RCI Hospitality Holdings (RICK – Research Report), the Consumer Cyclical sector company, was revisited by a Wall Street analyst today. Analyst Scott Buck from H.C. Wainwright maintained a Buy rating on the stock and has a $98.00 price target.
Discover the Best Stocks and Maximize Your Portfolio:
- See what stocks are receiving strong buy ratings from top-rated analysts.
- Filter, analyze, and streamline your search for investment opportunities with TipRanks’ Stock Screener.
Scott Buck has given his Buy rating due to a combination of factors that suggest RCI Hospitality Holdings is well-positioned for future growth. The company has reported slightly better-than-expected revenue for F1Q25, which, despite being below the previous year’s levels, indicates resilience and potential for recovery. The opening of new locations, particularly Bombshells Denver and a club in Detroit, along with plans for additional openings, supports the expectation of higher revenue, adjusted EBITDA, and free cash flow starting in FY26.
Moreover, RCI Hospitality Holdings plans to monetize certain real estate assets, which could improve cash flow and margins by reducing debt and share count. The company’s goal of increasing club adjusted EBITDA by $6.0 million annually further demonstrates its commitment to growth. While FY25 results may vary due to ongoing changes, the long-term outlook is optimistic, with revenue and EBITDA expected to grow significantly in FY26 due to strategic expansions. These factors contribute to Scott Buck’s decision to maintain a Buy rating with a $98 price target.