Contrasting TIX (OTCMKTS:TIXC) & RCI Hospitality (NASDAQ:RICK)

TIX (OTCMKTS:TIXC) and RCI Hospitality (NASDAQ:RICK) are both consumer discretionary companies, but which is the superior business? We will compare the two businesses based on the strength of their institutional ownership, valuation, earnings, profitability, analyst recommendations, dividends and risk.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for TIX and RCI Hospitality, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TIX	0	0	0	0	0.00
RCI Hospitality	1	0	0	0	1.00

Given TIX’s higher probable upside, equities analysts clearly believe TIX is more favorable than RCI Hospitality.

Valuation & Earnings

This table compares TIX and RCI Hospitality”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
TIX	N/A	N/A	N/A	N/A	N/A
RCI Hospitality	$279.43 million	0.67	$10.81 million	($0.38)	-63.97

RCI Hospitality has higher revenue and earnings than TIX.

Insider & Institutional Ownership

53.8% of RCI Hospitality shares are held by institutional investors. 37.5% of TIX shares are held by company insiders. Comparatively, 9.6% of RCI Hospitality shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Profitability

This table compares TIX and RCI Hospitality’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
TIX	N/A	N/A	N/A
RCI Hospitality	-3.85%	-4.24%	-1.82%

Summary

TIX beats RCI Hospitality on 5 of the 8 factors compared between the two stocks.

About TIX

Tix Corporation, through its subsidiary, operates as an entertainment company in the United States and internationally. The company provides discount ticketing and discount dinner reservations services. It offers discount tickets under short-term, exclusive, and nonexclusive agreements in Las Vegas at a discount of up to 50 percent for same day shows, concerts, attractions, and tours, as well as discount dining and shopping offers. As of March 19, 2020, the company operated nine discount ticket stores in Las Vegas under its Tix4Tonight marquee; and tix4tonight.com, an online ticket sales site. In addition, it provides online booking services for shows, concerts, tours, attractions, and other entertainment and leisure activities. The company was formerly known as Cinema Ride, Inc. and changed its name to Tix Corporation in March 2005. Tix Corporation was founded in 1993 and is headquartered in Studio City, California. On August 24, 2021, Tix Corporation, along with its affiliate, filed a voluntary petition for reorganization under Chapter 11 in the U.S. Bankruptcy Court for the District of Nevada. The plan was later approved as Chapter 11 liquidation on February 7, 2022.

About RCI Hospitality

RCI Hospitality Holdings, Inc., through its subsidiaries, engages in the hospitality and related businesses in the United States. It operates in Nightclubs, Bombshells, and Media Group segments. The company’s wholly-owned subsidiaries own and/or operates upscale adult nightclubs serving primarily businessmen and professionals under the Rick's Cabaret, Jaguars Club, Tootsie's Cabaret, XTC Cabaret, Club Onyx, Hoops Cabaret and Sports Bar, Scarlett's Cabaret, Temptations Adult Cabaret, Foxy's Cabaret, Vivid Cabaret, Downtown Cabaret, Cabaret East, The Seville, Silver City Cabaret, and Kappa Men's Club. Wholly-owned subsidiaries also operate restaurants and sports bars under the Bombshells Restaurant & Bar brand; and dance clubs under the Studio 80 brand. As of February 11, 2019, the company operated 46 units, including 39 nightclub units and 7 Bombshell units. In addition, it owns two national industry trade publications serving the adult nightclubs industry and the adult retail products industry; a national industry convention and tradeshow; and two national industry award shows, as well as approximately a dozen industry and social media Websites. The company founded in 1983 as Rick's Cabaret International, Inc., changed its name to RCI Hospitality Holdings, Inc. in August 2014, and is based in Houston, Texas.