Lucky Strike (LUCK) Q4 Earnings Report Preview: What To Look For

Looking back on leisure facilities stocks’ Q3 earnings, we examine this quarter’s best and worst performers, including Topgolf Callaway (NYSE:MODG) and its peers.

Leisure facilities companies often sell experiences rather than tangible products, and in the last decade-plus, consumers have slowly shifted their spending from "things" to "experiences". Leisure facilities seek to benefit but must innovate to do so because of the industry's high competition and capital intensity.

The 11 leisure facilities stocks we track reported a satisfactory Q3. As a group, revenues beat analysts’ consensus estimates by 0.9% while next quarter’s revenue guidance was 0.8% below.

Thankfully, share prices of the companies have been resilient as they are up 9.1% on average since the latest earnings results.

Topgolf Callaway (NYSE:MODG)

Formed between the merger of Callaway and Topgolf, Topgolf Callaway (NYSE:MODG) sells golf equipment and operates technology-driven golf entertainment venues.

Topgolf Callaway reported revenues of $934 million, down 7.8% year on year. This print exceeded analysts’ expectations by 2.3%. Overall, it was a very strong quarter for the company with EBITDA guidance for next quarter exceeding analysts’ expectations and a beat of analysts’ EPS estimates.

"We are pleased with our third quarter results, with both revenue and Adjusted EBITDA exceeding our expectations," commented Chip Brewer, President and Chief Executive Officer of Topgolf Callaway Brands Corp.

Topgolf Callaway delivered the slowest revenue growth of the whole group. Interestingly, the stock is up 58.4% since reporting and currently trades at $14.68.

Best Q3: AMC Entertainment

With a profile that was raised due to meme stock mania beginning in 2021, AMC Entertainment operates movie theaters primarily in the US and Europe.

AMC Entertainment reported revenues of $1.3 billion, down 3.6% year on year, outperforming analysts’ expectations by 6.3%. The business had an exceptional quarter with an impressive beat of analysts’ EBITDA estimates and a solid beat of analysts’ adjusted operating income estimates.

AMC Entertainment delivered the biggest analyst estimates beat among its peers. Although it had a fine quarter compared its peers, the market seems unhappy with the results as the stock is down 37.9% since reporting. It currently trades at $1.57.

Weakest Q3: United Parks & Resorts

Parent company of SeaWorld and home of the world-famous Shamu, United Parks & Resorts is a theme park chain featuring marine life, live entertainment, roller coasters, and waterparks.

United Parks & Resorts reported revenues of $511.9 million, down 6.2% year on year, falling short of analysts’ expectations by 5.2%. It was a disappointing quarter as it posted a miss of analysts’ visitors estimates and a significant miss of analysts’ revenue estimates.

United Parks & Resorts delivered the weakest performance against analyst estimates in the group. As expected, the stock is down 19.2% since the results and currently trades at $37.36.

Read our full analysis of United Parks & Resorts’s results here.

Sphere Entertainment

Famous for its viral Las Vegas Sphere venue, Sphere Entertainment hosts live entertainment events and distributes content across various media platforms.

Sphere Entertainment reported revenues of $262.5 million, up 15.2% year on year. This print came in 1% below analysts' expectations. Taking a step back, it was a mixed quarter as it also produced a solid beat of analysts’ EBITDA estimates but a significant miss of analysts’ EPS estimates.

Sphere Entertainment scored the fastest revenue growth among its peers. The stock is up 43.8% since reporting and currently trades at $95.39.

Read our full, actionable report on Sphere Entertainment here, it’s free.

Lucky Strike

Born from the transformation of traditional bowling alleys into modern entertainment destinations, Lucky Strike operates bowling alleys and other entertainment venues with upscale amenities, arcade games, and food and beverage services across North America.

Lucky Strike reported revenues of $292.3 million, up 12.3% year on year. This result topped analysts’ expectations by 3.3%. Overall, it was a strong quarter as it also logged a beat of analysts’ EPS estimates and a solid beat of analysts’ adjusted operating income estimates.

