Dave & Buster’s Entertainment, Inc. (PLAY) Jumps on Wednesday; Does Smart Money Like the Stock?

Insider transactions can also provide valuable insights into the company’s future prospects and that is why we keep a close eye on such transactions. It is noteworthy that insider purchases provide a much stronger signal than insider sales, which occur due to a much wider set of reasons than just a bearish outlook. John Mulleady, Dave & Buster’s Senior Vice President, sold about 5,000 shares last month, while a director, Michael Griffith, unloaded 40,000 shares in June. No insider purchases have been detected so far this year.

Although the stock is rather expensive now with a forward earnings multiple of 28, but with  Dave & Buster’s past success and future prospects, we feel that it is still not too late to jump on this bandwagon.

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