Insider Buys $90,720 of Six Flags Stock After $3.59 Loss

Six Flags Entertainment insider Richard Haddrill bought 9,000 shares on Friday, November 6, at an average cost of $10.08 per share, for a total of $90,720.00. The purchase, disclosed in a filing with the Securities and Exchange Commission, lifted his direct holding to 239,117 shares, valued at approximately $2,410,299.36. The trade increased his ownership by 3.91 percent.

The buy landed one day after the company reported one of the worst earnings misses in its recent history. But the filing says nothing about why he bought, and insider purchases often carry meanings the disclosure never reveals.

What did the quarterly report show?

On Thursday, November 5, Six Flags posted a loss of $3.59 per share for the quarter, missing the consensus estimate of $1.93 by $5.52. A year earlier the company lost $2.20 per share on the same basis.

The top line tells a subtler story. Revenue came in at $1.17 billion, just above the $1.16 billion analysts expected, yet down 11.0 percent year over year. Return on equity stood at a positive 7.43 percent, while net margin ran at a negative 57.25 percent. Analysts as a group forecast a loss of $0.91 per share for the current fiscal year.

The takeaway: the company beat on revenue, missed catastrophically on earnings, and both signals deserve scrutiny.

How is the stock trading?

Shares of NYSE: FUN fell $0.64 in mid-day trading on Tuesday to $10.12, on volume of 4,627,306 shares against an average of 2,729,617. The 50-day simple moving average sits at $10.94; the 200-day average at $16.69. The stock has traded between a 12-month low of $6.60 and a 12-month high of $26.28.

The balance sheet carries visible strain. Six Flags reports a debt-to-equity ratio of 43.34, a current ratio of 0.42 and a quick ratio of 0.36. Market capitalization stands at $1.04 billion, with a P/E ratio of -1.11 and a beta of 0.50.

In plain words: the shares trade near their lows while short-term liabilities far exceed liquid assets.

What did the CEO say about the debt?

CEO John Reilly reportedly said the company carries more debt than it wants, with roughly $5 billion outstanding, and plans to sell additional parks to reduce the burden. The report frames both the debt level and the prospective asset sales as signs of balance-sheet pressure. No sale terms, park names or timelines appear in the statements so far.

A promise to sell parks is a plan, not a transaction; the cash arrives only when a buyer signs.

Who is buying and investigating?

A second insider also stepped in. Christopher Lawrence Bennett bought 5,000 shares for about $46,600, increasing his stake by 10.71 percent, according to an SEC filing.

On the legal front, a securities law firm announced an investigation into potential securities fraud tied to company statements about safety, maintenance and ride reliability. The announcement stressed an investigation, not a finding of wrongdoing. Still, the probe carries legal and reputational risk.

Institutional investors hold 64.65 percent of the stock, and several moved in the third quarter:

• Maryland State Retirement & Pension System raised its stake 53.4 percent, adding 7,940 shares to hold 22,804 worth $244,000.
• Jefferies Financial Group opened a new position valued at $4,884,000.
• Lido Advisors started a new stake worth about $1,022,000.
• State of Wyoming boosted its holding 27.3 percent, adding 7,194 shares to own 33,581 worth $360,000.
• Virginia Retirement Systems raised its position 138.9 percent, buying 28,200 more shares to hold 48,500 worth $519,000.

What do the analysts expect?

The research desks have turned more cautious, and the cuts cluster hard:

• Stifel Nicolaus set a $15.00 price target on Thursday.
• Citizens Jmp cut its target from $24.00 to $14.00 on October 22, keeping a "market outperform" rating.
• Citigroup lowered its objective from $13.00 to $10.00 on Monday with a "neutral" rating.
• JPMorgan reduced its target to $12.00 from $22.00 and held a neutral rating.
• Truist Financial trimmed its target from $28.00 to $22.00 on September 10 and kept a "buy" rating.
• Weiss Ratings reiterated a "sell (e+)" rating on August 12.

Six analysts rate the stock a Buy, six a Hold and two a Sell. MarketBeat.com records a consensus rating of "Hold" with an average price target of $14.85.

What is Six Flags?

Six Flags Entertainment operates amusement parks, water parks and resort properties across the United States, Canada and Mexico, including properties formerly run by both the Six Flags and Cedar Fair organizations. The company emerged from the Cedar Fair–Six Flags merger completed in 2024.

Two insiders bought within days of a $5.52 earnings miss; the filings record the purchases, not the reasoning.