We are investigating RCI Hospitality Holdings, Inc. (RICK) (“RCI” or the “Company”) for potential violations of the federal securities laws.
On December 11, 2018, RCI announced in a U.S. Securities and Exchange Commission (“SEC”) filing that the Company could not timely file its annual report due to “delays in completing the audit of its financial statements for the year ended September 30, 2018.” On this news, RCI’s stock price fell $1.37 per share, or approximately 6%, to close at $22.33 per share on December 12, 2018. Then, on May 10, 2019, RCI announced that it could not timely file its quarterly report with the SEC for the period ended March 31, 2019 due to pending investigations concerning negative articles published about the Company in mid- and late 2018. On this news, RCI’s stock price fell $1.67 per share, or over 7%, to close at $20.48 per share on May 13, 2019.