Flickr/Mike Mozart

Shares of Dave & Buster's Entertainment Inc. (PLAY) busted out to the downside iWednesday, Dec. 12, after the company reported better-than-expected earnings and provided strong forward guidance but said comparable same-store sales dropped.

Shares in the Dallas-based restaurant and entertainment chain were down 9.2% to $46.35 on Wednesday.

For its fiscal third quarter, Dave & Buster's reported net income of $11.9 million, or 30 cents a share, vs. earnings of $12.2 million, or 29 cents a share, in the comparable year-earlier quarter. Analysts surveyed by FactSet had expected earnings of 24 cents a share. Revenue rose 13% to $282.1 million from $278 million.

However, comparable-store sales declined about 1.3%, more than the 0.7% drop analysts had expected.

A stock price target cut to $50 from $70 by analysts at Raymond James also fueled the declines in the stock price.

For fiscal 2018, the company boosted its revenue guidance to between $1.24 billion and $1.26 billion, and net income in the range of $106 million and $113 million. The company's previous outlook called for revenue in the range of $1.23 billion and $1.26 billion and net income between $101 million to $111 million.

During its third quarter, the company repurchased approximately 437,000 shares for $25 million, with an additional 149,000 shares for $8.8 million through December 4, during the fourth quarter. As of the same date, the company has cumulatively repurchased 5.1 million shares for $275.6 million under its $400 million share-repurchase authorization.

More from Earnings

IBM Stock Jumps After 'Cleanest Quarter in Years'

IBM Stock Jumps After 'Cleanest Quarter in Years'

TD Ameritrade CEO Breaks Down Earnings and 2019 Outlook

TD Ameritrade CEO Breaks Down Earnings and 2019 Outlook

Amphenol Q4 Earnings Beat Estimates; Raises Guidance

Amphenol Q4 Earnings Beat Estimates; Raises Guidance

Southwest Airlines Expected to Earn $1.07 a Share

Southwest Airlines Expected to Earn $1.07 a Share

Kimberly-Clark Shares Slide After Q4 Earnings Miss, Softer 2019 Guidance

Kimberly-Clark Shares Slide After Q4 Earnings Miss, Softer 2019 Guidance