Six Flags Entertainment (NYSE:FUN) Shares Gap Up After Insider Buying Activity

Shares of Six Flags Entertainment Corporation (NYSE:FUN) gapped up prior to trading on Wednesday following insider buying activity. The stock had previously closed at $10.16, but opened at $11.08. Six Flags Entertainment shares last traded at $10.9950, with a volume of 395,920 shares changing hands.

Specifically, Director Rehan Jaffer bought 400,000 shares of the stock in a transaction on Tuesday, November 10th. The shares were purchased at an average price of $10.32 per share, for a total transaction of $4,128,000.00. Following the acquisition, the director owned 6,350,000 shares in the company, valued at $65,532,000. This represents a 6.72% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, Director Rehan Jaffer bought 350,000 shares of the business’s stock in a transaction that occurred on Monday, November 9th. The stock was purchased at an average cost of $10.86 per share, with a total value of $3,801,000.00. Following the purchase, the director directly owned 5,950,000 shares in the company, valued at $64,617,000. The trade was a 6.25% increase in their position. The SEC filing for this purchase provides additional information. In other news, Director Rehan Jaffer acquired 700,000 shares of the business’s stock in a transaction dated Friday, November 6th. The stock was acquired at an average price of $10.00 per share, with a total value of $7,000,000.00. Following the completion of the transaction, the director directly owned 5,600,000 shares in the company, valued at approximately $56,000,000. This represents a 14.29% increase in their position. The acquisition was disclosed in a document filed with the SEC, which is available at this hyperlink.

Wall Street Analysts Forecast Growth

Several research firms recently weighed in on FUN. JPMorgan Chase & Co. reduced their target price on Six Flags Entertainment from $22.00 to $12.00 and set a “neutral” rating on the stock in a research report on Monday. Oppenheimer dropped their price objective on shares of Six Flags Entertainment from $26.00 to $23.00 and set an “outperform” rating for the company in a research note on Friday, August 7th. Citizens Jmp cut their price objective on shares of Six Flags Entertainment from $24.00 to $14.00 and set a “market outperform” rating on the stock in a report on Thursday, October 22nd. Citigroup decreased their target price on shares of Six Flags Entertainment from $13.00 to $10.00 and set a “neutral” rating on the stock in a research report on Monday. Finally, Weiss Ratings raised shares of Six Flags Entertainment from a “sell (e+)” rating to a “sell (d-)” rating in a research report on Monday. Six investment analysts have rated the stock with a Buy rating, six have assigned a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat.com, Six Flags Entertainment has a consensus rating of “Hold” and an average price target of $14.85.

Top Six Flags Entertainment Stories

Here are a few of the latest stories about FUN:

• Negative Sentiment: Two law firms announced investigations into potential securities-law violations related to company statements about safety, maintenance and ride reliability. The announcements follow reports of a 14% stock drop after safety issues were disclosed. These are investigations, not findings of wrongdoing, but add legal and reputational uncertainty. BFA Law investigation announcement Pomerantz investigation announcement
• Negative Sentiment: Recent quarterly results included a $3.59-per-share loss, far below analysts’ expected $1.93 profit. Revenue slightly beat estimates but fell 11% year over year, reinforcing concerns about operating performance.
• Negative Sentiment: Commentary has also highlighted the company’s substantial debt burden and the challenge of improving its financial position, adding to concerns about its solvency and outlook. Seeking Alpha analysis

Six Flags Entertainment Trading Up 9.5%

The firm has a fifty day moving average of $10.84 and a 200 day moving average of $16.65. The firm has a market capitalization of $1.14 billion, a PE ratio of -1.22 and a beta of 0.50. The company has a debt-to-equity ratio of 43.34, a quick ratio of 0.46 and a current ratio of 0.52.

Six Flags Entertainment (NYSE:FUN) last released its quarterly earnings results on Thursday, November 5th. The company reported ($3.59) earnings per share (EPS) for the quarter, missing the consensus estimate of $1.93 by ($5.52). Six Flags Entertainment had a negative return on equity of 15.95% and a negative net margin of 31.91%. The firm had revenue of $1.17 billion for the quarter, compared to analysts’ expectations of $1.16 billion. During the same period last year, the firm earned ($2.20) EPS. The business’s quarterly revenue was down 11.0% on a year-over-year basis. Equities research analysts expect that Six Flags Entertainment Corporation will post -2.79 EPS for the current year.

Institutional Trading of Six Flags Entertainment

Hedge funds and other institutional investors have recently bought and sold shares of the company. BlackRock Inc. bought a new position in Six Flags Entertainment during the second quarter worth $339,057,000. Kanen Wealth Management LLC acquired a new stake in shares of Six Flags Entertainment during the first quarter worth $15,063,000. Bank of New York Mellon Corp bought a new position in shares of Six Flags Entertainment in the 2nd quarter worth about $11,975,000. Jupiter Topco LLC bought a new position in shares of Six Flags Entertainment in the 2nd quarter worth about $10,348,000. Finally, Bank of America Corp DE acquired a new position in shares of Six Flags Entertainment in the 2nd quarter valued at about $9,066,000. 64.65% of the stock is owned by institutional investors.

About Six Flags Entertainment

Six Flags Entertainment Corporation operates amusement parks, water parks and related resort properties. Its attractions include rides, live entertainment, family activities, dining and seasonal events, with access offered through single-day tickets, season passes and other guest programs. The company serves visitors across the United States, Canada and Mexico through parks that include properties formerly operated by both the Six Flags and Cedar Fair organizations. Six Flags Entertainment was formed when Cedar Fair and Six Flags combined in a merger completed in 2024.