DoubleDown Interactive Co., Ltd. - American Depository Shares

DoubleDown Interactive Co., Ltd.'s DDI third-quarter 2024 earnings and revenues missed the Zacks Consensus Estimate. Following the results, the company’s shares declined nearly 1% in the after-hours trading session yesterday.
During the third quarter, DoubleDown benefited from steady growth in its core social casino and SuprNation iGaming businesses. The company’s social casino segment saw a consistent revenue increase for the fourth quarter in a row, indicating DoubleDown's expertise in engaging and monetizing loyal players. This success was partly due to a disciplined approach to user acquisition and research, which supports strong profitability and free cash flow.
DoubleDown's iGaming division, SuprNation, has also exceeded initial revenue expectations since its acquisition, further strengthening the company’s portfolio.
Find the latest EPS estimates and surprises on Zacks Earnings Calendar.
DDI Q3 Results in Detail
The company reported earnings per share (EPS) of 51 cents, which missed the Zacks Consensus Estimate of 55 cents by 7.3%. In the prior-year quarter, it reported an EPS of 54 cents.
Revenues of $83 million also missed the consensus mark of $83.5 million. The top line grew 13.7% on a year-over-year basis. SuprNation iGaming operations contributed $7.8 million to the quarterly revenues.
Average revenue per daily active user (ARPDAU) for the company’s social casino/free-to-play games increased to $1.30 from $1.06 reported a year ago. The average monthly revenue per payer for the social casino/free-to-play games also increased 14.7% year over year to $281.
DoubleDown Interactive Co., Ltd. Sponsored ADR Price, Consensus and EPS Surprise
DoubleDown Interactive Co., Ltd. Sponsored ADR price-consensus-eps-surprise-chart | DoubleDown Interactive Co., Ltd. Sponsored ADR Quote
DDI’s Operating Results
Adjusted EBITDA increased to $36.1 million from $29.7 million reported in the year-ago quarter. Adjusted EBITDA margin expanded 280 basis points to 43.5% year over year.
Total operating expenses increased year over year to $47.7 million from $43.3 million. This rise was due to the inclusion of operating expenses related to SuprNation.
DDI’s Financial Information
As of Sept. 30, 2024, DoubleDown had cash and cash equivalents of $292.7 million compared with $206.9 million as of Dec. 31, 2023.
At the end of the first nine months of 2024, net cash from operating activities was $101.1 million compared with $8.9 million of net cash used in operating activities in the year-ago period.
Zacks Rank of DDI
DoubleDown currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Recent Consumer Discretionary Releases
Carnival Corporation & plc CCL reported impressive third-quarter fiscal 2024 results, with earnings and revenues beating the Zacks Consensus Estimate. Both top and bottom lines increased on a year-over-year basis. This upside was backed by sustained demand strength and increased booking volumes. In the quarter, the company reported strong booking momentum for 2025, with volumes remaining robust at higher prices compared with the prior year.
The company raised its 2024 adjusted EBITDA guidance due to strong demand and cost-saving opportunities. Management expects net yields at constant currency to increase around 10.4% compared with 2023 levels, exceeding the prior guidance provided in June.
Vail Resorts, Inc. MTN reported mixed fourth-quarter fiscal 2024 results, with earnings missing the Zacks Consensus Estimate and revenues beating the same. Revenues declined on a year-over-year basis and the adjusted loss widened from the prior-year quarter’s levels.
In the quarter, its EBITDA declined year over year due to the underperformance of the winter business in Australia. Snowfall at Australia’s resorts fell 28% from the prior year’s levels and was 44% below the 10-year average, leading to an 18% drop in skier visitation. Although North America’s summer mountain business did not meet expectations, it achieved 15% revenue growth with fewer weather and construction-related disruptions.
Hilton Worldwide Holdings Inc. HLT reported third-quarter 2024 results, with earnings and revenues beating the Zacks Consensus Estimate. Both the metrics increased on a year-over-year basis.
The company's performance was backed by notable improvements in revenue per available room, attributed to higher occupancy rates and average daily rates. Furthermore, in the quarter, Hilton opened 531 new hotels. It achieved net room growth of 33,600. As of Sept. 30, 2024, Hilton's development pipeline comprised nearly 3,525 hotels, with almost 492,400 rooms across 120 countries and territories, including 28 countries and regions with no running hotels. For 2024, the company expects net unit growth in the range of 7-7.5%.
