11:40 AM EST, 11/10/2025 (MT Newswires) -- Six Flags Entertainment ( FUN ) is faced with duration and execution risks to improve its performance, Morgan Stanley said in a note Monday.

"We still believe there is opportunity for higher earnings and strategic value to be unlocked at FUN," the report said.

"But lower than expected pricing power, combined w/ rising concerns on low-end consumer and narrow windows to deliver improved results each season, add risk to timeline on rebuilding attendance/revs," the note said.

The report said "cyclical and secular factors" are raising concerns on the timing of its EBITDA recovery off 2025 lows.

Still, its unique assets/real estate can help strategic optionality, the note said, adding that non-core asset sales can help, but it needs to improve its fundamentals to lower net debt leverage.

Morgan Stanley downgraded the stock to equal-weight from overweight and cut its price target to $20 from $30.

Price: 16.62, Change: -1.41, Percent Change: -7.82