Shares of Dave & Buster's Entertainment (PLAY) plummeted 5.04% in Wednesday's trading session following the release of disappointing Full Year 2025 results and a significant target price cut by BMO Capital. The entertainment and dining chain faced headwinds that have shaken investor confidence.

The company's financial report revealed a 3.3% year-over-year decline in revenue to $2.13 billion, while net income plunged by 54% to $58.3 million. Most notably, earnings per share (EPS) came in at $1.49, missing analyst expectations by a substantial 22%. The profit margin also contracted to 2.7% from 5.8% in the previous year, indicating increased pressure on the company's bottom line.

Adding to the negative sentiment, BMO Capital, while maintaining an Outperform rating on Dave & Buster's stock, slashed its target price to $30 from $47. This significant reduction in price target suggests lowered expectations for the company's near-term performance and growth prospects. The combination of weak financial results and the analysts' reduced outlook has led investors to reassess their positions, resulting in today's sharp sell-off.