SIX FLAGS ENTERTAINMENT CORP (SIX) Stock Fundamental Analysis
NYSE:SIX - New York Stock Exchange, Inc. - US83001A1025 - Common Stock - Currency: USD
SIX gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 131 industry peers in the Hotels, Restaurants & Leisure industry. There are concerns on the financial health of SIX while its profitability can be described as average. SIX is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
SIX had positive earnings in the past year.
SIX had a positive operating cash flow in the past year.
SIX had positive earnings in 4 of the past 5 years.
SIX had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
SIX's Return On Assets of 0.96% is on the low side compared to the rest of the industry. SIX is outperformed by 63.43% of its industry peers.
SIX has a Return On Invested Capital of 10.89%. This is in the better half of the industry: SIX outperforms 75.37% of its industry peers.
The Average Return On Invested Capital over the past 3 years for SIX is below the industry average of 15.79%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.96% | ||
| ROE | N/A | ||
| ROIC | 10.89% |
ROA(3y)3.3%
ROA(5y)0.17%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)12.21%
ROIC(5y)N/A
1.3 Margins
With a Profit Margin value of 1.85%, SIX is not doing good in the industry: 60.45% of the companies in the same industry are doing better.
SIX's Profit Margin has declined in the last couple of years.
The Operating Margin of SIX (22.27%) is better than 83.58% of its industry peers.
SIX's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 92.11%, SIX belongs to the top of the industry, outperforming 99.25% of the companies in the same industry.
In the last couple of years the Gross Margin of SIX has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.27% | ||
| PM (TTM) | 1.85% | ||
| GM | 92.11% |
OM growth 3YN/A
OM growth 5Y-8.4%
PM growth 3YN/A
PM growth 5Y-32.03%
GM growth 3Y0.67%
GM growth 5Y0.13%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), SIX is creating some value.
SIX has more shares outstanding than it did 1 year ago.
SIX has about the same amout of shares outstanding than it did 5 years ago.
The debt/assets ratio for SIX has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.09, we must say that SIX is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of SIX (0.09) is worse than 82.09% of its industry peers.
SIX has a debt to FCF ratio of 24.22. This is a negative value and a sign of low solvency as SIX would need 24.22 years to pay back of all of its debts.
SIX has a Debt to FCF ratio of 24.22. This is comparable to the rest of the industry: SIX outperforms 47.76% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 24.22 | ||
| Altman-Z | 0.09 |
ROIC/WACC1.3
WACC8.37%
2.3 Liquidity
SIX has a Current Ratio of 0.36. This is a bad value and indicates that SIX is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of SIX (0.36) is worse than 88.06% of its industry peers.
A Quick Ratio of 0.31 indicates that SIX may have some problems paying its short term obligations.
With a Quick ratio value of 0.31, SIX is not doing good in the industry: 87.31% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.36 | ||
| Quick Ratio | 0.31 |
3. Growth
3.1 Past
SIX shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -74.19%.
SIX shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -32.11% yearly.
SIX shows a small growth in Revenue. In the last year, the Revenue has grown by 4.02%.
SIX shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -0.52% yearly.
EPS 1Y (TTM)-74.19%
EPS 3YN/A
EPS 5Y-32.11%
EPS Q2Q%-16.67%
Revenue 1Y (TTM)4.02%
Revenue growth 3Y58.72%
Revenue growth 5Y-0.52%
Sales Q2Q%-6.26%
3.2 Future
SIX is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 72.37% yearly.
Based on estimates for the next years, SIX will show a small growth in Revenue. The Revenue will grow by 4.27% on average per year.
EPS Next Y238.28%
EPS Next 2Y111.18%
EPS Next 3Y72.37%
EPS Next 5YN/A
Revenue Next Year3.46%
Revenue Next 2Y4.24%
Revenue Next 3Y4.27%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 100.00 indicates a quite expensive valuation of SIX.
Compared to the rest of the industry, the Price/Earnings ratio of SIX indicates a slightly more expensive valuation: SIX is more expensive than 65.67% of the companies listed in the same industry.
SIX is valuated expensively when we compare the Price/Earnings ratio to 26.82, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 15.60, which indicates a correct valuation of SIX.
SIX's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. SIX is cheaper than 62.69% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 36.21. SIX is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 100 | ||
| Fwd PE | 15.6 |
4.2 Price Multiples
SIX's Enterprise Value to EBITDA ratio is in line with the industry average.
The rest of the industry has a similar Price/Free Cash Flow ratio as SIX.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 27.03 | ||
| EV/EBITDA | 11.19 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
SIX's earnings are expected to grow with 72.37% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.42
PEG (5Y)N/A
EPS Next 2Y111.18%
EPS Next 3Y72.37%
5. Dividend
5.1 Amount
SIX has a Yearly Dividend Yield of 4.78%, which is a nice return.
