Six Flags-Cedar Fair Merger Unlocks $200 Million In Synergies, Analyst Sees Big Growth Potential
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Dec 09 2024
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Source: Benzinga
Analyst Coverage Initiation: Jefferies analyst David Katz has initiated coverage on Six Flags Entertainment Corporation with a Buy rating and a price target of $59, highlighting the potential for significant earnings growth following the merger with Cedar Fair.
Financial Projections: Katz anticipates at least $200 million in synergies from the merger by 2026, along with modest EBITDA growth and substantial free cash flow generation, despite a recent earnings miss in Q3.
Analyst Views on FUN
Wall Street analysts forecast FUN stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for FUN is 23.48 USD with a low forecast of 14.77 USD and a high forecast of 35.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
10 Analyst Rating
7 Buy
2 Hold
1 Sell
Moderate Buy
Current: 18.360
Low
14.77
Averages
23.48
High
35.00
Current: 18.360
Low
14.77
Averages
23.48
High
35.00
About FUN
Six Flags Entertainment Corporation is an amusement-resort operator with approximately 27 amusement parks, 15 water parks and nine resort properties across 17 states in the United States, Canada and Mexico. The Company has a portfolio of intellectual property, such as Looney Tunes, DC Comics and PEANUTS. Its parks are family-oriented, with recreational facilities for people of all ages. The Company's parks include Cedar Point Shores, Valleyfair, Dorney Park, Knott's Berry Farm Soak City, Canada's Wonderland, Kings Dominion, Schlitterbahn Waterpark and Resort New Braunfels, Schlitterbahn Waterpark Galveston, Six Flags Hurricane Harbor Oklahoma City, Six Flags Hurricane Harbor Concord, Six Flags St. Louis, Six Flags Hurricane Harbor Oaxtepec, Six Flags Great Adventure, Six Flags New England, and others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
