2024-06-16 21:23:39 ET
Summary
- RCI Hospitality's short-term growth outlook has weakened with a continued bad Bombshells performance and weaker same-store sales in nightclubs.
- The company's continued aggressive location development and acquisitions, and initiated Bombshells improvements still reflect great mid-term revenue and earnings growth potential.
- The weaker stock price reflects short-term weakness, but as the long-term growth story stands nearly as strong, the valuation has become attractive.
RCI Hospitality Holdings ( RICK ), the nightclub and restaurant operator, has reported the company’s Q2 results after my previous article on the stock, and shared other recent company developments related to club and restaurant expansion. The growth has come in at a weak level, especially as Bombshells continues to underperform, but RCI Hospitality's mid-term growth outlook still stands strong with aggressive new location development....
Read the full article on Seeking Alpha
For further details see:
RCI Hospitality: Short-Term Weakness, Mid-Term Opportunity (Rating Upgrade)