Compared to an average industry Dividend Yield of 3.72, SIX pays a better dividend. On top of this SIX pays more dividend than 92.54% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.39, SIX pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.78% |
5.2 History
The dividend of SIX decreases each year by -74.91%.
SIX has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-74.91%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DP0%
EPS Next 2Y111.18%
EPS Next 3Y72.37%
32
-1.14 (-3.44%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners7.49%
Inst Owner Change0%
Ins Owners7.22%
Ins Owner Change0%
Market Cap2.70B
Analysts80
Price Target29.84 (-6.75%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.78% |
Yearly Dividend0
Dividend Growth(5Y)-74.91%
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-102.64%
Min EPS beat(2)-198.72%
Max EPS beat(2)-6.56%
EPS beat(4)0
Avg EPS beat(4)-71.03%
Min EPS beat(4)-198.72%
Max EPS beat(4)-6.56%
EPS beat(8)1
Avg EPS beat(8)-44.22%
EPS beat(12)5
Avg EPS beat(12)66.32%
EPS beat(16)6
Avg EPS beat(16)44.02%
Revenue beat(2)0
Avg Revenue beat(2)-3%
Min Revenue beat(2)-3.38%
Max Revenue beat(2)-2.62%
Revenue beat(4)0
Avg Revenue beat(4)-2.59%
Min Revenue beat(4)-4.3%
Max Revenue beat(4)-0.04%
Revenue beat(8)1
Avg Revenue beat(8)-3.91%
Revenue beat(12)5
Avg Revenue beat(12)3.57%
Revenue beat(16)7
Avg Revenue beat(16)3.82%
PT rev (1m)-0.51%
PT rev (3m)-1.18%
EPS NQ rev (1m)13.88%
EPS NQ rev (3m)-10.11%
EPS NY rev (1m)0%
EPS NY rev (3m)-13.4%
Revenue NQ rev (1m)3.07%
Revenue NQ rev (3m)-1.8%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.64%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 100 | ||
| Fwd PE | 15.6 | ||
| P/S | 1.9 | ||
| P/FCF | 27.03 | ||
| P/OCF | 9.52 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.19 |
EPS(TTM)0.32
EY1%
EPS(NY)2.05
Fwd EY6.41%
FCF(TTM)1.18
FCFY3.7%
OCF(TTM)3.36
OCFY10.51%
SpS16.82
BVpS-11.61
TBVpS-23.52
PEG (NY)0.42
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.96% | ||
| ROE | N/A | ||
| ROCE | 15.53% | ||
| ROIC | 10.89% | ||
| ROICexc | 11.19% | ||
| ROICexgc | 20.56% | ||
| OM | 22.27% | ||
| PM (TTM) | 1.85% | ||
| GM | 92.11% | ||
| FCFM | 7.04% |
ROA(3y)3.3%
ROA(5y)0.17%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)12.21%
ROIC(5y)N/A
ROICexc(3y)13.14%
ROICexc(5y)N/A
ROICexgc(3y)24.05%
ROICexgc(5y)N/A
ROCE(3y)16.29%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y-10.16%
ROICexc growth 3YN/A
ROICexc growth 5Y-9.53%
OM growth 3YN/A
OM growth 5Y-8.4%
PM growth 3YN/A
PM growth 5Y-32.03%
GM growth 3Y0.67%
GM growth 5Y0.13%
F-Score7
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 24.22 | ||
| Debt/EBITDA | 5.47 | ||
| Cap/Depr | 158.92% | ||
| Cap/Sales | 12.95% | ||
| Interest Coverage | 2.16 | ||
| Cash Conversion | 65.72% | ||
| Profit Quality | 381.11% | ||
| Current Ratio | 0.36 | ||
| Quick Ratio | 0.31 | ||
| Altman-Z | 0.09 |
F-Score7
WACC8.37%
ROIC/WACC1.3
Cap/Depr(3y)118.44%
Cap/Depr(5y)112.2%
Cap/Sales(3y)9.59%
Cap/Sales(5y)13.35%
Profit Quality(3y)174.67%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-74.19%
EPS 3YN/A
EPS 5Y-32.11%
EPS Q2Q%-16.67%
EPS Next Y238.28%
EPS Next 2Y111.18%
EPS Next 3Y72.37%
EPS Next 5YN/A
Revenue 1Y (TTM)4.02%
Revenue growth 3Y58.72%
Revenue growth 5Y-0.52%
Sales Q2Q%-6.26%
Revenue Next Year3.46%
Revenue Next 2Y4.24%
Revenue Next 3Y4.27%
Revenue Next 5YN/A
EBIT growth 1Y-17%
EBIT growth 3YN/A
EBIT growth 5Y-8.87%
EBIT Next Year40.07%
EBIT Next 3Y17.74%
EBIT Next 5YN/A
FCF growth 1Y-56.4%
FCF growth 3YN/A
FCF growth 5Y-20.95%
OCF growth 1Y-21.22%
OCF growth 3YN/A
OCF growth 5Y-9.02%