5 Stocks Set to Double
Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2024. While not all picks can be winners, previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%.
Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.
Today, See These 5 Potential Home Runs >>
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Carnival Corporation (CCL) : Free Stock Analysis Report
Hilton Worldwide Holdings Inc. (HLT) : Free Stock Analysis Report
Vail Resorts, Inc. (MTN) : Free Stock Analysis Report
DoubleDown Interactive Co., Ltd. Sponsored ADR (DDI) : Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

DoubleDown Q3 Earnings & Revenues Miss Estimates, ARPDAU Up Y/Y

The following companies are expected to report earnings after hours on 11/11/2024. Visit our Earnings Calendar for a full list of expected earnings releases.
Grab Holdings Limited (GRAB)is reporting for the quarter ending September 30, 2024. The consensus earnings per share forecast from the 1 analyst that follows the stock is $0.00. GRAB reported earnings of $-0.02 per share for the same quarter a year ago; representing a a decrease of -100.00%.IAC Inc. (IAC)is reporting for the quarter ending September 30, 2024. The consensus earnings per share forecast from the 4 analysts that follow the stock is $-0.20. IAC reported earnings of $-0.3 per share for the same quarter a year ago; representing a a decrease of -33.33%.DoubleDown Interactive Co., Ltd. (DDI)is reporting for the quarter ending September 30, 2024. The consensus earnings per share forecast from the 3 analysts that follow the stock is $0.55. DDI reported earnings of $0.54 per share for the same quarter a year ago; representing a a increase of 1.85%.Crescent Capital BDC, Inc. (CCAP)is reporting for the quarter ending September 30, 2024. The consensus earnings per share forecast from the 3 analysts that follow the stock is $0.57. CCAP reported earnings of $0.59 per share for the same quarter a year ago; representing a a decrease of -3.39%.Mineralys Therapeutics, Inc. (MLYS)is reporting for the quarter ending September 30, 2024. The consensus earnings per share forecast from the 3 analysts that follow the stock is $-0.83. MLYS reported earnings of $-0.57 per share for the same quarter a year ago; representing a a increase of 45.61%. The "days to cover" for this stock exceeds 10 days.Bioceres Crop Solutions Corp. (BIOX)is reporting for the quarter ending September 30, 2024. The consensus earnings per share forecast from the 3 analysts that follow the stock is $0.02. BIOX reported earnings of $-0.07 per share for the same quarter a year ago; representing a a decrease of -128.57%.Luminar Technologies, Inc. (LAZR)is reporting for the quarter ending September 30, 2024. The consensus earnings per share forecast from the 1 analyst that follows the stock is $-0.22. LAZR reported earnings of $-0.33 per share for the same quarter a year ago; representing a a decrease of -33.33%.James River Group Holdings, Ltd. (JRVR)is reporting for the quarter ending September 30, 2024. The consensus earnings per share forecast from the 1 analyst that follows the stock is $0.66. JRVR reported earnings of $0.48 per share for the same quarter a year ago; representing a a increase of 37.50%.Angi Inc. (ANGI)is reporting for the quarter ending September 30, 2024. The consensus earnings per share forecast from the 2 analysts that follow the stock is $0.00. ANGI reported earnings of $-0.01 per share for the same quarter a year ago; representing a a decrease of -100.00%. The "days to cover" for this stock exceeds 26 days.QuickLogic Corporation (QUIK)is reporting for the quarter ending September 30, 2024. The consensus earnings per share forecast from the 1 analyst that follows the stock is $-0.10. QUIK reported earnings of $0.08 per share for the same quarter a year ago; representing a a decrease of -225.00%. The "days to cover" for this stock exceeds 13 days.Assertio Holdings, Inc. (ASRT)is reporting for the quarter ending September 30, 2024. The consensus earnings per share forecast from the 2 analysts that follow the stock is $-0.05. ASRT reported earnings of $-0.01 per share for the same quarter a year ago; representing a a increase of 400.00%. The "days to cover" for this stock exceeds 15 days.Beyond Air, Inc. (XAIR)is reporting for the quarter ending September 30, 2024. The consensus earnings per share forecast from the 2 analysts that follow the stock is $-0.30. XAIR reported earnings of $-0.51 per share for the same quarter a year ago; representing a a decrease of -41.18%.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

After-Hours Earnings Report for November 11, 2024 : GRAB, IAC, DDI, CCAP, MLYS, BIOX, LAZR, JRVR, ANGI, QUIK, ASRT, XAIR

The Zacks Gaming industry benefits from macroeconomic tailwinds, particularly the Federal Reserve's interest rate reduction and strong demand for sports betting. The industry is experiencing an upside, thanks to increased visitation and spending per visit, especially from younger demographics. Stocks like Flutter Entertainment plc FLUT, DoubleDown Interactive Co., Ltd. DDI and GDEV Inc. GDEV will likely gain traction from this upbeat demand.
