RCI Hospitality Holdings (RICK) Fell Due to Bribery and Tax-Related Charges Against Management

Core Insights - Ace River Capital reported a Q4 2025 fund return of -4.55%, underperforming the S&P 500's +2.7% and the Russell 2000's +2.2% [1] - For the full year 2025, the fund's return was -21.95%, while the S&P 500 and Russell 2000 returned +18.0% and +12.8%, respectively [1] - The firm attributed its poor performance to valuation pressures and unique events affecting its concentrated portfolio of small- and micro-cap businesses [1] Company Focus: RCI Hospitality Holdings, Inc. - RCI Hospitality Holdings, Inc. (NASDAQ:RICK) is a hospitality company operating clubs and restaurants, with a market capitalization of $205.716 million [2] - As of February 9, 2026, RCI Hospitality's stock closed at $23.59 per share, reflecting a one-month return of -9.02% and a twelve-month decline of 54.05% [2] - The stock experienced a significant decline of approximately 25% in Q4 2025 due to bribery and tax-related charges filed against its executives, leading to legal and governance uncertainties [3]