Reborn Coffee (NASDAQ:REBN – Get Free Report) and Dave & Buster’s Entertainment (NASDAQ:PLAY – Get Free Report) are both small-cap consumer staples companies, but which is the superior investment? We will contrast the two companies based on the strength of their profitability, institutional ownership, risk, dividends, analyst recommendations, earnings and valuation.
Risk and Volatility
Reborn Coffee has a beta of 2.69, meaning that its share price is 169% more volatile than the S&P 500. Comparatively, Dave & Buster’s Entertainment has a beta of 2.13, meaning that its share price is 113% more volatile than the S&P 500.
Earnings & Valuation
This table compares Reborn Coffee and Dave & Buster’s Entertainment”s gross revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Reborn Coffee | $5.95 million | 0.69 | -$4.00 million | ($1.45) | -0.77 |
| Dave & Buster’s Entertainment | $2.21 billion | 0.66 | $126.90 million | $2.74 | 13.57 |
Analyst Recommendations
This is a breakdown of current ratings and target prices for Reborn Coffee and Dave & Buster’s Entertainment, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Reborn Coffee | 0 | 0 | 0 | 0 | 0.00 |
| Dave & Buster’s Entertainment | 0 | 4 | 5 | 0 | 2.56 |
Dave & Buster’s Entertainment has a consensus target price of $61.57, indicating a potential upside of 65.65%. Given Dave & Buster’s Entertainment’s stronger consensus rating and higher possible upside, analysts plainly believe Dave & Buster’s Entertainment is more favorable than Reborn Coffee.
Profitability
This table compares Reborn Coffee and Dave & Buster’s Entertainment’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Reborn Coffee | -67.56% | -171.86% | -40.14% |
| Dave & Buster’s Entertainment | 5.10% | 51.75% | 3.57% |
Insider and Institutional Ownership
1.8% of Reborn Coffee shares are held by institutional investors. Comparatively, 91.5% of Dave & Buster’s Entertainment shares are held by institutional investors. 43.1% of Reborn Coffee shares are held by insiders. Comparatively, 1.6% of Dave & Buster’s Entertainment shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.
Summary
Dave & Buster’s Entertainment beats Reborn Coffee on 11 of the 14 factors compared between the two stocks.
About Reborn Coffee
Reborn Coffee, Inc., through its subsidiaries, operates and franchises retail locations, kiosks, and cafes that focus on serving specialty-roasted coffee in California. It purchases, roasts, and sells coffee, tea and other beverages, and various food items. It offers products in various form factors, such as whole bean roasted coffee bags, single-serve drip bags, and pour over packs. The company also offers its products online. Reborn Coffee, Inc. was founded in 2014 and is headquartered in Brea, California.
About Dave & Buster’s Entertainment
Dave & Buster's Entertainment, Inc. owns and operates entertainment and dining venues for adults and families. Its venues offer a menu of entrees and appetizers, as well as a selection of non-alcoholic and alcoholic beverages; and an assortment of entertainment attractions centered on playing games and watching live sports, and other televised events. The company operates its venues under the Dave & Buster's name. As of April 02, 2019, it owned and operated 125 venues in 39 states, Puerto Rico, and Canada. The company was founded in 1982 and is headquartered in Dallas, Texas.
Receive News & Ratings for Reborn Coffee Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Reborn Coffee and related companies with MarketBeat.com's FREE daily email newsletter.