Industry Description
The Zacks Gaming industry includes companies that own and operate integrated casinos, hotels and entertainment resorts. Some industry players also deliver technology products and services across lotteries, electronic gaming machines, sports betting and interactive gaming. Some firms develop and operate gaming establishments and associated lodging, restaurants, horse racing and entertainment amenities. Many companies are involved in developing and selling gaming applications. E-sports or sporting events or tournament services, content management systems, video software, mobile applications and e-sports data platform solutions are provided as well.
Key Themes Shaping the Gaming Industry
Interest Rate Cut to Aid Gaming Industry: In its latest policy meeting, the Federal Reserve reduced interest rates by 50 basis points to stimulate the economy and support the labor market. The Fed has kept the key interest rates at 4.75-5% and eased its monetary policy for the first time in four years. According to the Fed's Summary of Economic Projections, officials anticipate another half-point rate cut later this year, with additional cuts expected in 2025 and 2026. Most gaming companies rely on debt to finance their operations, expansion projects and renovations. A reduction in interest rates lowers the cost of borrowing, allowing gaming companies to take on new loans or refinance existing debt at more favorable terms. This can free up capital for growth initiatives and reduce interest expenses.
Macau Gaming Revenues Improving: The industry benefits from improving visitation. In September, Macau’s gross gaming revenues rallied 15.5% year over year. Robust investment will continue to aid the gaming industry in Macau. Casino operators are adopting a disciplined operational strategy by streamlining business processes, enhancing marketing approaches, and renegotiating contracts with vendors and third parties. There is an intense emphasis on improving service quality and staffing levels to cater to gamers better.
U.S. Commercial Gaming Revenues Robust: The gaming industry in the United States continues to boost investor sentiment. Per the American Gaming Association data, revenues from gambling hit a record high of $17.63 billion in second-quarter 2024, up 8.9% year over year. The U.S. gaming industry will continue to improve. This marked the industry's 14th straight quarter of annual revenue growth.
Sports Betting Acts as Major Driver: The legalization of sports betting in Delaware, Mississippi, New Jersey, New Mexico, West Virginia, Pennsylvania, Rhode Island, Montana, Indiana, Tennessee, Illinois and New Hampshire has been driving growth for a while. Bettors can place wagers via digital platforms in Connecticut, Kentucky, Michigan, Massachusetts, Maryland, Minnesota, Missouri, Kansas, Louisiana, Oklahoma, South Carolina, California, Oregon, Arizona, Montana, Colorado and other states. Some popular gaming applications include DraftKings, Barstool, FanDuel, BetMGM, BetRivers, Fox Bet and BetMonarch.
Zacks Industry Rank Indicates Bright Prospects
The Zacks Gaming industry is grouped within the broader Zacks Consumer Discretionary sector. It carries a Zacks Industry Rank #103, which places it in the top 41% of more than 250 Zacks industries.
The group’s Zacks Industry Rank, which is basically the average of the Zacks Rank of all the member stocks, indicates bright near-term prospects. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
The industry’s position in the top 50% of the Zacks-ranked industries is a result of a positive earnings outlook for the constituent companies in aggregate. Looking at the aggregate earnings estimate revisions, it appears that analysts are gradually gaining confidence in this group’s earnings growth potential. Since April 30, 2024, the industry’s northbound estimate for the current year increased 9.5%.
We will present a few gaming stocks that you can add to your investment portfolio, given their strong fundamentals. But it is worth looking at the industry’s shareholder returns and its current valuation first.
