Six Flags Investors: Time's Running Out to Step Up

A big merger between Six Flags and Cedar Fair happened on July 1, 2024. It was supposed to create the biggest amusement park company in North America. But things didn't go as planned. By August 6, 2025, Six Flags revealed its second quarter results. They were not good. The company made only $930 million in revenue and $243 million in adjusted EBITDA. That's way less than what experts expected. To make matters worse, their debt-to-earnings ratio shot up to 6. 2x. This forced them to think about selling off some of their parks. Because of these bad results, Six Flags had to lower its earnings forecast for 2025 by $215 million. Plus, their CEO, Richard Zimmerman, decided to step down. The company blamed the weather, but many analysts think the real issues were rising costs and not being able to get the benefits they expected from the merger.When the merger happened, Six Flags' stock was trading above $55 per share. But after the bad news, the stock price dropped to as low as $20 per share. That's a huge loss for investors. Now, there's a lawsuit against Six Flags. It claims that the company didn't tell the whole truth about its financial situation before the merger. They say Six Flags didn't invest enough in its parks and operations. This made it hard for the company to compete in the amusement park market. Investors who bought Six Flags stock because of the merger have until January 5, 2026, to join this lawsuit. If you're one of them, you might want to check it out.