems applicable.
arge players showed an interest for PLAYThe trade has a worst case loss of 1.75 points, which is 4.46%.
When investing 22.44% of your capital in this trade, your total portfolio risk will be 1.00%.
PLAY has an excellent technical rating and also presents a decent setup pattern. Prices have been consolidating lately.
PLAY earnings play, watching tomorrow for AH highPLAY had a really good ER beat. It had an AH high of 44.75 but then rested at 43.80. Looking back at historical support and resistance at 43, 42.50, and 41.90. Will be interesting to watch if it pulls back to below 43 at the open but then runs toward the AH high of 44.75.
Double Bottom in PLAY a Cautious BuyReasons to buy
Strong Earnings in last quarter
Strong Earnings in past 3 years
Strong volume indicating buys buy institutional investors
Strong compared to S&P500
Confirmed Double Bottom (see chart for details)
Within 5% of buy point
Reasons to tread with caution
Not necessarily a game changing company (opinion)
Not in a leading industry
Market not in uptrend...not ideal market for a long position
