RCI HOSPITALITY HOLDINGS INC (RICK)
US74934Q1085 - Common Stock
Taking everything into account, RICK scores 5 out of 10 in our fundamental rating. RICK was compared to 135 industry peers in the Hotels, Restaurants & Leisure industry. Both the profitability and the financial health of RICK get a neutral evaluation. Nothing too spectacular is happening here. A decent growth rate in combination with a cheap valuation! Better keep an eye on RICK.
1. Profitability
1.1 Basic Checks
In the past year RICK was profitable.
RICK had a positive operating cash flow in the past year.
Of the past 5 years RICK 4 years were profitable.
In the past 5 years RICK always reported a positive cash flow from operatings.
1.2 Ratios
RICK has a Return On Assets of 4.24%. This is comparable to the rest of the industry: RICK outperforms 59.70% of its industry peers.
With a decent Return On Equity value of 9.15%, RICK is doing good in the industry, outperforming 61.94% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 8.93%, RICK is in the better half of the industry, outperforming 67.91% of the companies in the same industry.
RICK had an Average Return On Invested Capital over the past 3 years of 10.91%. This is in line with the industry average of 10.07%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.24% | ||
| ROE | 9.15% | ||
| ROIC | 8.93% |
ROA(3y)7.26%
ROA(5y)5.16%
ROE(3y)15.43%
ROE(5y)10.86%
ROIC(3y)10.91%
ROIC(5y)9.02%
1.3 Margins
With a decent Profit Margin value of 8.81%, RICK is doing good in the industry, outperforming 70.15% of the companies in the same industry.
RICK's Profit Margin has declined in the last couple of years.
RICK's Operating Margin of 21.51% is amongst the best of the industry. RICK outperforms 80.60% of its industry peers.
RICK's Operating Margin has been stable in the last couple of years.
The Gross Margin of RICK (58.85%) is better than 67.16% of its industry peers.
RICK's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.51% | ||
| PM (TTM) | 8.81% | ||
| GM | 58.85% |
OM growth 3Y31.8%
OM growth 5Y0.57%
PM growth 3YN/A
PM growth 5Y-4.62%
GM growth 3Y2.27%
GM growth 5Y0.11%
2. Health
2.1 Basic Checks
RICK has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for RICK has been increased compared to 1 year ago.
Compared to 5 years ago, RICK has less shares outstanding
Compared to 1 year ago, RICK has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.14 indicates that RICK is not a great score, but indicates only limited risk for bankruptcy at the moment.
RICK's Altman-Z score of 2.14 is fine compared to the rest of the industry. RICK outperforms 62.69% of its industry peers.
The Debt to FCF ratio of RICK is 9.40, which is on the high side as it means it would take RICK, 9.40 years of fcf income to pay off all of its debts.
RICK has a Debt to FCF ratio of 9.40. This is in the better half of the industry: RICK outperforms 61.19% of its industry peers.
A Debt/Equity ratio of 0.75 indicates that RICK is somewhat dependend on debt financing.
RICK has a better Debt to Equity ratio (0.75) than 67.16% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.75 | ||
| Debt/FCF | 9.4 | ||
| Altman-Z | 2.14 |
ROIC/WACC1.02
WACC8.75%
2.3 Liquidity
A Current Ratio of 0.84 indicates that RICK may have some problems paying its short term obligations.
RICK's Current ratio of 0.84 is in line compared to the rest of the industry. RICK outperforms 43.28% of its industry peers.
RICK has a Quick Ratio of 0.84. This is a bad value and indicates that RICK is not financially healthy enough and could expect problems in meeting its short term obligations.
RICK has a Quick ratio (0.75) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.84 | ||
| Quick Ratio | 0.75 |
3. Growth
3.1 Past
The earnings per share for RICK have decreased strongly by -15.65% in the last year.
RICK shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 18.35% yearly.
Looking at the last year, RICK shows a small growth in Revenue. The Revenue has grown by 7.97% in the last year.
Measured over the past years, RICK shows a quite strong growth in Revenue. The Revenue has been growing by 12.14% on average per year.
EPS 1Y (TTM)-15.65%
EPS 3Y114%
EPS 5Y18.35%
EPS growth Q2Q-26.89%
Revenue 1Y (TTM)7.97%
Revenue growth 3Y30.46%
Revenue growth 5Y12.14%
Revenue growth Q2Q5.63%
3.2 Future
The Earnings Per Share is expected to grow by 13.88% on average over the next years. This is quite good.
The Revenue is expected to grow by 9.51% on average over the next years. This is quite good.
EPS Next Y-5.29%
EPS Next 2Y13.88%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year7.4%
Revenue Next 2Y9.51%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 11.13, the valuation of RICK can be described as very reasonable.
RICK's Price/Earnings ratio is rather cheap when compared to the industry. RICK is cheaper than 89.55% of the companies in the same industry.
When comparing the Price/Earnings ratio of RICK to the average of the S&P500 Index (28.06), we can say RICK is valued rather cheaply.
The Price/Forward Earnings ratio is 8.02, which indicates a very decent valuation of RICK.
Based on the Price/Forward Earnings ratio, RICK is valued cheaply inside the industry as 96.27% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 20.72, RICK is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.13 | ||
| Fwd PE | 8.02 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of RICK indicates a somewhat cheap valuation: RICK is cheaper than 68.66% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, RICK is valued a bit cheaper than the industry average as 68.66% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.16 | ||
| EV/EBITDA | 8.7 |
4.3 Compensation for Growth
The decent profitability rating of RICK may justify a higher PE ratio.
A more expensive valuation may be justified as RICK's earnings are expected to grow with 13.88% in the coming years.
PEG (NY)N/A
PEG (5Y)0.61
EPS Next 2Y13.88%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a yearly dividend of 0.47%, RICK is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 2.57, RICK pays a bit more dividend than its industry peers.
With a Dividend Yield of 0.47, RICK pays less dividend than the S&P500 average, which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.47% |
5.2 History
The dividend of RICK is nicely growing with an annual growth rate of 13.86%!
RICK has been paying a dividend for over 5 years, so it has already some track record.
RICK has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)13.86%
Div Incr Years5
Div Non Decr Years7
5.3 Sustainability
8.57% of the earnings are spent on dividend by RICK. This is a low number and sustainable payout ratio.
The dividend of RICK is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP8.57%
EPS Next 2Y13.88%
EPS Next 3YN/A
RCI HOSPITALITY HOLDINGS INC
NASDAQ:RICK (5/3/2024, 3:02:02 PM)
After market: 50.97 0 (0%)50.97
-0.38 (-0.74%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap477.08M
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.47% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.13 | ||
| Fwd PE | 8.02 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)0.61
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.24% | ||
| ROE | 9.15% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 21.51% | ||
| PM (TTM) | 8.81% | ||
| GM | 58.85% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.48
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.75 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.84 | ||
| Quick Ratio | 0.75 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-15.65%
EPS 3Y114%
EPS 5Y
EPS growth Q2Q
EPS Next Y-5.29%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)7.97%
Revenue growth 3Y30.46%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y