Head to Head Survey: Avolta (OTCMKTS:DUFRY) and RCI Hospitality (NASDAQ:RICK)

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

Valuation and Earnings

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Avolta	$16.60 billion	0.50	$240.19 million	N/A	N/A
RCI Hospitality	$279.43 million	0.69	$10.81 million	($0.78)	-32.14

Avolta has higher revenue and earnings than RCI Hospitality.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Avolta	N/A	N/A	N/A
RCI Hospitality	-2.31%	-2.61%	-1.10%

Institutional & Insider Ownership

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

Analyst Ratings

This is a summary of current recommendations and price targets for Avolta and RCI Hospitality, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Avolta	0	1	0	1	3.00
RCI Hospitality	1	0	0	0	1.00

Volatility and Risk

Avolta has a beta of 0.97, suggesting that its share price is 3% less volatile than the S&P 500. Comparatively, RCI Hospitality has a beta of 0.76, suggesting that its share price is 24% less volatile than the S&P 500.

Summary

Avolta beats RCI Hospitality on 8 of the 11 factors compared between the two stocks.

About Avolta

Avolta AG operates as a travel retailer. The company’s retail brands include general travel retail shops under the Dufry, World Duty Free, Nuance, Hellenic Duty Free, Zurich Duty-Free or Stockholm Duty-Free, Autogrill, and HMSHost brands; Dufry shopping stores; brand boutiques; convenience stores primarily under the Hudson brand; and specialized shops and theme stores. It offers perfumes and cosmetics, food and confectionery, wines and spirits, watches and jewelry, fashion and leather, tobacco goods, souvenirs, electronics, soft drinks, packaged food, travel accessories, personal items, sunglasses, destination, and other products, as well as newspapers, magazines, and books. It operates duty-free and duty-paid shops located at airports, border, downtown and hotel shops, railway stations and other, cruise liners and ferries, seaports, and motorways in Europe, the Middle East, Africa, North America, Latin America, and the Asia Pacific. The company was formerly known as Dufry AG and changed its name to Avolta AG in November 2023. Avolta AG was incorporated in 1865 and is headquartered in Basel, Switzerland.

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.