WallStSmart

Dave & Buster’s Entertainment (PLAY)vsTKO Group Holdings, Inc. (TKO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

TKO Group Holdings, Inc. generates 153% more annual revenue ($5.30B vs $2.09B). TKO leads profitability with a 4.3% profit margin vs -3.1%. TKO appears more attractively valued with a PEG of 1.44. TKO earns a higher WallStSmart Score of 59/100 (C).

PLAY

Hold

39

out of 100

Grade: F

Growth: 2.7Profit: 3.5Value: 5.3Quality: 3.0
Piotroski: 4/9Altman Z: 0.70

TKO

Buy

59

out of 100

Grade: C

Growth: 8.0Profit: 6.0Value: 3.3Quality: 4.0
Piotroski: 3/9Altman Z: 1.33
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for PLAY.

TKOSignificantly Overvalued (-26.7%)

Margin of Safety

-26.7%

Fair Value

$166.08

Current Price

$190.31

$24.23 premium

UndervaluedFair: $166.08Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

PLAY1 strengths · Avg: 8.0/10
Price/BookValuation
2.8x8/10

Reasonable price relative to book value

TKO2 strengths · Avg: 9.0/10
Operating MarginProfitability
32.4%10/10

Strong operational efficiency at 32.4%

Revenue GrowthGrowth
18.2%8/10

18.2% revenue growth

Areas to Watch

PLAY4 concerns · Avg: 2.3/10
Market CapQuality
$303.36M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
-65.0%2/10

ROE of -65.0% — below average capital efficiency

Revenue GrowthGrowth
-1.5%2/10

Revenue declined 1.5%

EPS GrowthGrowth
-74.2%2/10

Earnings declined 74.2%

TKO4 concerns · Avg: 3.0/10
Return on EquityProfitability
6.8%3/10

ROE of 6.8% — below average capital efficiency

Profit MarginProfitability
4.3%3/10

4.3% margin — thin

Debt/EquityHealth
1.463/10

Elevated debt levels

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : PLAY

The strongest argument for PLAY centers on Price/Book. PEG of 1.48 suggests the stock is reasonably priced for its growth.

Bull Case : TKO

The strongest argument for TKO centers on Operating Margin, Revenue Growth. Revenue growth of 18.2% demonstrates continued momentum. PEG of 1.44 suggests the stock is reasonably priced for its growth.

Bear Case : PLAY

The primary concerns for PLAY are Market Cap, Return on Equity, Revenue Growth. Debt-to-equity of 31.60 is elevated, increasing financial risk.

Bear Case : TKO

The primary concerns for TKO are Return on Equity, Profit Margin, Debt/Equity. A P/E of 65.3x leaves little room for execution misses. Thin 4.3% margins leave little buffer for downturns.

Key Dynamics to Monitor

PLAY profiles as a turnaround stock while TKO is a growth play — different risk/reward profiles.

PLAY carries more volatility with a beta of 1.82 — expect wider price swings.

TKO is growing revenue faster at 18.2% — sustainability is the question.

TKO generates stronger free cash flow (349M), providing more financial flexibility.

Bottom Line

TKO scores higher overall (59/100 vs 39/100) and 18.2% revenue growth. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Dave & Buster’s Entertainment

COMMUNICATION SERVICES · ENTERTAINMENT · USA

Dave & Buster's Entertainment, Inc. owns and operates adult and family entertainment venues and restaurants in North America. The company is headquartered in Dallas, Texas.

TKO Group Holdings, Inc.

COMMUNICATION SERVICES · ENTERTAINMENT · USA

TKO Group Holdings, Inc. is a sports and entertainment company. The company is headquartered in New York, New York.

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