Industry Underperforms the S&P 500
The Zacks Gaming industry has lagged the S&P 500 Index and the broader Zacks Consumer Discretionary sector in the past year.
The industry has risen 27.4% over this period compared with the S&P 500 Index’s growth of 32.5%. In the same time frame, the sector has rallied 17%.
One-Year Price Performance
Gaming Industry's Valuation
Since gaming companies are debt-laden, valuing the same based on the EV/EBITDA (Enterprise Value/ Earnings before Interest Tax Depreciation and Amortization) ratio makes sense. The industry currently has a forward 12-month EV/EBITDA ratio of 11.93. The space is trading at a discount compared with the market at large, as the forward 12-month EV/EBITDA ratio for the S&P 500 is 14.47.
In the past five years, the industry has traded as high as 22.53X and as low as 6.56X, with a median of 15.30X, as the chart below shows.
Enterprise Value-to-EBITDA Ratio (Past 5 Years)
3 Gaming Stocks to Watch for
Flutter Entertainment: The company has been witnessing excellent growth across its brands in the U.K., achieving market share gains for 10 consecutive quarters based on gambling commission data. Flutter Entertainment completed the migration of FanDuel Casino to its proprietary technology, enhancing platform stability and allowing access to exclusive content.
This Zacks Rank #1 (Strong Buy) company’s shares have gained 6% in the past three months. Earnings estimates for 2024 have increased to $5.71 from $4.07 in the past 60 days.
Price & Consensus: FLUT
DoubleDown Interactive: The company is benefiting from its robust social casino business. In second-quarter 2024, the company's social casino business saw a 7% revenue increase, marking its third consecutive quarter of year-over-year growth, which indicates a growing market share.
This Zacks Rank #1 player’s shares have gained 12.8% in the past three months. DoubleDown Interactive’s 2024 earnings estimates have increased 13.5% to $2.35 in the past 60 days.
Price & Consensus: DDI
GDEV: The company’s refined vision, which emphasizes sustainable growth and operational efficiency, bodes well. Its focus on delivering top games, coupled with the recruitment of industry talent, supports its commitment to creating exceptional player experiences and solidifying its market position for long-term success.
Shares of this Zacks Rank #1 player have grown 29.4% in the three months. GDEV’s 2024 earnings estimates have increased to 60 cents from 15 cents in the past 60 days. You can see the complete list of today’s Zacks #1 Rank stocks here.
Price & Consensus: GDEV
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Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."
Since 1988, the full list has beaten the market more than 2X over with an average gain of +23.7% per year. So be sure to give these hand picked 7 your immediate attention.
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Flutter Entertainment PLC (FLUT) : Free Stock Analysis Report
GDEV Inc. (GDEV) : Free Stock Analysis Report
DoubleDown Interactive Co., Ltd. Sponsored ADR (DDI) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

3 Must-Buy Gaming Stocks to Thrive on Promising Market Trends

Shares of Carnival Corporation & plc CCL have gained 45.3% in the past six months, outperforming the industry’s 21.9% growth. This rally has been driven by strong demand, effective pricing strategies and targeted marketing efforts. With record bookings for 2024 and 2025, Carnival is positioned for continued growth, but is now the right time for investors to jump in?
Major Growth Drivers for CCL Stock
Strong Demand and Pricing Power
Carnival has seen a historic rise in both occupancy and pricing for 2025. All core deployments are now booked at higher prices than last year, and every brand within Carnival’s portfolio is benefiting from increased demand due to successful marketing campaigns. Carnival’s baseloading strategy — securing a high volume of early bookings — has allowed the company to raise prices confidently while maintaining robust occupancy levels.
Bookings for 2026 have also started strong, with record volumes in the past three months. This robust booking momentum for 2024, 2025 and 2026 contributed to a record third-quarter customer deposit. Total customer deposits as of Aug. 31 were $6.8 billion compared with $6.3 billion reported on Aug. 31, 2023. With nearly half of 2025 already booked, the company is well ahead of schedule, providing strong visibility into future revenue growth.
Competitive Edge Over Land-Based Vacations
A key driver behind Carnival’s success is its ability to capture market share from land-based vacations. Through strategic marketing efforts, supported by partnerships with travel agents, Carnival has effectively attracted both new and repeat customers. By addressing the perceived price gap between cruises and land-based vacations, Carnival has positioned itself as a more attractive alternative for travelers seeking value for money.
