RCI HOSPITALITY HOLDINGS INC (RICK) Stock Fundamental Analysis
USA - NASDAQ:RICK - US74934Q1085 - Common Stock
24.91 USD
+0.71 (+2.93%)
24.91 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to RICK. RICK was compared to 133 industry peers in the Hotels, Restaurants & Leisure industry. While RICK is still in line with the averages on profitability rating, there are concerns on its financial health. RICK may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
RICK had positive earnings in the past year.
In the past year RICK had a positive cash flow from operations.
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 (2.77%) which is comparable to the rest of the industry.
RICK has a Return On Equity of 6.14%. This is comparable to the rest of the industry: RICK outperforms 57.89% of its industry peers.
RICK has a Return On Invested Capital (6.89%) which is comparable to the rest of the industry.
RICK had an Average Return On Invested Capital over the past 3 years of 9.91%. This is in line with the industry average of 10.67%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.77% | ||
| ROE | 6.14% | ||
| ROIC | 6.89% |
ROA(3y)4.66%
ROA(5y)4.12%
ROE(3y)10.2%
ROE(5y)8.69%
ROIC(3y)9.91%
ROIC(5y)9.06%
1.3 Margins
With a Profit Margin value of 5.88%, RICK perfoms like the industry average, outperforming 58.65% of the companies in the same industry.
RICK's Profit Margin has declined in the last couple of years.
The Operating Margin of RICK (16.56%) is better than 72.93% of its industry peers.
In the last couple of years the Operating Margin of RICK has declined.
Looking at the Gross Margin, with a value of 57.38%, RICK is in the better half of the industry, outperforming 69.92% of the companies in the same industry.
RICK's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.56% | ||
| PM (TTM) | 5.88% | ||
| GM | 57.38% |
OM growth 3Y-10.94%
OM growth 5Y-1.88%
PM growth 3Y-59.66%
PM growth 5Y-38.1%
GM growth 3Y-0.58%
GM growth 5Y-0.36%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), RICK is creating some value.
Compared to 1 year ago, RICK has less shares outstanding
The number of shares outstanding for RICK has been reduced compared to 5 years ago.
The debt/assets ratio for RICK is higher compared to a year ago.
2.2 Solvency
RICK has an Altman-Z score of 1.61. This is a bad value and indicates that RICK is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 1.61, RICK perfoms like the industry average, outperforming 50.38% of the companies in the same industry.
The Debt to FCF ratio of RICK is 7.17, which is on the high side as it means it would take RICK, 7.17 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 7.17, RICK is doing good in the industry, outperforming 71.43% of the companies in the same industry.
RICK has a Debt/Equity ratio of 0.83. This is a neutral value indicating RICK is somewhat dependend on debt financing.
RICK has a Debt to Equity ratio of 0.83. This is in the better half of the industry: RICK outperforms 63.16% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.83 | ||
| Debt/FCF | 7.17 | ||
| Altman-Z | 1.61 |
ROIC/WACC0.83
WACC8.28%
2.3 Liquidity
A Current Ratio of 0.92 indicates that RICK may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.92, RICK is in line with its industry, outperforming 51.88% of the companies in the same industry.
A Quick Ratio of 0.83 indicates that RICK may have some problems paying its short term obligations.
RICK has a Quick ratio of 0.83. This is comparable to the rest of the industry: RICK outperforms 49.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.92 | ||
| Quick Ratio | 0.83 |
3. Growth
3.1 Past
RICK shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 40.09%, which is quite impressive.
The Earnings Per Share has been growing slightly by 4.22% on average over the past years.
Looking at the last year, RICK shows a decrease in Revenue. The Revenue has decreased by -5.34% in the last year.
Measured over the past years, RICK shows a quite strong growth in Revenue. The Revenue has been growing by 10.30% on average per year.
