Distribution hike on the way

Article Excerpt

CEDAR FAIR L.P. $33 (New York symbol FUN; Income Portfolio, Consumer sector; Units outstanding: 55.5 million; Market cap: $1.8 billion; Price-to-sales ratio: 1.7; Dividend yield: 4.8%; TSINetwork Rating: Average; www.cedarfair.com) reported revenue of $881 million from the beginning of the year through the Labour Day holiday weekend. That’s up 4.8%, from the same period in 2011. New rides and attractions are helping Cedar Fair draw more visitors to its 11 amusement parks and seven water parks. Overall attendance rose 1%, while average spending per guest gained 4%. The partnership still plans to raise its annual distribution rate from $1.60 a unit (4.8% yield) in 2012 to $2.00 (6.1% yield) in 2013. Cedar Fair is a buy. buy…