Lucky Strike pulled off the highest full-year guidance raise among its peers. The stock is up 11% since reporting and currently trades at $8.96.

Read our full, actionable report on Lucky Strike here, it’s free.

Wrapping up Q3 earnings, we look at the numbers and key takeaways for the leisure facilities stocks, including European Wax Center and its peers.

Leisure facilities companies often sell experiences rather than tangible products, and in the last decade-plus, consumers have slowly shifted their spending from "things" to "experiences". Leisure facilities seek to benefit but must innovate to do so because of the industry's high competition and capital intensity.

The 11 leisure facilities stocks we track reported a satisfactory Q3. As a group, revenues missed analysts’ consensus estimates by 0.7% while next quarter’s revenue guidance was 0.6% below.

Thankfully, share prices of the companies have been resilient as they are up 7.9% on average since the latest earnings results.

European Wax Center

Founded by two siblings, European Wax Center is a beauty and waxing salon chain specializing in professional wax services and skincare products.

European Wax Center reported revenues of $54.19 million, down 2.2% year on year. This print exceeded analysts’ expectations by 2.7%. Overall, it was a strong quarter for the company with a beat of analysts’ EPS and EBITDA estimates.

Chris Morris, Chairman and CEO of European Wax Center, Inc., stated: “European Wax Center delivered a solid third quarter performance as we continued to strengthen the fundamentals that power our business model. Our new leadership team is executing with discipline and remains focused on our three strategic priorities: driving sales through traffic growth, improving four-wall profitability for our franchisees, and pursuing disciplined, profitable expansion.”

European Wax Center delivered the weakest full-year guidance update of the whole group. Interestingly, the stock is up 14.4% since reporting and currently trades at $4.18.

Best Q3: AMC Entertainment

With a profile that was raised due to meme stock mania beginning in 2021, AMC Entertainment operates movie theaters primarily in the US and Europe.

AMC Entertainment reported revenues of $1.3 billion, down 3.6% year on year, outperforming analysts’ expectations by 6.3%. The business had an exceptional quarter with a solid beat of analysts’ EBITDA estimates.

AMC Entertainment delivered the biggest analyst estimates beat among its peers. Although it had a fine quarter compared its peers, the market seems unhappy with the results as the stock is down 38.3% since reporting. It currently trades at $1.56.

Weakest Q3: United Parks & Resorts

Parent company of SeaWorld and home of the world-famous Shamu, United Parks & Resorts is a theme park chain featuring marine life, live entertainment, roller coasters, and waterparks.

United Parks & Resorts reported revenues of $511.9 million, down 6.2% year on year, falling short of analysts’ expectations by 5.2%. It was a disappointing quarter as it posted a miss of analysts’ revenue estimates.

As expected, the stock is down 19.9% since the results and currently trades at $37.05.

Read our full analysis of United Parks & Resorts’s results here.

Topgolf Callaway

Formed between the merger of Callaway and Topgolf, Topgolf Callaway sells golf equipment and operates technology-driven golf entertainment venues.

Topgolf Callaway reported revenues of $934 million, down 7.8% year on year. This result surpassed analysts’ expectations by 2.3%. It was a very strong quarter as it also logged EBITDA guidance for next quarter exceeding analysts’ expectations and a beat of analysts’ EPS estimates.

Topgolf Callaway delivered the highest full-year guidance raise but had the slowest revenue growth among its peers. The stock is up 42.6% since reporting and currently trades at $13.22.

Read our full, actionable report on Topgolf Callaway here, it’s free for active Edge members.

Lucky Strike

Born from the transformation of traditional bowling alleys into modern entertainment destinations, Lucky Strike operates bowling alleys and other entertainment venues with upscale amenities, arcade games, and food and beverage services across North America.

Lucky Strike reported revenues of $292.3 million, up 12.3% year on year. This number topped analysts’ expectations by 3.3%. Overall, it was a strong quarter as it also produced a beat of analysts’ EPS estimates and an impressive beat of analysts’ adjusted operating income estimates.

