PKS vs. FUN: I rest my case

You may recall a few articles about the pros and cons of buying Six Flags and Cedar Fair stock. While overall the damage today isn't all that bad, with the indexes tanking "only" in the 4 to 6% range, Six Flags has taken a beating losing 17%, down to about $12.45. Meanwhile, Cedar Fair lost only 4%, in line with the indecies, at about $19.15.

Draw whatever conclusions you want, but if I was buying today I wouldn't be comfortable with Six Flags' debt and at the same time would rather have a nice predictable dividend every three months from Cedar Fair.

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Jeff - Webmaster/Admin - CoasterBuzz.com
"From the global village... in the age of communication!"
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Someone asked me today if I was planning on bailing out my shares I own (FUN and HNZ (H.J. Heinz)).  I said no way!  These are 2 corporations that have historically shown great stability (FUN more than HNZ).  I have all the faith in the world that at least FUN will maintain a healthy index, which is where the majority of my shares are with.

People were also asking me what I was planning on doing today.  The majority of my portfolio is MSFT, which is down a bit, but not horribly so (7.2% as I type this -- Microsoft has turned into a high-stress stock anyway, so this is nothing ;) )

To be honest, I wish I were more liquid so that I could have BOUGHT today...

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--Greg
"Beat the rush, sign up for your post-Mean Streak MRI now..."
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I think that PKS's drop makes it an attractive buy.  With the season nearly over the effect that the recent bombing will have should be minimized.  Sure, places like SFMM are due to suffer, but the other parks should be fine.  I figure that by the time the next season starts, people will be ready to go to the parks.  Keep in mind that PKS deals mainly in regional parks, therefore, they should suffer less than Disney or FUN's CP.  However, six flags debt could prove to  be a heavy burden.  I think though that PKS should have little trouble refinancing the debt at a lower interest rate.  Plus the government is making signals that it may be helpful towards companies that are hurt.

SF down 17%? geeze, although it doesn't seem like much, even 1% is alot of money isn't it? Whew.
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