United Parks & Resorts price target lowered to $70 from $75 at Macquarie

Macquarie lowered the firm’s price target on United Parks & Resorts to $70 from $75 and keeps an Outperform rating on the shares. The firm says outdoor theme parks are vulnerable to recent weather as 40% of United Parks and Resorts’ portfolio is in Hurricane-impacted Florida and 20% of Six Flags’ is in California and Arizona, which have seen heat waves. The analyst reduced Six Flags and United Parks estimates on the weather volatility. Weather volatility is becoming more structural, so Macquarie reduced medium-term estimates for the two regional theme park names, the analyst contends. However, the long-term thesis on both stocks remains intact, the analyst tells investors in a research note.