United Parks & Resorts (NYSE:PRKS) Stock Falls 4.5% - Time to Sell?

Key Points

• United Parks & Resorts shares fell 4.5% to about $30.32, trading well below their 50-day and 200-day moving averages of $37.46 and $39.94, respectively.
• Analysts maintain a generally cautious outlook: the stock has an average rating of “Hold” and a consensus price target of $45.40, despite four Buy ratings and targets as high as $55.
• The company recently missed quarterly expectations, reporting adjusted EPS of $1.34 versus $1.67 expected and revenue of $483.32 million versus $492.10 million, while revenue declined 1.4% year over year.

United Parks & Resorts Inc. (NYSE:PRKS - Get Free Report)'s stock price traded down 4.5% during mid-day trading on Wednesday. The company traded as low as $30.54 and last traded at $30.3220. 148,182 shares were traded during mid-day trading, a decline of 84% from the average session volume of 924,624 shares. The stock had previously closed at $31.76.

Wall Street Analyst Weigh In

PRKS has been the subject of a number of recent research reports. The Goldman Sachs Group lifted their price target on shares of United Parks & Resorts from $37.00 to $41.00 and gave the stock a "neutral" rating in a report on Monday, July 27th. Weiss Ratings raised shares of United Parks & Resorts from a "hold (c-)" rating to a "hold (c)" rating in a research note on Tuesday, August 11th. Deutsche Bank Aktiengesellschaft set a $55.00 target price on shares of United Parks & Resorts in a research report on Thursday, August 6th. Truist Financial decreased their target price on shares of United Parks & Resorts from $53.00 to $49.00 and set a "buy" rating on the stock in a research report on Thursday, September 10th. Finally, Citizens Jmp assumed coverage on shares of United Parks & Resorts in a research note on Monday, June 29th. They issued a "market perform" rating for the company. Four analysts have rated the stock with a Buy rating and ten have assigned a Hold rating to the company's stock. According to MarketBeat, the stock currently has an average rating of "Hold" and an average target price of $45.40.

United Parks & Resorts Price Performance

The business's 50-day simple moving average is $37.46 and its two-hundred day simple moving average is $39.94. The stock has a market capitalization of $1.37 billion, a price-to-earnings ratio of 11.91, a PEG ratio of 3.03 and a beta of 1.25.

United Parks & Resorts (NYSE:PRKS - Get Free Report) last issued its quarterly earnings data on Tuesday, August 4th. The company reported $1.34 EPS for the quarter, missing analysts' consensus estimates of $1.67 by ($0.33). United Parks & Resorts had a negative return on equity of 27.85% and a net margin of 8.11%. The company had revenue of $483.32 million for the quarter, compared to analyst estimates of $492.10 million. During the same quarter in the prior year, the firm earned $1.45 EPS. The company's revenue for the quarter was down 1.4% compared to the same quarter last year. As a group, sell-side analysts expect that United Parks & Resorts Inc. will post 2.85 EPS for the current year.

Insider Buying and Selling

In related news, insider James Forrester, Jr. sold 1,150 shares of the firm's stock in a transaction on Tuesday, September 15th. The stock was sold at an average price of $35.71, for a total transaction of $41,066.50. Following the transaction, the insider directly owned 26,733 shares in the company, valued at $954,635.43. This trade represents a 4.12% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, insider Christopher Finazzo sold 6,622 shares of United Parks & Resorts stock in a transaction dated Thursday, August 6th. The shares were sold at an average price of $44.20, for a total transaction of $292,692.40. Following the completion of the transaction, the insider directly owned 123,663 shares of the company's stock, valued at $5,465,904.60. This trade represents a 5.08% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Company insiders own 1.70% of the company's stock.

Institutional Investors Weigh In On United Parks & Resorts

Several hedge funds and other institutional investors have recently added to or reduced their stakes in PRKS. Pinnacle Associates Ltd. lifted its position in shares of United Parks & Resorts by 11.5% in the third quarter. Pinnacle Associates Ltd. now owns 627,966 shares of the company's stock worth $20,346,000 after purchasing an additional 64,694 shares in the last quarter. Fortitude Family Office LLC grew its position in United Parks & Resorts by 30,580.0% during the third quarter. Fortitude Family Office LLC now owns 1,534 shares of the company's stock valued at $50,000 after purchasing an additional 1,529 shares in the last quarter. GAMMA Investing LLC grew its position in United Parks & Resorts by 46.7% during the third quarter. GAMMA Investing LLC now owns 2,113 shares of the company's stock valued at $68,000 after purchasing an additional 673 shares in the last quarter. Farther Finance Advisors LLC increased its stake in United Parks & Resorts by 2,341.5% in the 3rd quarter. Farther Finance Advisors LLC now owns 5,054 shares of the company's stock valued at $164,000 after buying an additional 4,847 shares during the period. Finally, WINTON GROUP Ltd acquired a new position in United Parks & Resorts in the 2nd quarter valued at approximately $291,000.

United Parks & Resorts Company Profile

United Parks & Resorts Inc NYSE: PRKS is a theme park and entertainment company that owns and operates a portfolio of destination amusement and water parks in the United States. Its properties combine rides, live entertainment, animal exhibits, educational experiences, seasonal events and hospitality-related offerings.

The company's portfolio includes SeaWorld parks in Orlando, San Antonio and San Diego; Busch Gardens parks in Tampa and Williamsburg, Virginia; Sesame Place parks in Pennsylvania and California; and water parks and attractions such as Aquatica, Adventure Island, Water Country USA and Discovery Cove.

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