Six Flags Entertainment (NYSE:FUN) Hits New 52-Week Low - Time to Sell?

Key Points

• Six Flags Entertainment's stock reached a new 12-month low, trading as low as $21.30 and last at $21.91, amidst analyst rating changes and reduced price targets.
• Analysts have varied opinions on the stock, with ten analysts rating it as a Buy, while the average target price is set at $36.36.
• The company's recent earnings report showed EPS of $0.26, missing estimates by a significant margin, and revealed a year-over-year revenue increase of 62.8%.

Six Flags Entertainment Corporation (NYSE:FUN - Get Free Report) reached a new 52-week low during mid-day trading on Thursday . The stock traded as low as $21.30 and last traded at $21.91, with a volume of 346818 shares. The stock had previously closed at $21.66.

Analyst Upgrades and Downgrades

Several research firms have issued reports on FUN. Truist Financial cut shares of Six Flags Entertainment from a "buy" rating to a "hold" rating and set a $27.00 target price on the stock. in a research note on Wednesday, September 3rd. JPMorgan Chase & Co. cut their price target on shares of Six Flags Entertainment from $33.00 to $24.00 and set an "underweight" rating on the stock in a report on Thursday, August 14th. The Goldman Sachs Group lowered their price target on shares of Six Flags Entertainment from $30.00 to $23.00 and set a "neutral" rating for the company in a research report on Thursday, August 7th. UBS Group decreased their target price on shares of Six Flags Entertainment from $40.00 to $34.00 and set a "buy" rating for the company in a report on Tuesday, August 19th. Finally, Guggenheim set a $43.00 price target on shares of Six Flags Entertainment and gave the stock a "buy" rating in a research note on Thursday, August 7th. Ten equities research analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, the company presently has an average rating of "Moderate Buy" and an average target price of $36.36.

Six Flags Entertainment Trading Down 0.2%

The company has a debt-to-equity ratio of 2.97, a current ratio of 0.52 and a quick ratio of 0.42. The stock's fifty day moving average price is $26.99 and its 200 day moving average price is $31.71. The stock has a market capitalization of $2.44 billion, a P/E ratio of -4.96 and a beta of 0.72.

Six Flags Entertainment (NYSE:FUN - Get Free Report) last released its quarterly earnings results on Wednesday, August 6th. The company reported $0.26 EPS for the quarter, missing the consensus estimate of $0.79 by ($0.53). Six Flags Entertainment had a negative net margin of 14.92% and a negative return on equity of 1.00%. The firm had revenue of $930.39 million for the quarter, compared to analysts' expectations of $999.82 million. Six Flags Entertainment's revenue for the quarter was up 62.8% compared to the same quarter last year. Research analysts forecast that Six Flags Entertainment Corporation will post 0.83 earnings per share for the current year.

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the stock. Wedge Capital Management L L P NC increased its stake in shares of Six Flags Entertainment by 0.9% during the second quarter. Wedge Capital Management L L P NC now owns 39,370 shares of the company's stock worth $1,198,000 after buying an additional 335 shares during the period. Maryland State Retirement & Pension System lifted its holdings in shares of Six Flags Entertainment by 1.5% during the second quarter. Maryland State Retirement & Pension System now owns 27,632 shares of the company's stock worth $841,000 after purchasing an additional 399 shares during the period. Ameritas Investment Partners Inc. lifted its holdings in shares of Six Flags Entertainment by 4.4% during the second quarter. Ameritas Investment Partners Inc. now owns 9,801 shares of the company's stock worth $298,000 after purchasing an additional 413 shares during the period. Yousif Capital Management LLC lifted its holdings in shares of Six Flags Entertainment by 1.2% during the second quarter. Yousif Capital Management LLC now owns 35,141 shares of the company's stock worth $1,069,000 after purchasing an additional 433 shares during the period. Finally, Wealth Enhancement Advisory Services LLC lifted its holdings in Six Flags Entertainment by 5.7% in the second quarter. Wealth Enhancement Advisory Services LLC now owns 8,923 shares of the company's stock valued at $287,000 after acquiring an additional 484 shares during the period. Institutional investors and hedge funds own 64.65% of the company's stock.

Six Flags Entertainment Company Profile

Cedar Fair, L.P. owns and operates amusement and water parks, as well as complementary resort facilities. Its amusement parks include Cedar Point located on Lake Erie between Cleveland and Toledo in Sandusky, Ohio; Knott's Berry Farm near Los Angeles, California; Canada's Wonderland near Toronto, Ontario; Kings Island near Cincinnati, Ohio; Carowinds in Charlotte, North Carolina; Kings Dominion situated near Richmond, Virginia; California's Great America located in Santa Clara, California; Dorney Park in Pennsylvania; Worlds of Fun located in Kansas City, Missouri; Valleyfair situated near Minneapolis/St.