📊 RICK Key Takeaways
Is Rci Hospitality Holdings, Inc.. (RICK) a Good Investment?
RCI Hospitality faces significant financial headwinds with negative profitability (-3.6% net margin), declining revenue (-5.5% YoY), and concerning leverage (1.09x debt/equity ratio) that limits financial flexibility. While the company generates positive free cash flow ($13.5M) and shows improving loss trends (EPS improved 272.7% YoY), these gains are offset by weak liquidity (0.55x current ratio), inadequate interest coverage (1.8x), and operational distress warranting caution.
RCI generates solid cash flow and maintains a double-digit operating margin despite a modest revenue decline, resulting in a healthy 12.5% FCF margin. However, weak liquidity (current ratio 0.81x) and moderate leverage (D/E 0.91x, 3.7x interest coverage) limit financial flexibility and keep returns subdued. Stabilizing revenue and sustaining FCF would be needed to improve the fundamental outlook.
Rci Hospitality Holdings, Inc.. Key Strengths (RICK)
- Positive free cash flow generation ($13.5M) despite net losses demonstrates operational cash generation
- Significant improvement in losses YoY (EPS improved 272.7%) indicating trajectory toward profitability
- Reasonable gross margin (18.4%) and operating margin (10.6%) show underlying unit economics remain viable
- Consistent operating profitability (10.8% margin)
- Strong free cash flow and 12.5% FCF margin
- Adequate interest coverage and sizable equity base
RICK Stock Risks: Rci Hospitality Holdings, Inc.. Investment Risks
- Negative net income (-$5.1M) and net margin (-3.6%) indicate current unprofitability and value destruction
- High leverage (1.09x debt/equity, $250.9M long-term debt) relative to equity base creates financial fragility
- Weak liquidity position (0.55x current ratio) and inadequate interest coverage (1.8x) limit ability to weather downturns
- Declining revenue (-5.5% YoY) suggests challenging operating environment and demand weakness
- Revenue contraction (-5.5% YoY)
- Tight liquidity (current and quick ratios <1)
- Leverage and interest burden could pressure earnings
Key Metrics to Watch
- Path to net profitability and positive net margin - critical to validate loss improvement trajectory
- Debt reduction progress and debt/equity ratio trending - essential to address leverage concerns
- Revenue stabilization and organic growth indicators - need to confirm bottom has formed
- Same-store/revenue growth trend
- Free cash flow margin and conversion
Rci Hospitality Holdings, Inc.. (RICK) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The current ratio below 1.0x warrants monitoring of short-term liquidity.
RICK Profit Margin, ROE & Profitability Analysis
RICK vs Consumer Sector: How Rci Hospitality Holdings, Inc.. Compares
How Rci Hospitality Holdings, Inc.. compares to Consumer sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Rci Hospitality Holdings, Inc.. Stock Overvalued? RICK Valuation Analysis 2026
Based on fundamental analysis, Rci Hospitality Holdings, Inc.. shows some fundamental concerns relative to the Consumer sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Rci Hospitality Holdings, Inc.. Balance Sheet: RICK Debt, Cash & Liquidity
RICK Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Rci Hospitality Holdings, Inc..'s revenue has grown significantly by 51% over the 5-year period, indicating strong business expansion. The most recent EPS of $1.11 reflects profitable operations.
RICK Revenue Growth, EPS Growth & YoY Performance
RICK Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q2 2026 | $65.9M | -$326.0K | $-0.04 |
| Q1 2026 | $70.8M | -$4.7M | $-0.57 |
| Q3 2025 | $71.1M | $2.8M | $0.30 |
| Q2 2025 | $65.9M | $774.0K | $0.08 |
| Q1 2025 | $71.5M | $7.2M | $0.77 |
| Q3 2024 | $76.2M | $2.8M | $0.30 |
| Q2 2024 | $71.5M | $774.0K | $0.08 |
| Q1 2024 | $70.0M | $7.2M | $0.77 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Rci Hospitality Holdings, Inc.. Dividends, Buybacks & Capital Allocation
RICK SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Rci Hospitality Holdings, Inc.. (CIK: 0000935419)
📋 Recent SEC Filings
❓ Frequently Asked Questions about RICK
What is the AI rating for RICK?
Rci Hospitality Holdings, Inc.. (RICK) has a Combined AI Grade of C from Claude (C) and ChatGPT (B) with 68% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are RICK's key strengths?
Claude: Positive free cash flow generation ($13.5M) despite net losses demonstrates operational cash generation. Significant improvement in losses YoY (EPS improved 272.7%) indicating trajectory toward profitability. ChatGPT: Consistent operating profitability (10.8% margin). Strong free cash flow and 12.5% FCF margin.
What are the risks of investing in RICK?
Claude: Negative net income (-$5.1M) and net margin (-3.6%) indicate current unprofitability and value destruction. High leverage (1.09x debt/equity, $250.9M long-term debt) relative to equity base creates financial fragility. ChatGPT: Revenue contraction (-5.5% YoY). Tight liquidity (current and quick ratios <1).
What is RICK's revenue and growth?
Rci Hospitality Holdings, Inc.. reported revenue of $139.6M.
Does RICK pay dividends?
Rci Hospitality Holdings, Inc.. pays dividends, with $1.2M distributed to shareholders in the trailing twelve months.
Where can I find RICK SEC filings?
Official SEC filings for Rci Hospitality Holdings, Inc.. (CIK: 0000935419) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is RICK's EPS?
Rci Hospitality Holdings, Inc.. has a diluted EPS of $-0.63.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.
What is RICK's fundamental grade?
Based on our AI fundamental analysis in June 2026, Rci Hospitality Holdings, Inc.. has a C grade with 68% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is RICK stock overvalued or undervalued?
Valuation metrics for RICK: ROE of -2.2% (sector avg: 18%), net margin of -3.6% (sector avg: 8%). Compare these metrics with sector averages to assess valuation.
What is RICK's AI grade for 2026?
Our dual AI analysis gives Rci Hospitality Holdings, Inc.. a combined C grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is RICK's free cash flow?
Rci Hospitality Holdings, Inc..'s operating cash flow is $17.7M, with capital expenditures of $4.2M. FCF margin is 9.7%.
How does RICK compare to other Consumer stocks?
Vs Consumer sector averages: Net margin -3.6% (avg: 8%), ROE -2.2% (avg: 18%), current ratio 0.55 (avg: 1.5).