TPI Composites files for Chapter 11 bankruptcy, plans delisting from Nasdaq
Investing.com - Mizuho raised its price target on United Parks & Resorts (NYSE:PRKS) to $46.00 from $44.00 on Wednesday, while maintaining an Underperform rating on the stock.
The price target adjustment came after United Parks & Resorts reported EBITDA of $206.3 million, falling short of Mizuho’s expectation of $226 million and the Street consensus of $218 million. The company’s attendance increased by 0.8%, which Mizuho noted was within their expected range of -2% to +2% based on intra-quarter data.
Cost performance was cited as a primary concern, with cash operating costs rising 2.5% while revenue declined 1.5%. Mizuho highlighted that when accounting for a $5 million easy comparison versus the prior year and $3 million of expenses pulled forward into Q1 2025, the adjusted cost increase was closer to 6% on an apples-to-apples basis. InvestingPro analysis reveals that short-term obligations currently exceed liquid assets, adding weight to these cost concerns.
Mizuho emphasized that this cost growth dynamic is "important, and overlooked by the market," noting that costs have now grown faster than revenue in four of the last five quarters.
The firm’s Underperform thesis on United Parks & Resorts centers on what it describes as a "mature cost-cutting story," suggesting limited additional efficiency opportunities for the company.
In other recent news, United Parks & Resorts reported its second-quarter 2025 earnings, which fell short of analysts’ expectations. The company posted an earnings per share (EPS) of $1.45, missing the projected $1.84, representing a surprise of -21.2%. Revenue also came in lower than expected at $490.2 million, compared to the anticipated $502.7 million. Additionally, Stifel has lowered its price target for United Parks & Resorts to $63.00 from $65.00 while maintaining a Buy rating, citing weather impacts and a calendar shift affecting attendance figures. Despite these challenges, attendance exceeded subdued expectations. Goldman Sachs also reduced its price target to $50.00 from $53.00, maintaining a Neutral rating due to ongoing industry pressures. The firm noted that the impact from Epic Universe on attendance was less severe than anticipated. These developments highlight the challenges faced by United Parks & Resorts in the current market environment.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.