Six Flags Entertainment (NYSE:FUN) & H.I.S. (OTCMKTS:HISJF) Financial Review

H.I.S. (OTCMKTS:HISJF) and Six Flags Entertainment (NYSE:FUN) are both small-cap consumer discretionary companies, but which is the superior investment? We will compare the two businesses based on the strength of their valuation, analyst recommendations, profitability, institutional ownership, risk, dividends and earnings.

Insider & Institutional Ownership

64.7% of Six Flags Entertainment shares are held by institutional investors. 1.8% of Six Flags Entertainment shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Profitability

This table compares H.I.S. and Six Flags Entertainment’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
H.I.S.	N/A	N/A	N/A
Six Flags Entertainment	-14.92%	-1.00%	-0.22%

Risk and Volatility

H.I.S. has a beta of -0.13, indicating that its share price is 113% less volatile than the S&P 500. Comparatively, Six Flags Entertainment has a beta of 0.69, indicating that its share price is 31% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for H.I.S. and Six Flags Entertainment, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
H.I.S.	0	0	0	0	0.00
Six Flags Entertainment	2	5	8	0	2.40

Six Flags Entertainment has a consensus price target of $28.57, suggesting a potential upside of 113.22%. Given Six Flags Entertainment’s stronger consensus rating and higher probable upside, analysts plainly believe Six Flags Entertainment is more favorable than H.I.S..

Earnings and Valuation

This table compares H.I.S. and Six Flags Entertainment”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
H.I.S.	$2.30 billion	0.43	$58.40 million	N/A	N/A
Six Flags Entertainment	$3.14 billion	0.43	-$231.16 million	($17.72)	-0.76

H.I.S. has higher earnings, but lower revenue than Six Flags Entertainment.

Summary

Six Flags Entertainment beats H.I.S. on 8 of the 12 factors compared between the two stocks.

About H.I.S.

H.I.S. Co., Ltd. provides travel agency services worldwide. The company offers sports related tours, such as ski and diving tours; casual to luxury cruises; escort accompanied tours, honeymoons, and onboard weddings; and local tour services in Australia, Thailand, Bali Island, Guam, and South Korea. It also operates hotels and theme parks; an online platform for various travel services; and bus tours connecting Tokyo and the surrounding area to Kansai and Nagoya. In addition, the company offers advertising services; and domestic and overseas travel insurance products. Further, it operates Hapi-robo st, a robot; offers various types of construction works; provides hotel amenities, guest room facilities, and furniture and electronic appliances for offices and houses; sets and manages events; coordinates with Japan medical tourism; and offers direct sales support services. Additionally, the company provides a range of diploma and certificate programs in business, international trade, hospitality, information technology, and health care; and communication equipment and services. Furthermore, it operates Smrt English, an English learning platform; and GREEN OCEAN, a job placement agency that focus on agriculture and accommodation business. The company was formerly known as International Tours Co., Ltd. and changed its name to H.I.S. Co., Ltd. in 1990. H.I.S. Co., Ltd. was incorporated in 1980 and is headquartered in Tokyo, Japan.

About Six Flags Entertainment

Cedar Fair, L.P. owns and operates amusement and water parks, as well as complementary resort facilities. Its amusement parks include Cedar Point located on Lake Erie between Cleveland and Toledo in Sandusky, Ohio; Knott's Berry Farm near Los Angeles, California; Canada's Wonderland near Toronto, Ontario; Kings Island near Cincinnati, Ohio; Carowinds in Charlotte, North Carolina; Kings Dominion situated near Richmond, Virginia; California's Great America located in Santa Clara, California; Dorney Park in Pennsylvania; Worlds of Fun located in Kansas City, Missouri; Valleyfair situated near Minneapolis/St. Paul, Minnesota; Michigan's Adventure situated near Muskegon, Michigan; Schlitterbahn Waterpark & Resort New Braunfels in New Braunfels, Texas; and Schlitterbahn Waterpark Galveston in Galveston, Texas. The company also owns and operates the Castaway Bay Indoor Waterpark Resort, Hotel Breakers, Cedar Point's Express Hotel, and Sawmill Creek Resort. Cedar Fair, L.P. was founded in 1983 and is based in Sandusky, Ohio.