WallStSmart

RCI Hospitality Holdings Inc (RICK)vsStarbucks Corporation (SBUX)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Starbucks Corporation generates 13392% more annual revenue ($37.70B vs $279.43M). RICK leads profitability with a 3.9% profit margin vs 3.6%. RICK appears more attractively valued with a PEG of 0.71. RICK earns a higher WallStSmart Score of 58/100 (C).

RICK

Buy

58

out of 100

Grade: C

Growth: 5.3Profit: 5.0Value: 10.0Quality: 6.0
Piotroski: 5/9Altman Z: 1.66

SBUX

Hold

39

out of 100

Grade: F

Growth: 4.0Profit: 5.0Value: 4.7Quality: 4.3
Piotroski: 2/9Altman Z: 1.07
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

RICKUndervalued (+59.4%)

Margin of Safety

+59.4%

Fair Value

$57.56

Current Price

$24.04

$33.52 discount

UndervaluedFair: $57.56Overvalued
SBUXSignificantly Overvalued (-1135.9%)

Margin of Safety

-1135.9%

Fair Value

$8.02

Current Price

$92.70

$84.68 premium

UndervaluedFair: $8.02Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

RICK2 strengths · Avg: 9.0/10
Price/BookValuation
0.8x10/10

Reasonable price relative to book value

PEG RatioValuation
0.718/10

Growing faster than its price suggests

SBUX2 strengths · Avg: 8.5/10
Market CapQuality
$104.79B9/10

Large-cap with strong market position

Free Cash FlowQuality
$1.27B8/10

Generating 1.3B in free cash flow

Areas to Watch

RICK4 concerns · Avg: 3.5/10
EPS GrowthGrowth
3.5%4/10

3.5% earnings growth

Altman Z-ScoreHealth
1.664/10

Distress zone — elevated risk

Market CapQuality
$203.10M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
4.1%3/10

ROE of 4.1% — below average capital efficiency

SBUX4 concerns · Avg: 3.3/10
PEG RatioValuation
1.534/10

Expensive relative to growth rate

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

Profit MarginProfitability
3.6%3/10

3.6% margin — thin

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : RICK

The strongest argument for RICK centers on Price/Book, PEG Ratio. PEG of 0.71 suggests the stock is reasonably priced for its growth.

Bull Case : SBUX

The strongest argument for SBUX centers on Market Cap, Free Cash Flow.

Bear Case : RICK

The primary concerns for RICK are EPS Growth, Altman Z-Score, Market Cap. Thin 3.9% margins leave little buffer for downturns.

Bear Case : SBUX

The primary concerns for SBUX are PEG Ratio, Return on Equity, Profit Margin. A P/E of 78.0x leaves little room for execution misses. Thin 3.6% margins leave little buffer for downturns.

Key Dynamics to Monitor

SBUX carries more volatility with a beta of 0.93 — expect wider price swings.

SBUX is growing revenue faster at 5.5% — sustainability is the question.

SBUX generates stronger free cash flow (1.3B), providing more financial flexibility.

Monitor RESTAURANTS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

RICK scores higher overall (58/100 vs 39/100). Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

RCI Hospitality Holdings Inc

CONSUMER CYCLICAL · RESTAURANTS · USA

RCI Hospitality Holdings, Inc., is engaged in hospitality and related businesses in the United States. The company is headquartered in Houston, Texas.

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Starbucks Corporation

CONSUMER CYCLICAL · RESTAURANTS · USA

Starbucks Corporation is an American multinational chain of coffeehouses and roastery reserves headquartered in Seattle, Washington. As the world's largest coffeehouse chain, Starbucks is seen to be the main representation of the United States' second wave of coffee culture.

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