EPS 1Y (TTM)40.09%
EPS 3Y-11.38%
EPS 5Y4.22%
EPS Q2Q%182.14%
Revenue 1Y (TTM)-5.34%
Revenue growth 3Y14.82%
Revenue growth 5Y10.3%
Sales Q2Q%-6.6%
3.2 Future
The Earnings Per Share is expected to grow by 48.14% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 5.20% on average over the next years.
EPS Next Y56.23%
EPS Next 2Y48.14%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year1.67%
Revenue Next 2Y5.2%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last 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
Based on the Price/Earnings ratio of 7.66, the valuation of RICK can be described as very cheap.
Compared to the rest of the industry, the Price/Earnings ratio of RICK indicates a rather cheap valuation: RICK is cheaper than 96.24% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 26.10. RICK is valued rather cheaply when compared to this.
A Price/Forward Earnings ratio of 4.00 indicates a rather cheap valuation of RICK.
Based on the Price/Forward Earnings ratio, RICK is valued cheaper than 97.74% of the companies in the same industry.
RICK is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.52, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.66 | ||
| Fwd PE | 4 |
4.2 Price Multiples
83.46% of the companies in the same industry are more expensive than RICK, based on the Enterprise Value to EBITDA ratio.
RICK's Price/Free Cash Flow ratio is rather cheap when compared to the industry. RICK is cheaper than 96.99% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.45 | ||
| EV/EBITDA | 6.86 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
RICK's earnings are expected to grow with 48.14% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.14
PEG (5Y)1.82
EPS Next 2Y48.14%
EPS Next 3YN/A
5. Dividend
5.1 Amount
RICK has a Yearly Dividend Yield of 1.03%. Purely for dividend investing, there may be better candidates out there.
In the last 3 months the price of RICK has falen by -29.41%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
RICK's Dividend Yield is a higher than the industry average which is at 4.01.
Compared to an average S&P500 Dividend Yield of 2.35, RICK's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.03% |
5.2 History
On average, the dividend of RICK grows each year by 14.14%, which is quite nice.
RICK has been paying a dividend for at least 10 years, so it has a reliable track record.
As RICK did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)14.14%
Div Incr Years6
Div Non Decr Years8
5.3 Sustainability
15.00% of the earnings are spent on dividend by RICK. This is a low number and sustainable payout ratio.
RICK's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP15%
EPS Next 2Y48.14%
EPS Next 3YN/A
24.91
+0.71 (+2.93%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners49.5%
Inst Owner Change-0.09%
Ins Owners8.51%
Ins Owner Change0.32%
Market Cap217.22M
Revenue(TTM)281.74M
Net Income(TTM)16.56M
Analysts82.86
Price Target99.96 (301.28%)
Short Float %12.34%
Short Ratio5.22
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.03% |
Yearly Dividend0.25
Dividend Growth(5Y)14.14%
DP15%
Div Incr Years6
Div Non Decr Years8
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-24.89%
Min EPS beat(2)-63.63%
Max EPS beat(2)13.85%
EPS beat(4)3
Avg EPS beat(4)83.24%
Min EPS beat(4)-63.63%
