Why Cedar Fair Shares Rose 10% in May
Shares of amusement park owner Cedar Fair (NYSE: FUN) advanced around 10% in May, according to data from S&P Global Market Intelligence. Through the first five months of the year, The company's stock was still down by around 40%, but it's well off the lows it reached in mid-March when it was down around 75%. Like so many other companies, the story here is tied directly to the COVID-19 pandemic.
Master limited partnership Cedar Fair operates amusement parks where people gather in large groups and do some excited yelling and screaming as they enjoy themselves on rides. That's exactly the type of environment in which the coronavirus could easily spread. It's also an entirely nonessential thing to do, resulting in Cedar Fair properties being asked to shut down along with many other businesses. As the government sought to slow the spread of COVID-19, Cedar Fair was idle. Thus, the deep price decline in March.
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Source Fool.com
