📊 FUN Key Takeaways
Is Six Flags Entertainment Corporation/NEW (FUN) a Good Investment?
Six Flags is experiencing severe financial distress with a net loss of $1.6B on $3.1B revenue, indicating fundamental operational challenges beyond normal cyclicality. The company is burning through cash with negative free cash flow of $152.2M despite positive operating cash flow, while carrying a dangerously high debt-to-equity ratio of 9.40x with only $91.1M in cash reserves. The negative operating margin of -44.4% and inability to achieve profitability despite revenue growth suggests structural issues that pose an existential threat to the business.
Revenue growth of 14.4% is outweighed by extremely weak earnings quality, with a -44.4% operating margin, -51.6% net margin, and a large net loss of $1.60B. Financial health is stretched by very high leverage at 9.40x debt-to-equity, weak liquidity below 1.0x, and negative free cash flow, leaving little cushion if operating performance does not improve materially. The core fundamental profile points to a highly leveraged business with poor profitability and elevated balance-sheet risk.
Why Buy Six Flags Entertainment Corporation/NEW Stock? FUN Key Strengths
- Revenue growth of 14.4% YoY demonstrates ongoing customer demand for the entertainment offering
- Positive operating cash flow of $327.5M indicates the core business generates some cash before financing and investment obligations
- 16 insider Form 4 filings suggest ongoing management activity and potential insider confidence
- Revenue grew 14.4% year over year, indicating underlying demand and scale expansion
- Operating cash flow remained positive at $327.47M despite reported net losses
- Large asset base of $7.80B provides operating scale and franchise value
FUN Stock Risks: Six Flags Entertainment Corporation/NEW Investment Risks
- Catastrophic profitability with $1.6B net loss and -51.6% net margin indicating the business is destroying shareholder value at scale
- Extreme leverage with $5.2B long-term debt against only $549.8M equity and $91.1M cash, creating severe solvency risk and limited financial flexibility
- Negative free cash flow of -$152.2M despite revenue growth shows capital expenditure needs ($479.7M) exceed operating cash generation, unsustainable without refinancing
- Current ratio of 0.69x and quick ratio of 0.59x indicate acute liquidity crisis with liabilities exceeding current assets
- Operating margin of -44.4% suggests fundamental operational unprofitability that persists despite strong revenue recovery
- Profitability is severely negative, with operating income of -$1.38B and net margin of -51.6%
- Balance sheet risk is high due to $5.17B of long-term debt and 9.40x debt-to-equity
- Liquidity is weak, with a 0.69x current ratio, 0.59x quick ratio, and negative free cash flow of -$152.20M
Key Metrics to Watch
- Operating margin trajectory and path to operational profitability
- Free cash flow and sustainability of capital expenditure relative to operating cash generation
- Debt refinancing success and interest coverage ratio as debt matures
- Liquidity position and covenant compliance on debt facilities
- Net income trend and ability to achieve cash-basis profitability
- Operating margin and net loss improvement
- Free cash flow generation relative to debt load
Six Flags Entertainment Corporation/NEW (FUN) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The current ratio below 1.0x warrants monitoring of short-term liquidity.
FUN Profit Margin, ROE & Profitability Analysis
FUN vs Services Sector: How Six Flags Entertainment Corporation/NEW Compares
How Six Flags Entertainment Corporation/NEW compares to Services sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Six Flags Entertainment Corporation/NEW Stock Overvalued? FUN Valuation Analysis 2026
Based on fundamental analysis, Six Flags Entertainment Corporation/NEW shows some fundamental concerns relative to the Services sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Six Flags Entertainment Corporation/NEW Balance Sheet: FUN Debt, Cash & Liquidity
FUN Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Six Flags Entertainment Corporation/NEW's revenue has grown significantly by 14% over the 5-year period, indicating strong business expansion. The most recent EPS of $2.42 reflects profitable operations.
FUN Revenue Growth, EPS Growth & YoY Performance
FUN Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $1.3B | $33.1M | $0.49 |
| Q2 2025 | $571.6M | $55.6M | $-0.99 |
| Q1 2025 | $101.6M | -$133.5M | $-2.20 |
| Q3 2024 | $842.0M | $33.1M | $0.49 |
| Q2 2024 | $501.0M | $53.6M | N/A |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Six Flags Entertainment Corporation/NEW Dividends, Buybacks & Capital Allocation
FUN SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Six Flags Entertainment Corporation/NEW (CIK: 0001999001)
📋 Recent SEC Filings
❓ Frequently Asked Questions about FUN
What is the AI rating for FUN?
Six Flags Entertainment Corporation/NEW (FUN) has a Combined AI Rating of STRONG SELL from Claude (STRONG SELL) and ChatGPT (STRONG SELL) with 92% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are FUN's key strengths?
Claude: Revenue growth of 14.4% YoY demonstrates ongoing customer demand for the entertainment offering. Positive operating cash flow of $327.5M indicates the core business generates some cash before financing and investment obligations. ChatGPT: Revenue grew 14.4% year over year, indicating underlying demand and scale expansion. Operating cash flow remained positive at $327.47M despite reported net losses.
What are the risks of investing in FUN?
Claude: Catastrophic profitability with $1.6B net loss and -51.6% net margin indicating the business is destroying shareholder value at scale. Extreme leverage with $5.2B long-term debt against only $549.8M equity and $91.1M cash, creating severe solvency risk and limited financial flexibility. ChatGPT: Profitability is severely negative, with operating income of -$1.38B and net margin of -51.6%. Balance sheet risk is high due to $5.17B of long-term debt and 9.40x debt-to-equity.
What is FUN's revenue and growth?
Six Flags Entertainment Corporation/NEW reported revenue of $3.1B.
Does FUN pay dividends?
Six Flags Entertainment Corporation/NEW does not currently pay dividends.
Where can I find FUN SEC filings?
Official SEC filings for Six Flags Entertainment Corporation/NEW (CIK: 0001999001) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is FUN's EPS?
Six Flags Entertainment Corporation/NEW has a diluted EPS of $-15.89.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is FUN a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Six Flags Entertainment Corporation/NEW has a STRONG SELL rating with 92% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is FUN stock overvalued or undervalued?
Valuation metrics for FUN: ROE of -290.9% (sector avg: 16%), net margin of -51.6% (sector avg: 10%). Compare these metrics with sector averages to assess valuation.
Should I buy FUN stock in 2026?
Our dual AI analysis gives Six Flags Entertainment Corporation/NEW a combined STRONG SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is FUN's free cash flow?
Six Flags Entertainment Corporation/NEW's operating cash flow is $327.5M, with capital expenditures of $479.7M. FCF margin is -4.9%.
How does FUN compare to other Services stocks?
Vs Services sector averages: Net margin -51.6% (avg: 10%), ROE -290.9% (avg: 16%), current ratio 0.69 (avg: 1.5).
Is Six Flags Entertainment Corporation/NEW carrying too much debt?
FUN has a debt-to-equity ratio of 9.40x, which is above the Services sector average of 0.7x. Combined with a current ratio below 1, this warrants careful monitoring of the balance sheet.