Six Flags Entertainment (NYSE:FUN) Trading Down 7% – Should You Sell?

Six Flags Entertainment Corporation (NYSE:FUN)’s stock price traded down 7% during trading on Wednesday . The stock traded as low as $14.60 and last traded at $14.6380. Approximately 403,381 shares traded hands during mid-day trading, a decline of 81% from the average daily volume of 2,153,420 shares. The stock had previously closed at $15.74.

Key Stories Impacting Six Flags Entertainment

Here are the key news stories impacting Six Flags Entertainment this week:

• Positive Sentiment: Six Flags acquired ArieForce One, an acclaimed steel roller coaster previously operated at the closed Fun Spot America Atlanta. The company plans to relocate and reopen the ride at an as-yet-undisclosed Six Flags park during the 2028–2029 seasons. The attraction could strengthen the company’s lineup, generate publicity and support attendance over the long term. Six Flags Acquires Iconic ArieForce One, Bringing Fan-Favorite Roller Coaster Back to Life
• Positive Sentiment: The company also introduced an installment-payment option for season passes. Buy-now, pay-later flexibility may make memberships more affordable, potentially improving conversion and broadening the customer base, although the effect on revenue and cash flow remains unclear. Six Flags Lets Guests Use BNPL to Buy Season Passes
• Neutral Sentiment: ArieForce One’s new location has not been announced. While speculation includes parks such as Carowinds and properties near Orlando, the absence of a confirmed site means investors cannot yet assess the ride’s expected attendance contribution, development costs or opening timetable in detail. Six Flags Just Bought This World-Class Roller Coaster. Could It End Up at Carowinds?
• Negative Sentiment: The coaster is not expected to open until 2028–2029, so the acquisition is unlikely to provide meaningful near-term earnings support. Relocation, installation and maintenance spending could also weigh on returns before the attraction begins generating revenue. The installment program may additionally expose Six Flags to transaction costs or customer-credit risks.

Analysts Set New Price Targets

A number of brokerages recently issued reports on FUN. The Goldman Sachs Group set a $15.00 target price on shares of Six Flags Entertainment in a research report on Friday, August 7th. UBS Group raised their price objective on shares of Six Flags Entertainment from $27.00 to $30.00 and gave the stock a “buy” rating in a report on Thursday, June 11th. Citizens Jmp cut their target price on shares of Six Flags Entertainment from $29.00 to $24.00 and set a “market outperform” rating for the company in a research note on Friday, August 7th. Wall Street Zen downgraded Six Flags Entertainment from a “hold” rating to a “sell” rating in a report on Sunday, July 12th. Finally, JPMorgan Chase & Co. dropped their price target on Six Flags Entertainment from $26.00 to $22.00 and set a “neutral” rating for the company in a report on Tuesday, August 11th. Seven research analysts have rated the stock with a Buy rating, six have issued a Hold rating and three have assigned a Sell rating to the stock. According to data from MarketBeat.com, the stock currently has an average rating of “Hold” and a consensus price target of $21.93.

Six Flags Entertainment Price Performance

The company has a quick ratio of 0.36, a current ratio of 0.42 and a debt-to-equity ratio of 43.34. The stock’s 50-day moving average price is $17.34 and its 200-day moving average price is $18.64. The company has a market capitalization of $1.48 billion, a price-to-earnings ratio of -0.84 and a beta of 0.38.

Insider Buying and Selling at Six Flags Entertainment

In other news, CEO John T. Reilly purchased 15,713 shares of the business’s stock in a transaction dated Wednesday, August 12th. The shares were acquired at an average price of $15.80 per share, with a total value of $248,265.40. Following the completion of the purchase, the chief executive officer directly owned 297,736 shares of the company’s stock, valued at $4,704,228.80. The trade was a 5.57% increase in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Rehan Jaffer acquired 125,000 shares of the stock in a transaction that occurred on Monday, June 15th. The stock was purchased at an average price of $23.41 per share, with a total value of $2,926,250.00. Following the completion of the transaction, the director owned 4,900,000 shares of the company’s stock, valued at approximately $114,709,000. This trade represents a 2.62% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. In the last ninety days, insiders have acquired 265,713 shares of company stock worth $6,135,765. Company insiders own 2.10% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds have recently modified their holdings of FUN. WINTON GROUP Ltd grew its position in shares of Six Flags Entertainment by 22.9% during the 2nd quarter. WINTON GROUP Ltd now owns 241,990 shares of the company’s stock worth $5,154,000 after buying an additional 45,158 shares during the period. Engineers Gate Manager LP bought a new position in Six Flags Entertainment in the second quarter valued at approximately $898,000. Integrated Wealth Concepts LLC acquired a new stake in Six Flags Entertainment during the 2nd quarter worth $31,000. VIRGINIA RETIREMENT SYSTEMS ET Al acquired a new stake in Six Flags Entertainment during the 2nd quarter worth $432,000. Finally, California State Teachers Retirement System raised its position in shares of Six Flags Entertainment by 1,976.0% during the 2nd quarter. California State Teachers Retirement System now owns 2,465,858 shares of the company’s stock valued at $52,523,000 after acquiring an additional 2,347,076 shares during the last quarter. Institutional investors own 64.65% of the company’s stock.

About Six Flags Entertainment

Six Flags Entertainment Corporation is a publicly traded regional theme park operator based in Arlington, Texas. The company develops, owns and operates amusement and water parks, offering a diverse portfolio of thrill rides, family attractions, live entertainment, food and beverage offerings, and retail merchandise. Its main revenue streams include single-day tickets, season passes, on-site accommodations, in-park retail sales, and food and beverage services.

Founded in 1961 by Angus G.