Cedar Fair, L.P. (FUN) on Q2 2021 Results - Earnings Call Transcript
Operator: Good day. Thank you for standing by. And welcome to the Cedar Fair Entertainment Company 2021 Second Quarter Earnings Conference Call. At this time, all participants are in a listen only mode. After the speakers presentation, there will be a question-and-answer session
Cedar Fair Slahsed to Neutral at Citi
Citi analysts downgraded Cedar Fair (NYSE:FUN) to Neutral from Buy and cut their price target to $41.00 from $50.00 due to disappointing visitation trends and the threat of another miss on the attendance line in Q2.
The analysts had previously believed that regional theme parks, while facing pressure from low-to-middle-income consumers due to inflation, should see a benefit as more affluent consumers would trade down and choose less expensive destination vacations. However, while the former trend seems to have played out, there have been no offsetting trade downs, resulting in underwhelming visitation trends.
Despite liking the management team, appreciating the assets, and believing in the long-term opportunity, the analysts have chosen to go to the sidelines until expectations better align with the lackluster trends expected in late spring and early summer.
