Bowlero rallies after rev beat, first-ever dividend

VICI Properties

05/02/2024 15:18

** Bowlero Corp's  BOWL.N  shares gap up >12% early Mon
after bowling center operator posts qtrly rev beat, announces
first-ever dividend
    ** BOWL rises as much as 12.2% to $13.01, a nearly 4-week
high
    ** Co says fiscal Q2 rev increased ~12% yr/yr to $305.7 mln,
topping Street consensus of $300.5 mln, per LSEG data
    ** Says board approved initiation of qtrly dividend program,
declared cash dividend of $0.055/sh payable on Mar 8, 2024, to
holders as of Feb 23
    ** In Q2, co said received $409 mln net proceeds from
sale-leaseback transaction with Vici, and used them to fully pay
down its revolving credit facility and fund the Lucky Strike
acquisition
    ** Co in Oct sold 38 bowling entertainment centers to the
REIT Vici Properties  VICI.N 
    ** All 10 analysts covering BOWL are bullish including 3
"strong buy" ratings, per LSEG data, with median PT of $17.25
    ** Stock last up 5.3% at $12.22, trimming YTD loss to ~14%

 (Lance Tupper is a Reuters market analyst. The views expressed
are his own)
 ((lance.tupper@thomsonreuters.com
lance.tupper@tr.com 1-646-279-6380))