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What’s Next for Carnival?
Looking ahead, Carnival remains optimistic about the upcoming North American debut of the Sun Princess. It expects the initiative to attract more customers. The company’s expanding fleet and improved commercial performance are likely to sustain the upward trend in demand and revenues. Additionally, the introduction of the Bahamian destination Celebration Key in 2025 and further development at Half Moon Cay are expected to drive revenues.
With approximately 99% of 2024 ticket revenues already secured, the firm is well positioned to report Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) of $6 billion by 2024-end. Return on invested capital is projected to reach 10.5% in 2024. Attributes of strong demand, higher pricing across core deployments and a favorable occupancy position are likely to aid the company in the upcoming periods.
For fiscal 2024, the company anticipates adjusted net income to be nearly $1.76 billion, up from the previous expectation of $1.55 billion. In fiscal 2024, the company expects adjusted earnings per share (EPS) to be $1.33 compared with the previous expectation of $1.18.
Attractive Valuation
Despite its strong performance, Carnival’s stock presents a potentially attractive valuation. With a forward 12-month price-to-earnings ratio of 12.72, the stock is trading well below the industry average of 18.42x. This suggests that Carnival may be undervalued compared to its peers, offering an enticing entry point for investors seeking exposure in the stock.
Should You Buy Carnival Stock?
Carnival’s stock has outpaced the broader industry over the past six months, driven by strong fundamentals and forward-looking strategies. The company’s ability to consistently generate demand, coupled with pricing power, provides a solid foundation for continued growth. Also, its strong financial position and ability to capture market share from land-based vacations further reinforce its growth prospects.
With a favorable valuation compared with industry peers and upwardly revised earnings projections, CCL is well-positioned to deliver sustained growth and shareholder value. We believe that the Zacks Rank #1 (Strong Buy) stock is an ideal candidate for investors' portfolio addition.
Other Key Picks
Some other top-ranked stocks in the Zacks Consumer Discretionary sector are Norwegian Cruise Line Holdings Ltd. NCLH, DoubleDown Interactive Co., Ltd. DDI and Cinemark Holdings, Inc. CNK. NCLH & DDI sport a Zacks Rank #1 each, whereas CNK carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Norwegian Cruise Line has a trailing four-quarter earnings surprise of 5.7%, on average. The stock has rallied 56.3% in the past year. The Zacks Consensus Estimate for NCLH’s 2024 sales and EPS calls for growth of 9.8% and 127.1%, respectively, from the year-ago levels.
DoubleDown Interactive has a trailing four-quarter earnings surprise of 22.1%, on average. The stock has surged 89.5% in the past year. The Zacks Consensus Estimate for DDI’s 2024 sales and EPS indicates an increase of 12.6% and 15.8%, respectively, from the year-ago levels.
Cinemark Holdings has a trailing four-quarter earnings surprise of 145.9%, on average. The stock has increased 81.9% in the past year. The Zacks Consensus Estimate for CNK’s 2025 sales and EPS indicates an increase of 10.8% and 29.8%, respectively, from the year-ago levels.
7 Best Stocks for the Next 30 Days
Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."
Since 1988, the full list has beaten the market more than 2X over with an average gain of +23.7% per year. So be sure to give these hand picked 7 your immediate attention.
See them now >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 5 Stocks Set to Double. Click to get this free report
Carnival Corporation (CCL) : Free Stock Analysis Report
Norwegian Cruise Line Holdings Ltd. (NCLH) : Free Stock Analysis Report
Cinemark Holdings Inc (CNK) : Free Stock Analysis Report
DoubleDown Interactive Co., Ltd. Sponsored ADR (DDI) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Carnival Stock Outruns Industry in Past Six Months: Should You Buy?

RCI Hospitality Holdings, Inc. RICK has provided an update on its business for the fourth quarter of fiscal 2024.
Q4 Preliminary Revenue Results
During the fiscal fourth quarter, the company reported total sales of $72.1 million, down 2.6% year over year. During the quarter, the company’s same-store sales dropped 1.1% year over year due to external challenges like Hurricane Beryl, which caused temporary closures at key locations.
