Stock Price & Analysis

Analysis and Insights

To determine whether it’s a good time to buy or sell PRKS stock, we need to analyze both technical and fundamental factors.

Technical Analysis:

PRKS closed at $47.2 on 2025-03-18, with a significant drop of -3.52% during the regular market hours. The stock has been trading near its lower Fibonacci support level of 45.89, suggesting potential oversold conditions. The RSI values (52.46 for RSI_6, 45.55 for RSI_12, and 44.95 for RSI_14) indicate that the stock may be approaching oversold territory, which could present a buying opportunity if a reversal occurs.

Fundamental Analysis:

The company recently launched a new kid-friendly attraction, Rescue Jr., at SeaWorld San Antonio, which could boost attendance and revenue. Additionally, the free Preschool Card offer for children aged three to five is likely to attract more families, further enhancing visitor numbers.

PRKS also has a $500 million share repurchase program in place, which demonstrates management's confidence in the stock's value and its commitment to returning value to shareholders.

Analyst Sentiment:

Barclays initiated coverage on PRKS with an Equal Weight rating and a $50 price target, reflecting a cautious outlook. While this isn’t a strong buy signal, it indicates that analysts recognize the company’s potential but may be waiting for clearer signs of growth.

Conclusion:

Given the recent stock performance and mixed analyst sentiment, it may be prudent to hold off on buying PRKS stock until there is clearer evidence of an uptrend or improved market sentiment. However, the company’s strategic initiatives and buyback program are positive catalysts that could drive long-term growth.

Price Prediction for PRKS Stock in 2025

Based on the analysis of technical indicators, recent news, and market trends, here is the price prediction for PRKS stock in 2025:

1. Target Price: $50

   • Reason: The stock is currently trading near its Fibonacci pivot level of $47.88 and has shown signs of bullish momentum with the launch of new attractions and a share buyback program.

2. Resistance Levels: $53.07

   • Reason: This level represents a significant technical resistance point that the stock may struggle to break above in the near term.

3. Support Levels: $45.89

   • Reason: The stock has strong support at this level, which could act as a floor during any potential pullbacks.

The prediction is based on the stock's current technical setup and recent positive developments, including the launch of Rescue Jr. and aggressive share repurchases.

The S1 support level for PRKS Stock is $45.81 ,The R1 resistant level for PRKS Stock is $49.77.

As of the end of day on 2025-03-24, the price of PRKS Stock was $50.73.

The target price for PRKS Stock according to analyst rating is 60.86, with the highest price target at 74.00 and the lowest at 45.00. Analysts have a Moderate Buy rating on PRKS Stock overall.

The market cap of PRKS is $2.7B.

Analysis and Insights

Valuation Metrics:

PRKS currently has a PE ratio of 14.14, which is slightly above the industry average, indicating potential overvaluation. The EV/EBITDA ratio of 9.93 suggests reasonable valuation, but the PS ratio of 2.09 is elevated, signaling high market expectations. The PB ratio of 7.42 is significantly above the industry average, further indicating overvaluation.

Recent News Impact:

The launch of Rescue Jr. at SeaWorld San Antonio, offering interactive rides and a free Preschool Card, aims to boost attendance and revenue. This strategic move could enhance visitor experience and drive growth, countering potential overvaluation concerns.

Market Reaction:

PRKS stock dropped 3.52% today, possibly due to profit-taking or skepticism about its high valuation. This volatility highlights investor uncertainty despite positive developments.

Buyback Program:

PRKS's $500 million buyback program could reduce shares outstanding, potentially increasing EPS. However, buying back shares at current high valuations may not be optimal.

Conclusion:

PRKS appears overvalued due to high PE, PS, and PB ratios. While the new attraction and buyback program are positive, the stock's price may not fully align with its financials, making it a risky investment currently.

United Parks & Resorts Inc. is a theme park and entertainment company. The Company owns or licenses a portfolio of recognized brands, including SeaWorld, Busch Gardens, Aquatica, Discovery Cove, Water Country USA, Adventure Island and Sesame Place. It has developed a portfolio of approximately 13 differentiated theme parks that are grouped in markets across the United States and Abu Dhabi. Many of its theme parks showcase the Company’s zoological collection and feature a diverse array of both thrill and family-friendly rides, educational presentations, shows and/or other attractions with demographic appeal. SeaWorld owns and operates various theme parks, including SeaWorld San Diego, SeaWorld Orlando, SeaWorld Abu Dhabi and SeaWorld San Antonio. It owns and operates Busch Gardens theme parks, including Busch Gardens Tampa Bay and Busch Gardens Williamsburg. SeaWorld theme parks owns and operates the separately gated Aquatica branded theme parks.

The price prediction for PRKS stock in 2030 is approximately $69. This estimate is based on a projected annual growth rate of 8%, driven by the leisure industry's expansion and the company's strategic initiatives like share buybacks and new attractions.

PRKS has a total of 3300 employees.