Cedar Fair "FUN" Stock

Jeff said:

The only practical difference for regular Joes is that you can't file until you have the K-1, which has to be filed by March 15. It's not that big of a deal.

I guess we'll have to disagree there. Unless things have changed since I owned Cedar Fair partnership units, everyone needs to file non-resident returns (unless a resident) for Ohio, California, and Pennsylvania as they have no filing minimum. Do some small unit-holders not bother with the non-resident state returns? I'm sure some do. Will those states catch up with you? Possibly not. If you're a small unit holder, the amount is probably small enough that it's not worth it for them to pursue it. Looking back at my 2006 returns when I owned 600 units, my amounts owed to those three states were $7 to California, $7 to Ohio, and $2 to Pennsylvania. It would be hard to justify an auditor spending practically spending any time on amounts so small. But I tried to do it honestly.

My accountant never required that, ever, when I was a unit holder.

Nice to see the stock climbing back up. I happened to be fortunate enough to purchase 25 units back when it was down to $22 a unit. Today it closed at 37.02 which is the highest it's been since March. The Fun & Sun hotel packages helped significantly. Now that the parks can open soon, the future looks good.

I'm expecting to see a drop when the Q2 report comes out. I'm debating if I should sell while I'm up a fair bit right now and buy again once that dip happens.

In a normal world I'd expect a dip once Q2 earnings are released, but at this point everything is priced in it seems. Poor earnings had no real bearing on most stocks the last quarter. Q2 I'd expect the same. Fundamentals mean nothing anymore , it's all just speculation at this point where things will be a year from now. Not just FUN but entire market. At some point earnings will start to matter, but who knows when and how much.

FUN used to trade strictly on it's own fundamentals (looking at the history, it's price is pretty flat except for those earning releases/ previews). Now it's trading with the general market and it's own sector. Today they announced parks are opening, but the stock is down with the market and overall leisure sector.

I’ve bought a significant amount this year. I’m not too nervous about losing much. We’ll see what happens. Only time will tell.

I have been watching my cedar fair fun stock decline for months now. I has lost 50 percent of its value. This spring cedar fair wasn't able to pay their creditors and asked for relief. All new work has stopped at the cedar point and it looks like it is unmaintained. Our belief is cedar fair is preparing to file bankruptcy. This is going to destroy our city of Sandusky economy. Tomorrow I am going to advise my stock broker to unload all my cedar fair holdings. Think about it????

I've been watching my FUN stock increase for months now.

What do you mean all work has stopped and looks unmaintained? If you watch the webcams you'll see lots of action. If you haven't heard, they will be opening July 9th.

CeeJay7 said:

This spring cedar fair wasn't able to pay their creditors and asked for relief. All new work has stopped at the cedar point and it looks like it is unmaintained.

This is completely false. In fact, they took out an additional credit line, as did most every business that was qualified to do so.

I can't even pretend to know what that post was supposed to be about. I thought we got rid of the Russian trolls.

Bankruptcy? Unmaintained? Declining stock? You go ahead and sell all those units, and I'll be laughing while the value keeps rising.

Bankruptcy....... 😂😂😂😂

The company is not going bankrupt, but it's a little naive to believe that this is going to be any kind of growth period for the unit price.

I'm not concerned about the unit growth rate right now, it would be absolutely dumb to believe that the numbers will be anywhere close to what they were this time last year. Right now is the time to buy, because let's be real, the unit price will get back to where it was pre-Covid. It won't be this year, or possibly 2021, but it will rebound.

I would expect at least a couple seasons to pass before it's officially back, at least in value. There are still so many unknowns with how everything will play out with regards to the individual parks. Still lots of difficult times and decisions to be made over the next 6 - 9 months, if not more. A full financial recovery for Cedar Fair as a whole is going to be a long haul.

Ill be curious to see how many of the cap ex projects planned over the next 3-5 years get put on hold. Its hard to imagine anything major coming that hasnt already been started.

One good thing is that so much of the 150th stuff was done or nearing completion (parade floats, the boat ride, etc) that (in theory) it'll be easy to do all that next year and then 2022 and 2023 can be quiet years while folks start to come back.

But how will we ever “see” if those cap ex projects get postponed if we don’t know if they existed in the first place?

It will be pretty obvious if we are not seeing major investments in rides, accommodations, guest services and acquisitions.