Cedar Fair stock dips to five-year low

SANDUSKY On Friday, Cedar Fair Entertainment Co. stock closed at $21.08 a share -- the lowest i
Janet
May 24, 2010

SANDUSKY

On Friday, Cedar Fair Entertainment Co. stock closed at $21.08 a share -- the lowest it's been since Cedar Fair closed at $20.30 in 2002, according to Yahoo! Finance.

Cedar Fair spokeswoman Stacy Frole said reasons behind the low price can be viewed differently by stockholders, and the amount does not include the company's dividend statements.

"It all depends on investment philosophy," she said. Frole said Cedar Fair's low stock in 2006 was $24.12 and $25.66 in 2005.

Although stock prices have reached a five-year low, the quarterly dividend Cedar Fair pays to stockholders has slightly increased each year.

In January 2005, the company paid a dividend of 45 cents per share. according to Yahoo! Finance. The company increased it to 46 cents per share later that year and into January 2006. In November, the company paid a dividend of 47.5 cents per share.

Cedar Fair went public in 1987. On Nov. 5 of that year, the price per share was $3.04, according to Yahoo! Finance.

"We're a long-term investment," Frole said.

She declined to give further details about the reasons for the low stock prices.

Earlier this summer, Cedar Fair made national headlines after the New York Post reported the company was involved in a possible $4.1 billion deal with Destiny Capital Solutions -- a Nevada-based investment firm. Cedar Fair officials denied any involvement with the firm.

In September, Cedar Fair chairman, president and chief executive officer Dick Kinzel bought10,000 shares of Cedar Fair common stock. According to a Securities and Exchange Commission filing, Kinzel bought the shares for $24.42 apiece. Following that transaction, Kinzel owned nearly 585,000 shares of the company's stock.

A few days after Kinzel purchased the stock, Cedar Fair announced it was shutting down the amusement park side of Geauga Lake & Wildwater Kingdom because of the park's low attendance.

In October, Cedar Fair announced it would sell its Great America amusement park to the city of Santa Clara or the San Francisco 49ers if the residents of that community believe the property would be better used as a new NFL stadium.

On Monday, Cedar Fair stock closed at $21.28, according to Yahoo! Finance