Last week, at Six Flags Kentucky Kingdom, a teenage girl suffered an injury while enjoying the Superman Tower of Power ride. Evidently, a cable snapped and caused the injury.
It didn’t take long for the stock to pullback on the news. Friday, Six Flags (Symbol: SIX) closed down 3.84% to $6.26. It had been as low as $6.22 on the day and trading volume was more than double its three-month average (4,336,400).
According to an AP article, Six Flags Kentucky Kingdom looked as normal as ever on Friday. There appeared to be little concern for the accident just one day prior.
“The accident didn’t appear to slow business Friday at Six Flags Kentucky Kingdom. A stream of cars and foot traffic poured into the amusement park on a warm, breezy summer day.” – AP “Rides Shut After Ky. Six Flags Accident”
Having read various message boards, I was taken aback by all the talk that this incident would close the park and spell the end for Six Flags. While the ride did close down, the park didn’t and Six Flags realizes most of its park revenue from other locations—Texas being the big market.
Stock Buying Opportunity?
If you were thinking of getting into Six Flag, now might be a good time. I’d watch the market on Monday to see where this stock goes, but at some point, the stock will rebound.
The stock’s slide was halted as support came in when it hit below the $6.25 mark.
It’s possible that we’ll see more volatility in the stock as other news outlets latch onto this story. This will definitely be a stock to watch this week.
My name is Jason A. Martin. I'm an investor/trader and financial writer. This is my blog. I also run a site dedicated to currency trading at CapitalistNation.com. If you'd like to follow me on twitter, here's the link: Jason A. Martin If you need financial content (articles, newsletters, eBooks, etc) for your site, publication and/or business, go to FinancialWriter.org (my service) for more details.
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My name is Jason A. Martin and this is my investment blog. Back in Jr. High School I fell in love with an electrical wiring company's stock on Wall Street. After following the stock daily in the papers—the Internet wasn't around back then—I sent them a letter and they sent me back all sorts of wonderful information about their company.
In High School, we had a stock market contest. All the kids were picking companies that made stuff they consumed. When I announced my beloved company, I was laughed at. Little did they know that my company was going to be the subject of a takeover soon.
Long story short, I won the contest and have made money in the stock market, through real estate investing, currency trading and so forth.
I hope you enjoy Financial Rebel. If you do, please leave your comments and share this site with those you know. I also run a currency trading blog over at CapitalistNation.com.
Jason
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