During the quarter, sales from Nightclubs came in at $60.2 million, down 0.5% year over year. The downside can be attributed to the disruption caused by Hurricane Beryl, which led to 10 closure days at three of RICK’s clubs in Houston. In addition, temporary closures, such as the fire at Baby Dolls Fort Worth, impacted overall performance. However, this was partially mitigated by contributions from three new or reformatted clubs (in Harlingen, Lubbock and Tye, TX) and 2.2% same-store sales growth.
Sales from Bombshells restaurants in the fiscal fourth quarter came in at $11.9 million, down 12.2% from the year-ago quarter’s levels. The downside was due to a fall in same-store sales (down 16.2% year over year). Also, prolonged closure of five Houston-area locations (impacted by Hurricane Beryl) added to the negatives.
Other Updates
During the fiscal fourth quarter, RICK repurchased 0.17 million shares of its common stock, worth approximately $7.8 million. As of Sept. 30, the company stated the availability of approximately $21 million in stock repurchase authorization and 8.96 million shares outstanding.
Looking ahead, RICK is gearing up for expansion, with six new clubs and restaurants planned for fiscal 2025. This includes the anticipated reopening of Baby Dolls Fort Worth, which was temporarily closed after a fire in early July. The new openings are expected to drive growth and boost revenues in the coming periods.
RICK’s Attractive Valuation Signals Undervaluation
Investors should take note of RICK’s current valuation. The stock is trading at a 12-month forward price-to-earnings (P/E) ratio of 10.10, which is significantly lower than the industry average of 17.84x. This valuation signals that RICK could be undervalued relative to its peers, presenting a potential opportunity for investors seeking value stocks with growth potential. Given the company’s resilience, expansion plans and strategic initiatives, the stock appears to offer a compelling investment case at its current price levels.
Our Thoughts on RICK Stock
The company’s continued focus on enhancing its existing portfolio, along with strategic share repurchases, underscores its commitment to maximizing shareholder value. Investors looking for a company with a resilient business model, attractive valuation and strong growth prospects may find RCI Hospitality to be an intriguing opportunity. With the stock trading below the industry P/E average and ongoing expansion efforts, RICK could be well-positioned for further gains in the coming periods.
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Shares of the company have gained 7.7% in the past three months compared with the industry’s 12.4% rise.
RICK’s Zacks Rank & Other Key Picks
RCI Hospitality currently has a Zacks Rank #2 (Buy).
Some other top-ranked stocks in the Zacks Consumer Discretionary sector are Norwegian Cruise Line Holdings Ltd. NCLH, DoubleDown Interactive Co., Ltd. DDI and Carnival Corporation & plc CCL, each sporting a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
Norwegian Cruise Line has a trailing four-quarter earnings surprise of 5.7%, on average. The stock has rallied 25.2% in the past year. The Zacks Consensus Estimate for NCLH’s 2024 sales and earnings per share (EPS) calls for growth of 9.9% and 127.1%, respectively, from the year-ago levels.
DoubleDown Interactive has a trailing four-quarter earnings surprise of 22.1%, on average. The stock has surged 73.4% in the past year. The Zacks Consensus Estimate for DDI’s 2024 sales and EPS indicates an increase of 12.6% and 15.8%, respectively, from the year-ago levels.
Carnival has a trailing four-quarter earnings surprise of 318.1%, on average. The stock has increased 46.3% in the past year. The Zacks Consensus Estimate for CCL’s 2025 sales and EPS indicates an increase of 3.6% and 26%, respectively, from the year-ago levels.
5 Stocks Set to Double
Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2024. While not all picks can be winners, previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%.
Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.
Today, See These 5 Potential Home Runs >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 5 Stocks Set to Double. Click to get this free report
Carnival Corporation (CCL) : Free Stock Analysis Report
Norwegian Cruise Line Holdings Ltd. (NCLH) : Free Stock Analysis Report
RCI Hospitality Holdings, Inc. (RICK) : Free Stock Analysis Report
DoubleDown Interactive Co., Ltd. Sponsored ADR (DDI) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

RICK's Q4 Update: Buyback and Expansion Signal Hope Amid Soft Comps

Hooker Furnishings Corporation HOFT has collaborated with the global lifestyle brand, Margaritaville, to launch an extensive line of home furnishings.
This partnership will help the company leverage the renowned brand position of Margaritaville in the international market and expand its market reach to a new customer base.