The stock is up 15.7% since reporting and currently trades at $9.34.

Read our full, actionable report on Lucky Strike here, it’s free for active Edge members.

What Happened?

Shares of entertainment venue operator Lucky Strike jumped 7.2% in the afternoon session after Truist Financial raised its price target on the stock to $12 from $11, while it kept a Buy rating. 

This action pointed to a more optimistic outlook for the company's shares. The updated price target suggested confidence in the company's future performance. This sentiment was in line with the broader view from market analysts. According to data covering seven analysts, the average 12-month price target for Lucky Strike stood at approximately $13.21. The range of forecasts from these analysts was between a high of $18.00 and a low of $9.00, showing varied expectations but an overall positive tilt.

What Is The Market Telling Us

Lucky Strike’s shares are very volatile and have had 22 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business.

The previous big move we wrote about was 1 day ago when the stock gained 2.7% on the news that investors wagered geopolitical tension would be contained following the U.S. military's operation in Venezuela, with the Dow hitting a fresh record. Sentiment remained firmly "risk-on" for early 2026, with Wall Street prioritizing domestic economic strength over foreign turbulence. Analysts noted that while the event raises short-term supply questions, the market largely viewed the potential stabilization of Venezuela's vast oil reserves as a long-term economic positive.

Lucky Strike is up 10.6% since the beginning of the year, but at $9.39 per share, it is still trading 27.3% below its 52-week high of $12.91 from February 2025.

What Happened?

A number of stocks jumped in the afternoon session after investors wagered geopolitical tension would be contained following the U.S. military's operation in Venezuela, with the Dow hitting a fresh record. 

Sentiment remained firmly "risk-on" for early 2026, with Wall Street prioritizing domestic economic strength over foreign turbulence. Analysts noted that while the event raises short-term supply questions, the market largely viewed the potential stabilization of Venezuela's vast oil reserves as a long-term economic positive.

The stock market overreacts to news, and big price drops can present good opportunities to buy high-quality stocks.

Among others, the following stocks were impacted:

• Travel and Vacation Providers company Travel + Leisure jumped 2.2%. Is now the time to buy Travel + Leisure? Access our full analysis report here, it’s free for active Edge members.
• Leisure Facilities company Lucky Strike jumped 2.7%. Is now the time to buy Lucky Strike? Access our full analysis report here, it’s free for active Edge members.
• Real Estate Services company Compass jumped 3.3%. Is now the time to buy Compass? Access our full analysis report here, it’s free for active Edge members.
• Gaming Solutions company Rush Street Interactive jumped 2.6%. Is now the time to buy Rush Street Interactive? Access our full analysis report here, it’s free for active Edge members.
• Real Estate Services company Marcus & Millichap jumped 3.1%. Is now the time to buy Marcus & Millichap? Access our full analysis report here, it’s free for active Edge members.

Zooming In On Compass (COMP)

Compass’s shares are very volatile and have had 22 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business.

The previous big move we wrote about was 21 days ago when the stock dropped 4% as reports surfaced that Google tested a feature to show home sales listings directly in its search results, sparking fears of new competition. 

This test, although limited to mobile devices in select areas for now, could significantly challenge existing real estate platforms. The move by the search giant sent ripples across the industry, affecting other real estate stocks as well. Zillow Group's shares tumbled 11%, while Rocket Companies and eXp World Holdings also saw their stock prices drop. The market's reaction showed investor concern that a powerful new entrant like Google could disrupt the online property market.

Compass is up 3.3% since the beginning of the year, and at $10.85 per share, it is trading close to its 52-week high of $10.88 from December 2025. Investors who bought $1,000 worth of Compass’s shares at the IPO in March 2021 would now be looking at an investment worth $538.21.

As the Q3 earnings season comes to a close, it’s time to take stock of this quarter’s best and worst performers in the leisure facilities industry, including United Parks & Resorts and its peers.

