Motley Fool: And Now An Aside About Cedar Fair

[The Interpreter]

http://www.fool.com/investing/high-growth/...eter-lynch.aspx

[Browntggrr]

Back on February 7th, Munarriz wrote this:

Regional amusement-park operator Cedar Fair (NYSE: FUN) closed 2007 much like its beleaguered Geauga Lake attraction: battered, cheaper, and longing for a new identity.

and this:

I don't see why it's still hiking its payouts at this stage in the company's life cycle, even if those meaty yields made the stock initially irresistible to Motley Fool Income Investor subscribers. Cedar Fair's units have fallen precipitously over the past year, despite the stability of beefy quarterly disbursements. The 8.6% current yield will hardly help the company run any better, especially with the $1.8 billion in debt it's lugging around.

Cedar Fair has been a shrewd operator in the past, making the most of its leverage, but there comes a point when those distributions would be better off paying down debt or concocting ways to get the turnstiles clicking again.

Watch your back, Cedar Fair, or someone will dismantle your dry rides, strip you of your legacy, and make a water park out of you, too.

Now just over a week later he says this:

Cedar Fair may be out of favor at the moment, but a chunky yield is rewarding my patience. The company has also been acquiring smaller parks and upgrading their fiscal performance to Cedar Fair standards. I have a healthier vision than the rest of the market regarding the future earnings potential of successful regional amusement parks. I'll just bide my time, enjoy the coasters, and ride them both out.

This guy really needs to make a decision and quit playing both sides of the fence. How he can claim that CF needs to watch their backs and a week later claim that he has a healthier vision than the rest, so he'll bide his time with the stock.

Sorry but that is just plain ignorant.

[The Interpreter]

I see nothing inconsistent in his comments. He both enjoys the high yield, and like he says, fears someone will buy out the company due to the debt and the way it is NOW being managed. Not everything in this world is black or white, right or wrong, or easy. It has often been said that some with simplistic world views see complexity as inconsistency.

[WooferBearATL]

Not sure what I'm missing but I don't see a lot of value in the Motley Fool articles.

Seems to be a lot of speculation and just a few facts sprinkled in.

I would think that you could get as least as much valuable information from web boards such as this.

[The Interpreter]

It is best to get one's information from many, many sources, and to weigh what is and is not credible. And when it comes to investments, you gathers your information and you takes your chances. That's reality.

[Browntggrr]

I see nothing inconsistent in his comments.

If warning CF to watch their backs as well as questioning why they are paying out a high yield instead of paying down thier debt and then a week later proclaim that that same high yield is rewarding his patience due to his healthier vision is not inconsistant, I must have no idea what inconsistent really means.

http://dictionary.reference.com/search?r=2...;q=inconsistent

inconsistent

adjective

1. displaying a lack of consistency; "inconsistent statements cannot both be true at the same time"; "inconsistent with the roadmap"

Sure, when it comes down to the market, things may not be black and white. But this guy is printing things that are polar opposites. How can he possibly be happy with the payout, but not agree with it? How can he claim CF will be bought out, but then claim to have patience due to his healthier vision and in the end still keep his money exactly where it has been?

This is the reason that I mentioned Munarriz is letting his personal feelings of what happened to GL get in the way of what he is trying to accomplish.

[The Interpreter]

Perhaps he is waiting for the opportunity to sell his units to the acquirer who may well appear soon....stranger things have happened.