United Parks & Resorts Inc. (NYSE:PRKS) Just Released Its First-Quarter Earnings: Here's What Analysts Think

The analysts might have been a bit too bullish on United Parks & Resorts Inc. (NYSE:PRKS), given that the company fell short of expectations when it released its first-quarter results last week. It was a pretty negative result overall, with revenues of US$287m missing analyst predictions by 2.4%. Worse, the business reported a statutory loss of US$0.29 per share, much larger than the analysts had forecast prior to the result. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

We've discovered 1 warning sign about United Parks & Resorts. View them for free.

Taking into account the latest results, United Parks & Resorts' eleven analysts currently expect revenues in 2025 to be US$1.74b, approximately in line with the last 12 months. Per-share earnings are expected to step up 13% to US$4.59. In the lead-up to this report, the analysts had been modelling revenues of US$1.73b and earnings per share (EPS) of US$4.53 in 2025. So it's pretty clear that, although the analysts have updated their estimates, there's been no major change in expectations for the business following the latest results.

Check out our latest analysis for United Parks & Resorts

The analysts reconfirmed their price target of US$58.50, showing that the business is executing well and in line with expectations. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. Currently, the most bullish analyst values United Parks & Resorts at US$78.00 per share, while the most bearish prices it at US$45.00. As you can see, analysts are not all in agreement on the stock's future, but the range of estimates is still reasonably narrow, which could suggest that the outcome is not totally unpredictable.

Another way we can view these estimates is in the context of the bigger picture, such as how the forecasts stack up against past performance, and whether forecasts are more or less bullish relative to other companies in the industry. We would highlight that United Parks & Resorts' revenue growth is expected to slow, with the forecast 1.7% annualised growth rate until the end of 2025 being well below the historical 16% p.a. growth over the last five years. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 9.7% per year. Factoring in the forecast slowdown in growth, it seems obvious that United Parks & Resorts is also expected to grow slower than other industry participants.

The Bottom Line

The most important thing to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. Fortunately, the analysts also reconfirmed their revenue estimates, suggesting that it's tracking in line with expectations. Although our data does suggest that United Parks & Resorts' revenue is expected to perform worse than the wider industry. The consensus price target held steady at US$58.50, with the latest estimates not enough to have an impact on their price targets.

With that in mind, we wouldn't be too quick to come to a conclusion on United Parks & Resorts. Long-term earnings power is much more important than next year's profits. We have forecasts for United Parks & Resorts going out to 2027, and you can see them free on our platform here.

However, before you get too enthused, we've discovered 1 warning sign for United Parks & Resorts that you should be aware of.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.