HOFT stock lost 1.1% during trading hours on Monday post the announcement.
HOFT’s Partnership in Detail
The anticipated product offerings from the announced partnership will include a range of indoor and outdoor furnishings such as case goods, upholstery, lighting and accessories for the residential, contract and hospitality markets. The extensive line of offerings will span across various price points and categories.
Per the agreement, the prominent Margaritaville brand, along with Latitude and Island Reserve by Margaritaville, will be creating and offering tiered product differentiation that fits well with Hooker Furnishings’ versatile brand portfolio.
The entire extensive line of products, including indoor and outdoor home collections, is planned to launch in October 2025 at the company’s Showplace showroom in High Point, NC. Furthermore, plans to explore hospitality and commercial opportunities by offering furnishing options for Margaritaville’s branded real estate properties and communities are in progress.
Hooker Furnishings’ Price Performance
Shares of this designer, marketer and importer of case goods have gained 26.4% in the past three months compared with the Zacks Furniture industry’s 35.1% growth. The company’s prospects are hindered by the weak market conditions and increased cost and expense structure. Nonetheless, its strategic investments in sales channels, people, systems and products are likely to foster its long-term success.
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Furthermore, the growth prospect is solidified with a VGM Score of A, backed by Growth and Momentum Scores of A. The positive trend signifies bullish analysts’ sentiments, robust fundamentals and prospects of an outperformance in the near term.
HOFT’s Zacks Rank & Key Picks
Hooker Furnishings currently carries a Zacks Rank #5 (Strong Sell).
Here are some better-ranked stocks from the Consumer Discretionary sector.
Atour Lifestyle Holdings Limited ATAT currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
ATAT has a trailing four-quarter earnings surprise of 9.1%, on average. The stock has risen 63.3% in the past year. The Zacks Consensus Estimate for ATAT’s 2024 sales and earnings per share (EPS) indicates growth of 49.5% and 32.6%, respectively, from the year-ago levels.
DoubleDown Interactive Co., Ltd. DDI currently sports a Zacks Rank of 1. DDI has a trailing four-quarter earnings surprise of 22.1%, on average. The stock has surged 89.2% in the past year.
The Zacks Consensus Estimate for DDI’s 2024 sales and EPS indicates an increase of 12.6% and 15.8%, respectively, from the year-ago levels.
Norwegian Cruise Line Holdings Ltd. NCLH presently sports a Zacks Rank of 1. NCLH has a trailing four-quarter earnings surprise of 5.7%, on average. The stock has gained 24.5% in the past year.
The Zacks Consensus Estimate for NCLH’s 2024 sales and EPS indicates an increase of 9.9% and 127.1%, respectively, from the year-ago levels.
7 Best Stocks for the Next 30 Days
Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."
Since 1988, the full list has beaten the market more than 2X over with an average gain of +23.7% per year. So be sure to give these hand picked 7 your immediate attention.
See them now >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 5 Stocks Set to Double. Click to get this free report
Hooker Furnishings Corp. (HOFT) : Free Stock Analysis Report
Norwegian Cruise Line Holdings Ltd. (NCLH) : Free Stock Analysis Report
DoubleDown Interactive Co., Ltd. Sponsored ADR (DDI) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

HOFT Expands Market Reach by Partnering With Margaritaville

Following positive results from its Kitchen in a Box initiative, Choice Hotels International, Inc. CHH is expanding its portfolio of innovative solutions for extended stay hotel conversions by introducing Lobby in a Box. This exclusive design package helps convert public spaces into functional, revenue-generating areas, specifically for Suburban Studios and MainStay Suites, with transformations completed in about 120 days.
This new Modular Design Package from Choice Hotels provides a quick solution for creating lobby spaces tailored to long-stay guests. The Lobby in a Box, delivered in a ready-to-assemble crate, enables hotel owners to adapt their lobbies to cater to guests who prefer in-room dining.
This design transforms standard lobby dining areas in transient hotels and helps hoteliers generate additional income for the MainStay brand through a marketplace offering on-the-go food, beverages and essential travel items. This initiative aims at key extended stay markets with high entry barriers. It provides a quicker and more affordable alternative to traditional new construction.
