United Parks & Resorts (PRKS) AI Stock Analysis

• Market Cap: $2.82B
• Dividend Yield: N/A
• Average Volume (3M): 1.09M
• Price to Earnings (P/E): 13.5
• Beta (1Y): 0.88
• Revenue Growth: -1.43%
• EPS Growth: -2.50%
• Country: US
• Employees: 3,300
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Leisure
• EPS (TTM): 1.45
• Shares Outstanding: 55,024,612
• 10 Day Avg. Volume: 900,242
• 30 Day Avg. Volume: 1,092,361
• PEG Ratio: 3.36
• Price to Book (P/B): -7.25
• Price to Sales (P/S): 1.94
• P/FCF Ratio: 14.44
• Enterprise Value/Market Cap: 1.69
• Enterprise Value/Revenue: 2.80
• Enterprise Value/Gross Profit: 3.03
• Enterprise Value/Ebitda: 7.94
• 1Y Price Target: $56.33
• Price Target Upside: 8.91% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 10

• Rating: 64 Neutral
• Price Target: $55.00 ▲(6.34% Upside)

United Parks & Resorts' stock score is primarily influenced by its strong cash flow management and reasonable valuation. However, financial performance is hindered by high leverage and declining revenue growth. Technical indicators suggest a potential for upward movement, while the earnings call highlights both strategic initiatives and financial challenges. Addressing debt levels and enhancing growth strategies are crucial for improving the stock's outlook.

Positive Factors

Cash Flow Management

Strong cash flow management indicates the company's ability to generate cash effectively, supporting operational needs and strategic investments, which is crucial for long-term sustainability.

Digital Transformation

The successful digital transformation, evidenced by increased app usage, enhances customer engagement and operational efficiency, potentially boosting revenue through higher transaction values.

Forward Booking Trends

Strong forward booking trends suggest robust demand and revenue visibility, providing a stable foundation for future growth and financial planning.

Negative Factors

High Leverage

High leverage poses financial risks, potentially limiting the company's ability to invest in growth opportunities and increasing vulnerability to economic downturns.

Revenue Decline

A decline in revenue indicates challenges in maintaining sales growth, which could impact profitability and the ability to fund future expansions or innovations.

Cost Management Challenges

Ineffective cost management can erode profit margins and reduce financial flexibility, hindering the company's ability to respond to market changes and invest in strategic initiatives.

United Parks & Resorts Business Overview & Revenue Model

Company Description

United Parks & Resorts Inc., together with its subsidiaries, operates as a theme park and entertainment company in the United States. It operates SeaWorld theme parks in Orlando, Florida; San Antonio, Texas; and San Diego, California, as well as Busch Gardens theme parks in Tampa, Florida, and Williamsburg, Virginia. The company also operates water park attractions in Orlando, Florida; San Antonio, Texas; San Diego, California; Chula Vista, California; Tampa, Florida; and Williamsburg, Virginia. In addition, it operates a reservations-only theme park in Orlando, Florida and a park in Langhorne, Pennsylvania. The company operates a portfolio of twelve theme parks under the SeaWorld, Busch Gardens, Aquatica, Discovery Cove, Water Country USA, Adventure Island, and Sesame Place brands. The company was formerly known as SeaWorld Entertainment, Inc. and changed its name to United Parks & Resorts Inc. in February 2024. SeaWorld Entertainment, Inc. was founded in 1959 and is headquartered in Orlando, Florida.

How the Company Makes Money

United Parks & Resorts generates revenue through multiple streams including ticket sales for park admissions, seasonal passes, and group sales. Additional revenue comes from food and beverage sales, merchandise retail, and accommodations at their resorts. The company also partners with local businesses and tourism boards to drive traffic to their parks, while leveraging sponsorships and advertising agreements within their facilities. Special events and seasonal attractions, such as holiday celebrations and concerts, further contribute to their earnings, enhancing the overall guest experience and attracting a broader audience.

United Parks & Resorts Financial Statement Overview

Summary

United Parks & Resorts shows strong operational performance with efficient cost management, but faces challenges with a highly leveraged balance sheet and negative equity, indicating financial distress. Cash flow generation remains solid, though the decrease in free cash flow highlights potential pressures.

Income Statement

United Parks & Resorts shows moderately stable revenue with a slight decline in the TTM period. Gross profit margin is robust at 78.9%, indicating efficient cost management. However, net profit margin dropped to 13.0% in TTM, reflecting potential cost pressures or inefficiencies impacting profitability. The EBIT and EBITDA margins demonstrate consistent operational efficiency.

Balance Sheet

The balance sheet reveals high leverage with a negative stockholders' equity, indicating financial distress. The debt-to-equity ratio cannot be calculated due to negative equity, and the equity ratio is negative, underscoring significant liabilities compared to assets. These factors highlight financial risk and potential instability.

