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Research Alert: CFRA Lowers Opinion On Shares Of Six Flags Entertainment Corp To Hold From Buy
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Research Alert: CFRA Lowers Opinion On Shares Of Six Flags Entertainment Corp To Hold From Buy
Nov 11, 2025 8:50 AM

11:25 AM EST, 11/11/2025 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We lower our 12-month price target by $9 to $18, based on an 8x EV/EBITDA multiple (unchanged) on our 2026 estimate, in line with FUN's near-term average forward multiple. We lower our 2025 EPS estimate to -$14.85 from -$0.08 and lower 2026's to -$0.15 from $1.26, reflecting macroeconomic pressure on consumer spending as well as higher park operating costs. We are lowering our opinion to Hold from Buy. Following FUN's merger with Cedar Fair, leadership set aggressive financial targets, in our view. While macroeconomic headwinds have pressured the level of attendance and season pass sales this year, we are more concerned about Q3's park operating costs (-4.5% Y/Y), which were above our expectations. We note net leverage stands at 8.1x (up from 2.9x in Q2), a significant deterioration to FUN's balance sheet that limits our optimism that new strategic priorities will have a near-term impact. However, our Hold opinion reflects FUN's significant market share in a concentrated theme park industry.

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