NYSE:SIX

Stock Analysis Report

Executive Summary

Six Flags Entertainment Corporation owns and operates regional theme and water parks under the Six Flags name.

Snowflake

Fundamentals

Acceptable track record and slightly overvalued.


Similar Companies

Share Price & News

How has Six Flags Entertainment's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

0.8%

SIX

0.5%

US Hospitality

0.07%

US Market


1 Year Return

-3.9%

SIX

8.5%

US Hospitality

8.9%

US Market

Return vs Industry: SIX underperformed the US Hospitality industry which returned 8.5% over the past year.

Return vs Market: SIX underperformed the US Market which returned 8.9% over the past year.


Shareholder returns

SIXIndustryMarket
7 Day0.8%0.5%0.07%
30 Day-1.5%-2.6%-0.3%
90 Day0.8%-5.9%-1.6%
1 Year1.7%-3.9%11.2%8.5%11.3%8.9%
3 Year10.2%-4.9%43.6%34.1%46.3%36.8%
5 Year61.8%27.3%39.5%24.2%62.1%44.3%

Price Volatility Vs. Market

How volatile is Six Flags Entertainment's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Six Flags Entertainment undervalued compared to its fair value and its price relative to the market?

15.73x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: SIX ($51.23) is trading above our estimate of fair value ($49.71)

Significantly Below Fair Value: SIX is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: SIX is good value based on its PE Ratio (15.7x) compared to the Hospitality industry average (22x).

PE vs Market: SIX is good value based on its PE Ratio (15.7x) compared to the US market (17.8x).


Price to Earnings Growth Ratio

PEG Ratio: SIX is poor value based on its PEG Ratio (2.2x)


Price to Book Ratio

PB vs Industry: SIX has negative assets, so we can't compare its PB Ratio to the US Hospitality industry average.


Next Steps

Future Growth

How is Six Flags Entertainment forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?

7.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SIX's forecast earnings growth (7% per year) is above the savings rate (2.7%).

Earnings vs Market: SIX's earnings (7% per year) are forecast to grow slower than the US market (14.5% per year).

High Growth Earnings: SIX's earnings are forecast to grow, but not significantly.

Revenue vs Market: SIX's revenue (3.7% per year) is forecast to grow slower than the US market (7.2% per year).

High Growth Revenue: SIX's revenue (3.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if SIX's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Six Flags Entertainment performed over the past 5 years?

24.7%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: SIX's earnings have grown significantly by 24.7% per year over the past 5 years.

Accelerating Growth: SIX's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: SIX had negative earnings growth (-5.9%) over the past year, making it difficult to compare to the Hospitality industry average (-14.8%).


Return on Equity

High ROE: SIX's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.


Return on Assets

ROA vs Industry: SIX has a higher Return on Assets than the Hospitality industry average last year.


Return on Capital Employed

ROCE Improving: SIX has significantly improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is Six Flags Entertainment's financial position?


Financial Position Analysis

Short Term Liabilities: SIX has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: SIX has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.


Debt to Equity History and Analysis

Debt Level: SIX has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: SIX's has negative shareholder equity, so we do not need to check if its debt has reduced over time.

Debt Coverage: SIX's debt is not well covered by operating cash flow (17.7%).

Interest Coverage: SIX's interest payments on its debt are well covered by EBIT (4.8x coverage).


Balance Sheet

Inventory Level: SIX has a high level of physical assets or inventory.

Debt Coverage by Assets: SIX has negative shareholder equity (liabilities exceed assets) therefore debt is not covered by short term assets.


Next Steps

Dividend

What is Six Flags Entertainment's current dividend yield, its reliability and sustainability?

6.40%

Current Dividend Yield


Dividend Yield vs Market

company6.4%marketbottom25%1.4%markettop25%3.7%industryaverage2.9%forecastin3Years6.7%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: SIX's dividend (6.4%) is higher than the bottom 25% of dividend payers in the US market (1.45%).

High Dividend: SIX's dividend (6.4%) is in the top 25% of dividend payers in the US market (3.68%)

Stable Dividend: SIX has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: SIX's dividend payments have increased, but the company has only paid a dividend for 9 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (99.5%), SIX's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: SIX's dividends in 3 years are not forecast to be well covered by earnings (101.2% payout ratio).


Next Steps

Management

What is the CEO of Six Flags Entertainment's salary, the management and board of directors tenure and is there insider trading?