Max EPS beat(4)331.9%
EPS beat(8)3
Avg EPS beat(8)16.87%
EPS beat(12)5
Avg EPS beat(12)11.69%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-6.42%
Min Revenue beat(2)-10.8%
Max Revenue beat(2)-2.04%
Revenue beat(4)0
Avg Revenue beat(4)-3.98%
Min Revenue beat(4)-10.8%
Max Revenue beat(4)-1.46%
Revenue beat(8)0
Avg Revenue beat(8)-2.9%
Revenue beat(12)1
Avg Revenue beat(12)-2.35%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.66 | ||
| Fwd PE | 4 | ||
| P/S | 0.77 | ||
| P/FCF | 6.45 | ||
| P/OCF | 4.23 | ||
| P/B | 0.81 | ||
| P/tB | 6.71 | ||
| EV/EBITDA | 6.86 |
EPS(TTM)3.25
EY13.05%
EPS(NY)6.23
Fwd EY25.02%
FCF(TTM)3.86
FCFY15.5%
OCF(TTM)5.89
OCFY23.63%
SpS32.31
BVpS30.91
TBVpS3.71
PEG (NY)0.14
PEG (5Y)1.82
Graham Number47.54
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.77% | ||
| ROE | 6.14% | ||
| ROCE | 8.51% | ||
| ROIC | 6.89% | ||
| ROICexc | 7.28% | ||
| ROICexgc | 13.4% | ||
| OM | 16.56% | ||
| PM (TTM) | 5.88% | ||
| GM | 57.38% | ||
| FCFM | 11.95% |
ROA(3y)4.66%
ROA(5y)4.12%
ROE(3y)10.2%
ROE(5y)8.69%
ROIC(3y)9.91%
ROIC(5y)9.06%
ROICexc(3y)10.52%
ROICexc(5y)9.75%
ROICexgc(3y)19.33%
ROICexgc(5y)16.95%
ROCE(3y)12.24%
ROCE(5y)11.19%
ROICexgc growth 3Y-8.64%
ROICexgc growth 5Y-1.17%
ROICexc growth 3Y-13.42%
ROICexc growth 5Y-2.02%
OM growth 3Y-10.94%
OM growth 5Y-1.88%
PM growth 3Y-59.66%
PM growth 5Y-38.1%
GM growth 3Y-0.58%
GM growth 5Y-0.36%
F-Score6
Asset Turnover0.47
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.83 | ||
| Debt/FCF | 7.17 | ||
| Debt/EBITDA | 3.61 | ||
| Cap/Depr | 117.85% | ||
| Cap/Sales | 6.27% | ||
| Interest Coverage | 2.92 | ||
| Cash Conversion | 83.26% | ||
| Profit Quality | 203.33% | ||
| Current Ratio | 0.92 | ||
| Quick Ratio | 0.83 | ||
| Altman-Z | 1.61 |
F-Score6
WACC8.28%
ROIC/WACC0.83
Cap/Depr(3y)206.68%
Cap/Depr(5y)169.79%
Cap/Sales(3y)10.35%
Cap/Sales(5y)8.46%
Profit Quality(3y)397.05%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)40.09%
EPS 3Y-11.38%
EPS 5Y4.22%
EPS Q2Q%182.14%
EPS Next Y56.23%
EPS Next 2Y48.14%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-5.34%
Revenue growth 3Y14.82%
Revenue growth 5Y10.3%
Sales Q2Q%-6.6%
Revenue Next Year1.67%
Revenue Next 2Y5.2%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-18.18%
EBIT growth 3Y2.25%
EBIT growth 5Y8.22%
EBIT Next Year236.63%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y20.19%
FCF growth 3Y3.18%
FCF growth 5Y13.7%
OCF growth 1Y-20.73%
OCF growth 3Y10%
OCF growth 5Y8.5%
RCI HOSPITALITY HOLDINGS INC / RICK FAQ
Can you provide the ChartMill fundamental rating for RCI HOSPITALITY HOLDINGS INC?
ChartMill assigns a fundamental rating of 5 / 10 to RICK.
Can you provide the valuation status for RCI HOSPITALITY HOLDINGS INC?
ChartMill assigns a valuation rating of 9 / 10 to RCI HOSPITALITY HOLDINGS INC (RICK). This can be considered as Undervalued.
What is the profitability of RICK stock?
RCI HOSPITALITY HOLDINGS INC (RICK) has a profitability rating of 4 / 10.
What are the PE and PB ratios of RCI HOSPITALITY HOLDINGS INC (RICK) stock?
The Price/Earnings (PE) ratio for RCI HOSPITALITY HOLDINGS INC (RICK) is 7.66 and the Price/Book (PB) ratio is 0.81.
What is the financial health of RCI HOSPITALITY HOLDINGS INC (RICK) stock?
The financial health rating of RCI HOSPITALITY HOLDINGS INC (RICK) is 3 / 10.