Six Flags Entertainment (NYSE:FUN – Get Free Report) and Studio City Ih (NYSE:MSC – Get Free Report) are both consumer discretionary companies, but which is the superior investment? We will compare the two businesses based on the strength of their analyst recommendations, dividends, profitability, valuation, earnings, risk and institutional ownership.
Volatility and Risk
Six Flags Entertainment has a beta of 0.35, indicating that its stock price is 65% less volatile than the S&P 500. Comparatively, Studio City Ih has a beta of 0.09, indicating that its stock price is 91% less volatile than the S&P 500.
Insider and Institutional Ownership
64.7% of Six Flags Entertainment shares are held by institutional investors. 2.1% of Six Flags Entertainment shares are held by company insiders. Comparatively, 54.9% of Studio City Ih shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.
Earnings and Valuation
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Six Flags Entertainment | $3.10 billion | 0.65 | -$1.60 billion | ($16.32) | -1.22 |
| Studio City Ih | $694.57 million | 0.73 | -$64.30 million | ($0.22) | -10.86 |
Studio City Ih has lower revenue, but higher earnings than Six Flags Entertainment. Studio City Ih is trading at a lower price-to-earnings ratio than Six Flags Entertainment, indicating that it is currently the more affordable of the two stocks.
Analyst Recommendations
This is a breakdown of current ratings and target prices for Six Flags Entertainment and Studio City Ih, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Six Flags Entertainment | 1 | 5 | 7 | 1 | 2.57 |
| Studio City Ih | 1 | 0 | 0 | 0 | 1.00 |
Six Flags Entertainment currently has a consensus target price of $24.85, indicating a potential upside of 25.23%. Given Six Flags Entertainment’s stronger consensus rating and higher possible upside, research analysts clearly believe Six Flags Entertainment is more favorable than Studio City Ih.
Profitability
This table compares Six Flags Entertainment and Studio City Ih’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Six Flags Entertainment | -52.76% | 5.17% | 0.51% |
| Studio City Ih | -5.68% | -6.90% | -1.41% |
Summary
Six Flags Entertainment beats Studio City Ih on 10 of the 15 factors compared between the two stocks.
About Six Flags Entertainment
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. Paul, Minnesota; Michigan's Adventure situated near Muskegon, Michigan; Schlitterbahn Waterpark & Resort New Braunfels in New Braunfels, Texas; and Schlitterbahn Waterpark Galveston in Galveston, Texas. The company also owns and operates the Castaway Bay Indoor Waterpark Resort, Hotel Breakers, Cedar Point's Express Hotel, and Sawmill Creek Resort. Cedar Fair, L.P. was founded in 1983 and is based in Sandusky, Ohio.
About Studio City Ih
Studio City International Holdings Limited operates an entertainment resort in Macau. It operates Studio City Casino, comprising gaming tables, including tables for VIP rolling chip operations and gaming machines; and resort, which offers various non-gaming attractions, including figure-8 ferris wheel, night club and karaoke venue, live performance arena, and an outdoor and indoor water park, as well as hotel rooms and various food and beverage establishments, and retail space. The company was formerly known as Cyber One Agents Limited and changed its name to Studio City International Holdings Limited in January 2012. The company was founded in 2000 and is based in Central, Hong Kong. Studio City International Holdings Limited is a subsidiary of MCO Cotai Investments Limited.
Receive News & Ratings for Six Flags Entertainment Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Six Flags Entertainment and related companies with MarketBeat.com's FREE daily email newsletter.