2.8yrs

Average management tenure


CEO

Jim Reid-Anderson (59yo)

2.3yrs

Tenure

US$7,360,672

Compensation

Mr. James W .P. Reid-Anderson, also known as Jim, has been Chief Executive Officer and President of Six Flags Entertainment Corporation since July 18, 2017 and its Chairman since July 2017. Mr. Reid-Anders ...


CEO Compensation Analysis

Compensation vs. Market: Jim has recently become CEO, making it difficult to compare their total compensation against companies of similar size in the US market.

Compensation vs Earnings: Jim's compensation has been consistent with company performance over the past year.


Management Age and Tenure

2.8yrs

Average Tenure

55yo

Average Age

Experienced Management: SIX's management team is considered experienced (2.8 years average tenure).


Board Age and Tenure

9.3yrs

Average Tenure

59yo

Average Age

Experienced Board: SIX's board of directors are considered experienced (9.3 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUS$741,82714 Mar 19
Kurt Cellar
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares15,000
Max PriceUS$49.47
BuyUS$253,83012 Mar 19
Usman Nabi
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares5,000
Max PriceUS$50.77
SellUS$100,701,10614 Feb 19
H Partners Management, LLC
EntityCompany
Shares1,627,837
Max PriceUS$63.76

Ownership Breakdown


Management Team

  • Jim Reid-Anderson (59yo)

    Chairman

    • Tenure: 2.3yrs
    • Compensation: US$7.36m
  • Lance Balk (61yo)

    Executive VP & General Counsel

    • Tenure: 9.1yrs
    • Compensation: US$1.30m
  • Tom Iven (60yo)

    Senior Vice President of U.S. Park Operations

    • Tenure: 18.8yrs
    • Compensation: US$261.66k
  • Marshall Barber (55yo)

    Executive VP & CFO

    • Tenure: 3.7yrs
    • Compensation: US$1.23m
  • Brett Petit (55yo)

    Senior Vice President of Marketing & Sales

    • Tenure: 9.3yrs
    • Compensation: US$1.04m
  • Mario Centola (48yo)

    Vice President of International Operations & Business Development

    • Tenure: 1.3yrs
  • Steve Purtell (52yo)

    Senior Vice President of Investor Relations & Treasurer

    • Tenure: 0yrs
  • Kathy Aslin (43yo)

    Senior Vice President of Human Resources

    • Tenure: 2.8yrs
    • Compensation: US$717.68k
  • David Austin (57yo)

    Senior VP of Information Systems & Chief Information Officer

    • Tenure: 1.8yrs
  • Wilson Brooks (32yo)

    VP & Chief Accounting Officer

    • Tenure: 1.3yrs

Board Members

  • Jim Reid-Anderson (59yo)

    Chairman

    • Tenure: 2.3yrs
    • Compensation: US$7.36m
  • Rich Roedel (70yo)

    Independent Director

    • Tenure: 8.8yrs
    • Compensation: US$249.93k
  • Nancy Krejsa (60yo)

    Director

    • Tenure: 2.6yrs
    • Compensation: US$229.97k
  • Kurt Cellar (49yo)

    Independent Director

    • Tenure: 9.4yrs
    • Compensation: US$262.47k
  • Jon Luther (75yo)

    Lead Independent Director

    • Tenure: 0yrs
    • Compensation: US$271.59k
  • Usman Nabi (44yo)

    Independent Director

    • Tenure: 9.4yrs
    • Compensation: US$223.30k
  • Steve Owens (48yo)

    Independent Director

    • Tenure: 9.4yrs
    • Compensation: US$262.47k

Company Information

Six Flags Entertainment Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Six Flags Entertainment Corporation
  • Ticker: SIX
  • Exchange: NYSE
  • Founded: 1961
  • Industry: Leisure Facilities
  • Sector: Consumer Services
  • Market Cap: US$4.322b
  • Shares outstanding: 84.36m
  • Website: https://www.sixflags.com

Number of Employees


Location

  • Six Flags Entertainment Corporation
  • 924 Avenue J East
  • Grand Prairie
  • Texas
  • 75050
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SIXNYSE (New York Stock Exchange)YesCommon StockUSUSDMay 2010
6FEDB (Deutsche Boerse AG)YesCommon StockDEEURMay 2010

Biography

Six Flags Entertainment Corporation owns and operates regional theme and water parks under the Six Flags name. The company’s parks offer various thrill rides, water attractions, themed areas, concerts and  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/23 00:08
End of Day Share Price2019/10/22 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.