Six Flags Entertainment CorpFind Ratings Reports
SIX FLAGS ENTERTAINMENT CORP's gross profit margin for the first quarter of its fiscal year 2017 has significantly decreased when compared to the same period a year ago. Sales and net income have dropped, although the growth in revenues underperformed the average competitor within the industry, the net income growth did not. SIX FLAGS ENTERTAINMENT CORP has very weak liquidity. Currently, the Quick Ratio is 0.23 which clearly shows a lack of ability to cover short-term cash needs. The company's liquidity has increased from the same period last year.
At the same time, stockholders' equity ("net worth") has significantly decreased by 152.55% from the same quarter last year. The key liquidity measurements indicate that the company is in a position in which financial difficulties could develop in the near future.
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|Income Statement||Q1 FY17||Q1 FY16|
|Net Sales ($mil)||99.53||115.42|
|Net Income ($mil)||-57.55||-46.94|
|Balance Sheet||Q1 FY17||Q1 FY16|
|Cash & Equiv. ($mil)||35.09||22.59|
|Total Assets ($mil)||2429.38||2393.36|
|Total Debt ($mil)||1714.46||1576.53|
|Profitability||Q1 FY17||Q1 FY16|
|Gross Profit Margin||-0.17||9.68|
|Return on Assets||4.43||7.44|
|Return on Equity||0.0||0.0|
|Debt||Q1 FY17||Q1 FY16|
|Share Data||Q1 FY17||Q1 FY16|
|Shares outstanding (mil)||91.26||93.25|
|Div / share||0.64||0.58|
|Book value / share||-2.03||-0.78|
|Institutional Own %||n/a||n/a|
|Avg Daily Volume||949569.0||692736.0|
HOLD. SIX FLAGS ENTERTAINMENT CORP's P/E ratio indicates a significant premium compared to an average of 37.44 for the Hotels, Restaurants & Leisure industry and a significant premium compared to the S&P 500 average of 24.41. Normally, for additional comaprison, we would look at the price-to-book ratio; however, this company's price-to-book ratio is negative making the value useless for comparisons. The price-to-sales ratio is well above both the S&P 500 average and the industry average, indicating a premium. Upon assessment of these and other key valuation criteria, SIX FLAGS ENTERTAINMENT CORP seems to be trading at a premium to investment alternatives within the industry.
|SIX 53.22||Peers 37.44||SIX 11.91||Peers 19.39|
Premium. A higher P/E ratio than its peers can signify a more expensive stock or higher growth expectations.
SIX is trading at a significant premium to its peers.
Discount. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures.
SIX is trading at a significant discount to its peers.
|SIX 24.84||Peers 25.06||SIX 0.83||Peers 3.01|
Premium. A higher price-to-projected earnings ratio than its peers can signify a more expensive stock or higher future growth expectations.
SIX is trading at a premium to its peers.
Discount. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples.
SIX trades at a significant discount to its peers.
|SIX NM||Peers 10.74||SIX -38.47||Peers 114.10|
Neutral. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet.
SIX's P/B is negative making this valuation measure meaningless.
Lower. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios.
However, SIX is expected to significantly trail its peers on the basis of its earnings growth rate.
|SIX 4.17||Peers 3.43||SIX 0.71||Peers 4.03|
Premium. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales.
SIX is trading at a premium to its industry on this measurement.
Lower. A sales growth rate that trails the industry implies that a company is losing market share.
SIX significantly trails its peers on the basis of sales growth