Six Flags Entertainment (NYSE:FUN) Sets New 1-Year Low - Time to Sell?

Key Points

• Six Flags Entertainment shares fell to a new 52-week low of $12.26, trading about 2.8% lower at midday. The stock remains below its 50-day and 200-day moving averages.
• Analyst sentiment is mixed, with a consensus “Hold” rating and an average price target of $21.50, well above the recent share price. Ratings range from “Buy” to “Sell,” reflecting uncertainty about the company’s outlook.
• Despite weak liquidity metrics and a negative P/E ratio, CEO John Reilly bought approximately $248,000 of shares under a pre-arranged trading plan. Institutional investors own 64.65% of the company, with several funds recently initiating or expanding positions.

Six Flags Entertainment Corporation (NYSE:FUN - Get Free Report) shares reached a new 52-week low during mid-day trading on Wednesday . The stock traded as low as $12.26 and last traded at $12.3690, with a volume of 1335218 shares. The stock had previously closed at $12.73.

Wall Street Analysts Forecast Growth

Several equities analysts recently commented on FUN shares. Mizuho set a $10.00 price target on shares of Six Flags Entertainment and gave the stock an "underperform" rating in a research report on Friday, August 7th. Northcoast Research assumed coverage on shares of Six Flags Entertainment in a report on Wednesday, July 8th. They issued a "neutral" rating on the stock. Weiss Ratings reissued a "sell (e+)" rating on shares of Six Flags Entertainment in a research note on Wednesday, August 12th. UBS Group increased their target price on Six Flags Entertainment from $27.00 to $30.00 and gave the stock a "buy" rating in a research report on Thursday, June 11th. Finally, Citizens Jmp lowered their price target on Six Flags Entertainment from $29.00 to $24.00 and set a "market outperform" rating for the company in a research report on Friday, August 7th. Seven research analysts have rated the stock with a Buy rating, six have given a Hold rating and three have assigned a Sell rating to the company. According to MarketBeat, the company has a consensus rating of "Hold" and an average target price of $21.50.

Six Flags Entertainment Trading Down 2.8%

The company has a quick ratio of 0.36, a current ratio of 0.42 and a debt-to-equity ratio of 43.34. The firm's 50 day simple moving average is $16.65 and its 200-day simple moving average is $18.51. The company has a market capitalization of $1.27 billion, a PE ratio of -0.71 and a beta of 0.38.

Insider Buying and Selling at Six Flags Entertainment

In other Six Flags Entertainment news, CEO John Reilly purchased 15,713 shares of the firm's stock in a transaction that occurred on Wednesday, August 12th. The stock was purchased at an average cost of $15.80 per share, with a total value of $248,265.40. Following the transaction, the chief executive officer owned 297,736 shares in the company, valued at approximately $4,704,228.80. This trade represents a 5.57% increase in their ownership of the stock. The acquisition 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. Insiders own 2.10% of the company's stock.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in the stock. WINTON GROUP Ltd grew its holdings in Six Flags Entertainment by 22.9% during the 2nd quarter. WINTON GROUP Ltd now owns 241,990 shares of the company's stock valued at $5,154,000 after purchasing an additional 45,158 shares in the last quarter. Engineers Gate Manager LP acquired a new position in Six Flags Entertainment in the 2nd quarter worth $898,000. Integrated Wealth Concepts LLC acquired a new position in Six Flags Entertainment in the 2nd quarter worth $31,000. VIRGINIA RETIREMENT SYSTEMS ET Al purchased a new position in Six Flags Entertainment in the 2nd quarter valued at about $432,000. Finally, Ameritas Advisory Services LLC purchased a new stake in shares of Six Flags Entertainment during the second quarter worth about $54,000. 64.65% of the stock is owned by hedge funds and other institutional investors.

About Six Flags Entertainment

Six Flags Entertainment Corporation operates amusement and water parks across the United States, Canada and Mexico. The company's portfolio includes parks operating under the Six Flags and Cedar Fair brands, as well as well-known destinations such as Cedar Point, Kings Island, Knott's Berry Farm and Canada's Wonderland.

Its parks provide roller coasters, family rides, water attractions, seasonal events, live entertainment, dining and retail experiences. The company generates revenue primarily through admission tickets, season passes, memberships, food and beverage sales, merchandise, sponsorships and related hospitality offerings.

Six Flags Entertainment was formed through the merger of Six Flags Entertainment Corporation and Cedar Fair, L.P., which was completed in July 2024.

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