Six Flags Entertainment (NYSE:FUN) Given New $6.00 Price Target at The Goldman Sachs Group

Key Points

• Goldman Sachs cut Six Flags Entertainment’s price target from $15 to $6 while maintaining a “neutral” rating, implying 11.56% downside from the prior close.
• Shares opened at $6.78, near their 52-week low of $6.75, after the company reported weaker-than-expected quarterly results: EPS of $0.14 versus $0.29 expected and revenue down 7% year over year to $864.9 million.
• Analyst sentiment remains mixed, with seven Buy, seven Hold, and two Sell ratings; the consensus rating is “Hold” with a target price of $16.92. Institutional investors own 64.65% of the stock, while CEO John Reilly recently purchased 15,713 shares.

Six Flags Entertainment (NYSE:FUN - Get Free Report) had its price objective lowered by investment analysts at The Goldman Sachs Group from $15.00 to $6.00 in a report issued on Monday, Benzinga reports. The brokerage currently has a "neutral" rating on the stock. The Goldman Sachs Group's price objective points to a potential downside of 11.56% from the stock's previous close.

Several other research firms also recently issued reports on FUN. Stifel Nicolaus set a $23.00 price target on shares of Six Flags Entertainment in a research report on Friday, August 7th. Northcoast Research initiated coverage on shares of Six Flags Entertainment in a report on Wednesday, July 8th. They set a "neutral" rating on the stock. Citigroup dropped their price objective on shares of Six Flags Entertainment from $17.00 to $13.00 and set a "neutral" rating on the stock in a research note on Thursday, October 8th. Barclays dropped their price objective on shares of Six Flags Entertainment from $26.00 to $22.00 and set an "overweight" rating on the stock in a research note on Friday, August 7th. Finally, Guggenheim reduced their price objective on shares of Six Flags Entertainment from $28.00 to $17.00 and set a "buy" rating for the company in a report on Wednesday. Seven analysts have rated the stock with a Buy rating, seven have given a Hold rating and two have given a Sell rating to the company. According to MarketBeat.com, the stock has an average rating of "Hold" and a consensus target price of $16.92.

Six Flags Entertainment Trading Up 0.2%

Shares of Six Flags Entertainment stock opened at $6.78 on Monday. The company has a debt-to-equity ratio of 43.34, a quick ratio of 0.36 and a current ratio of 0.42. Six Flags Entertainment has a 52 week low of $6.75 and a 52 week high of $27.37. The stock has a 50 day moving average price of $12.71 and a two-hundred day moving average price of $17.28. The stock has a market capitalization of $694.14 million, a PE ratio of -0.39 and a beta of 0.45.

Six Flags Entertainment (NYSE:FUN - Get Free Report) last released its quarterly earnings data on Thursday, August 6th. The company reported $0.14 EPS for the quarter, missing the consensus estimate of $0.29 by ($0.15). Six Flags Entertainment had a negative net margin of 57.25% and a positive return on equity of 7.43%. The firm had revenue of $864.92 million for the quarter, compared to the consensus estimate of $928.36 million. During the same quarter in the prior year, the firm earned $0.26 EPS. The company's revenue was down 7.0% compared to the same quarter last year. As a group, equities analysts anticipate that Six Flags Entertainment will post -0.91 earnings per share for the current fiscal year.

Insider Activity

In related news, CEO John Reilly bought 15,713 shares of the business's stock in a transaction that occurred on Wednesday, August 12th. The shares were bought at an average price of $15.80 per share, with a total value of $248,265.40. Following the completion of the transaction, the chief executive officer directly owned 297,736 shares in the company, valued at approximately $4,704,228.80. This represents a 5.57% increase in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 2.10% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Six Flags Entertainment

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. BlackRock Inc. purchased a new position in Six Flags Entertainment during the second quarter worth about $339,057,000. Kanen Wealth Management LLC bought a new stake in Six Flags Entertainment in the 1st quarter worth about $15,063,000. Bank of New York Mellon Corp bought a new stake in Six Flags Entertainment in the 2nd quarter worth about $11,975,000. Jupiter Topco LLC bought a new stake in Six Flags Entertainment in the 2nd quarter worth about $10,348,000. Finally, Bank of America Corp DE purchased a new stake in Six Flags Entertainment in the 2nd quarter valued at about $9,066,000. 64.65% of the stock is owned by hedge funds and other institutional investors.

Six Flags Entertainment Company Profile

Six Flags Entertainment Corporation is a regional theme park operator headquartered in Charlotte, North Carolina. The company owns and operates amusement parks, water parks and resort properties, offering roller coasters, family rides, live entertainment, seasonal events, food and beverage, merchandise, and other guest experiences. Its portfolio includes parks operating under the Six Flags, Cedar Fair and affiliated brand names, including Six Flags Great Adventure, Cedar Point, Knott's Berry Farm and Kings Island.

The company serves guests primarily in the United States, as well as in Canada and Mexico.

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