RCI Hospitality Holdings, Inc. (RICK)

Over the past six months, RCI Hospitality Holdings, Inc. (RICK) stock has experienced a significant decline. In September 2025, the Attorney General of New York announced the indictment of five RCI executives in a bribery scheme. The company has been undergoing a strategic repositioning, including the divestiture of underperforming locations and targeted acquisitions. RCI Hospitality has been actively repurchasing shares. RCI announced its 40th consecutive quarterly cash dividend in December 2025. In December 2025, RCI filed a non-timely notice for its annual report and reported preliminary selected unaudited results for Q4 2025 and FY25. In January 2026, the company reported Q1 2026 club and restaurant sales, noting that total Nightclubs sales held steady year-over-year, while Bombshells sales decreased due to divestitures, despite contributions from new locations.

Specific detailed information on the demand seasonality for RCI Hospitality Holdings, Inc.'s products and services is not extensively detailed. Broader economic conditions and consumer confidence can impact demand. Adverse weather conditions can lead to a temporary decrease in demand. Demand could fluctuate based on holidays and major sporting events. The company's ongoing strategic repositioning makes it challenging to isolate pure demand seasonality from the effects of these operational changes.

RCI Hospitality Holdings, Inc. (RICK) is an owner and operator in the hospitality and entertainment industry, focusing on live adult entertainment and dining experiences. The company operates through Nightclubs and Bombshells segments. Its sector is Consumer Discretionary, and its industry is Restaurants. The company operates upscale adult nightclubs under various brands, generating revenue from alcoholic beverages, food, merchandise, cover charges, dance fees, and room rentals. It also owns military-themed sports bars and restaurants under the Bombshells Restaurant & Bar brand. Additionally, RCI owns a national industry convention and tradeshow, trade publications, award shows, and industry websites, and holds a license to sell Robust Energy Drink in the United States.

RCI Hospitality Holdings, Inc. operates primarily in the United States. Its clubs and restaurants are located in key metropolitan areas across various states, including New York City, Chicago, Dallas-Fort Worth, Houston, Miami, Minneapolis, Texas, Florida, Arizona, North Carolina, South Carolina, Minnesota, Pennsylvania, Illinois, Colorado, Indiana, Kentucky, Louisiana, and Michigan. The Bombshells chain specifically has locations in Texas and Colorado.

RCI Hospitality Holdings has historically received positive recognition within its industry. However, in the past year, the company's brand reputation has been significantly impacted by the indictment of several of its executives in September 2025. The allegations of a bribery scheme involving a state auditor to reduce sales tax payments have cast a negative light on the company's leadership and ethical practices.

The ownership structure of RCI Hospitality Holdings (RICK) stock is a mix of institutional, retail, and individual investors. Approximately 38.41% to 52.06% of the company's stock is owned by institutional investors. Insiders own approximately 8.23% to 49.35% of the company's stock. Public companies and individual investors (retail) own approximately 53.36% of the stock.