Dave & Buster’s Entertainment (PLAY)

Debt-to-equity ratio

		Feb 4, 2024	Oct 29, 2023	Jul 30, 2023	Apr 30, 2023	Jan 29, 2023	Oct 30, 2022	Jul 31, 2022	May 1, 2022	Jan 30, 2022	Oct 31, 2021	Aug 1, 2021	May 2, 2021	Jan 31, 2021	Nov 1, 2020	Aug 2, 2020	May 3, 2020	Feb 2, 2020	Nov 3, 2019	Aug 4, 2019	May 5, 2019
Long-term debt	US$ in thousands	1,284,000	1,281,300	1,278,700	1,221,100	1,222,700	1,222,210	1,219,680	431,966	431,395	484,677	537,816	537,102	596,388	561,815	731,646	735,261	632,689	640,384	552,079	427,774
Total stockholders’ equity	US$ in thousands	251,200	211,600	314,400	359,900	410,500	361,000	356,400	351,800	275,500	246,559	229,875	178,642	153,232	206,774	250,371	192,635	169,650	148,121	249,302	360,125
Debt-to-equity ratio		5.11	6.06	4.07	3.39	2.98	3.39	3.42	1.23	1.57	1.97	2.34	3.01	3.89	2.72	2.92	3.82	3.73	4.32	2.21	1.19

February 4, 2024 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $1,284,000K ÷ $251,200K
= 5.11

The debt-to-equity ratio of Dave & Buster’s Entertainment has shown fluctuations over the past several quarters, ranging from as low as 1.19 to as high as 6.06. The ratio measures the proportion of total liabilities to shareholders' equity and is an indication of the company's level of financial leverage.

A higher debt-to-equity ratio indicates that the company is relying more on debt to finance its operations, which can potentially increase financial risk. On the other hand, a lower ratio signifies a lower reliance on debt and a stronger equity position.

In the most recent period, the debt-to-equity ratio stood at 5.11, indicating that a significant portion of the company's financing is coming from debt rather than equity. This might raise concerns about the company's ability to manage its debt obligations and could lead to increased financial risks.

It is important for investors and stakeholders to closely monitor changes in the debt-to-equity ratio over time to assess the company's financial health and risk profile. Fluctuations in this ratio can provide valuable insights into the company's financing strategy and overall financial stability.