Six Flags Entertainment (FUN) is better positioned to safeguard margins as it plans to transition to a leaner business cost structure amid headwinds from underperforming non-core assets and weather variability, UBS said in a Wednesday research report.
There is room for portfolio optimization as non-core parks continue to be a drag on earnings before interest, taxes, depreciation, and amortization, reflecting execution challenges, analysts wrote.
The company is due to release Q4 results on Thursday. For 2026, the brokerage said it expects EBITDA of $887 million.
The brokerage said it reiterated its buy rating on the stock and price target of $27 per share.
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