Professional
Added to YB: 2024-04-22
Pitch date: 2024-04-18
RICK [bullish]
RCI Hospitality Holdings, Inc.
-45.21%
current return
Author Info
Ace River Capital is a concentrated, long-term fund focused on asymmetric risk/reward opportunities. Sign up for the newsletter.
Company Info
RCI Hospitality Holdings, Inc., through its subsidiaries, engages in the hospitality and related businesses in the United States.
Market Cap
$209.5M
Pitch Price
$49.28
Price Target
N/A
Dividend
1.17%
EV/EBITDA
5.25
P/E
12.91
EV/Sales
1.61
Sector
Hotels, Restaurants and Leisure
Category
growth
Ace River Capital Portfolio Holding: RCI Hospitality Holdings, Inc.
RICK: Top US adult nightclub owner (56 clubs, 13 states) + 13 Bombshells sports bars. Local monopolies w/ great unit economics. Upside: CO casino construction, more club M&A, Bombshells spinoff potential, 'admireMe' site. Recent weakness in Bombshells comps & stalled M&A due to valuation gap. CEO cutting Bombshells costs & in talks for club deal. High rates & macro keeping investors sidelined near-term, but buybacks, gaming licenses, Bombshells/admireMe progress could drive future gains. Thesis intact even w/o strong Bombshells.
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