Six Flags Decides Not to Exercise Acquisition Option for Six Flags Over Texas
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 05 2026
0mins
Should l Buy FUN?
Six Flags announced it will not exercise its contractual call option to acquire the remaining non-controlling partner interests in Six Flags Over Texas, located in Arlington, Texas, as provided under the existing partnership agreement governing the park. Under the terms of the agreement, Six Flags was required to notify the partnership no later than December 31, 2025, regarding its intent to exercise the option, which would have resulted in a payment due in January 2028. The company has determined it is currently not in its best interest to exercise the call option. "After careful consideration of the terms of the partnership agreement and the strategic objectives of the Company, we have determined not to exercise the call option with respect to Six Flags Over Texas," said John Reilly, president and CEO of Six Flags. "This was a difficult and deliberate decision. Six Flags Over Texas is a foundational park in our system and a prized asset within our portfolio. While the contractual terms do not currently align with our capital allocation priorities, we remain deeply committed to the long-term success of the park and believe it has a bright future as part of the Six Flags portfolio." Six Flags will continue to operate and manage Six Flags Over Texas pursuant to the existing partnership agreement.
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Analyst Views on FUN
Wall Street analysts forecast FUN stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for FUN is 23.48 USD with a low forecast of 14.77 USD and a high forecast of 35.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
10 Analyst Rating
7 Buy
2 Hold
1 Sell
Moderate Buy
Current: 18.590
Low
14.77
Averages
23.48
High
35.00
Current: 18.590
Low
14.77
Averages
23.48
High
35.00
About FUN
Six Flags Entertainment Corporation is an amusement-resort operator with approximately 27 amusement parks, 15 water parks and nine resort properties across 17 states in the United States, Canada and Mexico. The Company has a portfolio of intellectual property, such as Looney Tunes, DC Comics and PEANUTS. Its parks are family-oriented, with recreational facilities for people of all ages. The Company's parks include Cedar Point Shores, Valleyfair, Dorney Park, Knott's Berry Farm Soak City, Canada's Wonderland, Kings Dominion, Schlitterbahn Waterpark and Resort New Braunfels, Schlitterbahn Waterpark Galveston, Six Flags Hurricane Harbor Oklahoma City, Six Flags Hurricane Harbor Concord, Six Flags St. Louis, Six Flags Hurricane Harbor Oaxtepec, Six Flags Great Adventure, Six Flags New England, and others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Themed Experience Enhancement: Speedway Stunt Coaster immerses guests in a vibrant setting inspired by racing and stunt action, making them feel like stars in an action-packed movie, which further enhances the brand appeal of Six Flags México.
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See More
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- Financial Risks: Netflix's acquisition approach could involve up to $60 billion in debt, and while it generates $7-8 billion in free cash flow annually, high leverage may restrict future investment flexibility and affect shareholder confidence.
- Competitive Pressure: Amid intensifying competition in the streaming industry, Netflix faces threats from platforms like YouTube; if the acquisition fails, it could weaken its market share and growth potential.
See More
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