Leisure facilities companies often sell experiences rather than tangible products, and in the last decade-plus, consumers have slowly shifted their spending from "things" to "experiences". Leisure facilities seek to benefit but must innovate to do so because of the industry's high competition and capital intensity.

The 11 leisure facilities stocks we track reported a satisfactory Q3. As a group, revenues missed analysts’ consensus estimates by 0.7% while next quarter’s revenue guidance was 0.6% below.

Thankfully, share prices of the companies have been resilient as they are up 5.9% on average since the latest earnings results.

Weakest Q3: United Parks & Resorts

Parent company of SeaWorld and home of the world-famous Shamu, United Parks & Resorts is a theme park chain featuring marine life, live entertainment, roller coasters, and waterparks.

United Parks & Resorts reported revenues of $511.9 million, down 6.2% year on year. This print fell short of analysts’ expectations by 5.2%. Overall, it was a disappointing quarter for the company with a miss of analysts’ visitors and revenue estimates.

"We are obviously not happy with the results we delivered in the quarter. Performance during the quarter was negatively impacted by an unfavorable calendar shift, poor weather during peak holiday periods, a decline in international visitation and less than optimal execution. The consumer environment in the U.S. appears to be inconsistent, as has been outlined by a number of other leisure and hospitality businesses. Nonetheless, we can and expect to do better," said Marc Swanson, Chief Executive Officer of United Parks & Resorts Inc.

Unsurprisingly, the stock is down 24.6% since reporting and currently trades at $34.84.

Read our full report on United Parks & Resorts here, it’s free for active Edge members.

Best Q3: AMC Entertainment

With a profile that was raised due to meme stock mania beginning in 2021, AMC Entertainment operates movie theaters primarily in the US and Europe.

AMC Entertainment reported revenues of $1.3 billion, down 3.6% year on year, outperforming analysts’ expectations by 6.3%. The business had an exceptional quarter with an impressive beat of analysts’ EBITDA estimates.

AMC Entertainment pulled off the biggest analyst estimates beat among its peers. Although it had a fine quarter compared its peers, the market seems unhappy with the results as the stock is down 29.2% since reporting. It currently trades at $1.79.

Dave & Buster's

Founded by a former game parlor and bar operator, Dave & Buster’s operates a chain of arcades providing immersive entertainment experiences.

Dave & Buster's reported revenues of $448.2 million, down 1.1% year on year, falling short of analysts’ expectations by 2.8%. It was a softer quarter as it posted a significant miss of analysts’ adjusted operating income and EPS estimates.

The stock is flat since the results and currently trades at $18.12.

Read our full analysis of Dave & Buster’s results here.

Lucky Strike

Born from the transformation of traditional bowling alleys into modern entertainment destinations, Lucky Strike operates bowling alleys and other entertainment venues with upscale amenities, arcade games, and food and beverage services across North America.

Lucky Strike reported revenues of $292.3 million, up 12.3% year on year. This number beat analysts’ expectations by 3.3%. It was a strong quarter as it also produced a beat of analysts’ EPS estimates and a solid beat of analysts’ adjusted operating income estimates.

Lucky Strike delivered the highest full-year guidance raise among its peers. The stock is up 12% since reporting and currently trades at $9.04.

Read our full, actionable report on Lucky Strike here, it’s free for active Edge members.

Planet Fitness

Founded by two brothers who purchased a struggling gym, Planet Fitness is a gym franchise that caters to casual fitness users by providing a friendly and inclusive atmosphere.

Planet Fitness reported revenues of $330.3 million, up 13% year on year. This result surpassed analysts’ expectations by 2%. Overall, it was a strong quarter as it also recorded a solid beat of analysts’ adjusted operating income estimates and a narrow beat of analysts’ same-store sales estimates.

The stock is up 19.8% since reporting and currently trades at $109.87.

Read our full, actionable report on Planet Fitness here, it’s free for active Edge members.