Cash Flow

Cash flow from operations remains strong, maintaining a healthy ratio to net income, suggesting good cash conversion. However, free cash flow has declined in the TTM period, reducing financial flexibility. The company's capability to manage its capital investments efficiently is evident despite the drop.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.71B	1.73B	1.73B	1.73B	1.50B	431.78M
Gross Profit	1.58B	1.59B	868.93M	1.60B	1.39B	395.07M
EBITDA	601.05M	622.73M	613.98M	660.19M	521.65M	-88.89M
Net Income	211.55M	227.50M	234.20M	291.19M	256.51M	-312.32M
Balance Sheet
Total Assets	2.73B	2.57B	2.63B	2.33B	2.61B	2.57B
Cash, Cash Equivalents and Short-Term Investments	193.92M	115.89M	246.92M	79.20M	443.71M	433.91M
Total Debt	2.36B	2.36B	2.22B	2.23B	2.24B	2.32B
Total Liabilities	3.13B	3.04B	2.83B	2.76B	2.64B	2.67B
Stockholders Equity	-394.85M	-461.54M	-208.22M	-437.66M	-33.92M	-105.80M
Cash Flow
Free Cash Flow	250.30M	231.71M	200.08M	363.88M	374.16M	-229.90M
Operating Cash Flow	442.38M	480.14M	504.92M	564.59M	503.01M	-120.73M
Investing Cash Flow	-192.08M	-248.50M	-305.61M	-200.71M	-128.85M	-109.17M
Financing Cash Flow	-288.43M	-362.66M	-34.71M	-726.05M	-364.90M	624.20M

United Parks & Resorts Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 51.72
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PRKS, the sentiment is Positive. The current price of 51.72 is below the 20-day moving average (MA) of 51.79, above the 50-day MA of 50.87, and above the 200-day MA of 49.41, indicating a neutral trend. The MACD of 0.03 indicates Positive momentum. The RSI at 52.17 is Neutral, neither overbought nor oversold. The STOCH value of 38.13 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PRKS.

United Parks & Resorts Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
OSW	69 Neutral	2.23B	31.74	12.98%	0.74%	8.51%	31.24%
LTH	64 Neutral	6.16B	27.40	7.90%	―	17.25%	93.88%
PRKS	64 Neutral	$2.82B	13.47	-52.57%	―	-1.43%	-2.50%
MODG	51 Neutral	1.74B	-1.16	-60.04%	―	-2.35%	-7104.57%
LUCK	51 Neutral	1.41B	-60.16	5.85%	2.18%	4.05%	77.32%
XPOF	44 Neutral	382.18M	-4.47	54.02%	―	-3.02%	-517.53%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%

United Parks & Resorts Corporate Events

United Parks & Resorts Approves $500M Share Buyback

On September 3, 2025, United Parks & Resorts Inc. held a Special Meeting of Stockholders to approve a $500 million share repurchase program. The proposal was approved by a majority of disinterested stockholders, allowing the company to buy back shares without exceeding a 70% ownership threshold by Hill Path Capital LP. This move is seen as a strategic opportunity to invest in the company’s own shares, leveraging its strong balance sheet and significant free cash flow to return capital to stockholders. The share repurchase program is flexible, with no time limit and can be executed through various means, reflecting the company’s confidence in its market positioning and financial health.

United Parks & Resorts Appoints New Chief Accounting Officer

On August 13, 2025, United Parks & Resorts Inc. announced the appointment of Kevin Connelly as the new Chief Accounting Officer, effective August 18, 2025. Connelly brings extensive experience from his previous roles in finance and accounting, having served in senior positions at various companies, including Appreciation Homes, LLC and Capview Partners, LLC. This leadership change follows the stepping down of William Myers from the role on August 13, 2025, who will remain with the company until the end of the month to ensure a smooth transition. Connelly’s compensation package includes a base salary, bonus opportunities, and stock options, aligning with the company’s incentive plans.

United Parks & Resorts HR Chief Resigns

On July 16, 2025, Michael Rady, Chief Human Resources Officer of United Parks & Resorts Inc., announced his resignation, effective August 1, 2025. This change in leadership may impact the company’s human resources strategies and operations moving forward.

United Parks & Resorts Approves Key Proposals at Annual Meeting

On June 13, 2025, United Parks & Resorts Inc. held its Annual Meeting of Stockholders, where a quorum was present. During the meeting, several proposals were voted on, including the election of directors, ratification of KPMG LLP as the independent registered public accounting firm, approval of executive compensation, and the 2025 Omnibus Incentive Plan. All proposals were approved, including the election of directors to serve until the 2026 Annual Meeting and the approval of the director compensation limit in the incentive plan.