Investing.com – Shares of Six Flags Entertainment took a wild ride lower Wednesday after the amusement park operator’s second-quarter earnings fell short of expectations.
Six Flags reported earnings of $0.94 per share for the quarter, down from $0.88 per share a year earlier, missing estimates compiled by Investing.com for earnings of $0.99 a share. Revenue of $477.2 million beat estimates of $469.9 million.
Shares of Six Flags (NYSE:SIX) tumbled more than 6%.
The uptick in revenue, driven by increased attendance, sponsorship and international agreements, was offset by two months of additional expenses for the five parks the company added in June last year.
Total guest spending per head slid 1% as admissions per head fell 2%, while in-park guest spending gained 1%.
Some on Wall Street, however, continue to back the company.
“With more up-selling to higher-priced memberships, we see continued traction in the Active Pass membership (up 25% year-on-year),” CFRA, an independent research firm, said in a note to clients. CFRA maintained its hold rating and $56 price target.
Six Flags is down about 10.7% so far this year.