With the increasing demand for extended stay accommodations, tools like Lobby in a Box and Kitchen in a Box enable franchisees to capitalize on emerging opportunities. These solutions enhance the experience for long-staying guests by providing tailored options. CHH is dedicated to streamlining the conversion process, helping hotel owners achieve greater returns on investment while creating spaces that are both functional and profitable.
Addressing Increased Demand
The company's Lobby in a Box and Kitchen in a Box solutions address the industry-wide demand for fast and efficient hotel conversions, as extended stay demand exceeds supply. In many instances, obtaining financing for these conversions is easier than for new builds because repurposing existing properties involves a lower risk profile.
Since launching Kitchen in a Box in the spring of 2022, the company has implemented it in more than 30 hotels, with six additional projects planned. Three of these will also feature Lobby in a Box in their renovations. These proprietary solutions are driving Choice Hotels' rapid expansion in the extended stay segment, positioning it to open its 500th extended stay property this year.
CHH’s Price Performance
Image Source: Zacks Investment Research
Shares of this global hotel franchisor have gained 8.5% in the past three months compared with the Zacks Hotels and Motels industry’s 8.2% growth. Strong demand trends across the company’s diversified portfolio of brands and synergies through the Radisson Hotels Americas integration, along with international market reach expansion, are favoring the growth trajectory.
CHH’s Zacks Rank & Key Picks
Choice Hotels currently carries a Zacks Rank #3 (Hold).
Here are some better-ranked stocks from the Consumer Discretionary sector.
Atour Lifestyle Holdings Limited ATAT currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
ATAT has a trailing four-quarter earnings surprise of 9.1%, on average. The stock has surged 61.7% in the past year. The Zacks Consensus Estimate for ATAT’s 2024 sales and earnings per share (EPS) indicates growth of 49.5% and 32.6%, respectively, from the year-ago levels.
DoubleDown Interactive Co., Ltd. DDI presently flaunts a Zacks Rank of 1. DDI has a trailing four-quarter earnings surprise of 22.1%, on average. The stock has surged 89.2% in the past year.
The Zacks Consensus Estimate for DDI’s 2024 sales and EPS indicates an increase of 12.6% and 15.8%, respectively, from the year-ago levels.
Norwegian Cruise Line Holdings Ltd. NCLH currently sports a Zacks Rank of 1. NCLH has a trailing four-quarter earnings surprise of 5.7%, on average. The stock has gained 24.8% in the past year.
The Zacks Consensus Estimate for NCLH’s 2024 sales and EPS indicates an increase of 9.9% and 127.1%, respectively, from the year-ago levels.
7 Best Stocks for the Next 30 Days
Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."
Since 1988, the full list has beaten the market more than 2X over with an average gain of +23.7% per year. So be sure to give these hand picked 7 your immediate attention.
See them now >>
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Choice Hotels International, Inc. (CHH) : Free Stock Analysis Report
Norwegian Cruise Line Holdings Ltd. (NCLH) : Free Stock Analysis Report
DoubleDown Interactive Co., Ltd. Sponsored ADR (DDI) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

CHH Expands Innovative Solutions With New Lobby in a Box Package

RCI Hospitality Holdings, Inc. RICK is benefiting from efficiently progressing with its Back to Basics business approach and following an effective capital allocation strategy. These strategic initiatives are positively impacting the company’s business, resulting in notable operational improvements and shareholder value.
In the past six months, the company’s shares have lost 24.4% against the Zacks Leisure and Recreation Services industry’s 12% growth. However, this Zacks Rank #2 (Buy) company has shown some resilience in the past three months, gaining 6.2%.
Image Source: Zacks Investment Research
Although low contributions from the Bombshells segment and softer comps are concerning, the improvement implies that RICK has salvaged its growth trend over the past months on the back of the aforementioned tailwinds and is well-positioned for the upcoming period.
The Zacks Consensus Estimate for the company’s fourth-quarter fiscal 2024 earnings indicate year-over-year growth of 69.6%. Also, earnings estimates for fiscal 2025 indicate a whopping 495.7% growth trend. The growth prospect is solidified with a VGM Score of B, backed by a Growth Score of A. The positive trend signifies bullish analysts’ sentiments, robust fundamentals and prospects of an outperformance in the near term.
Let us discuss the factors that highlight why investors must consider the stock for now.
Factors Supporting RICK Stock
Back to Basics Approach: Amid economic distress, RCI Hospitality came up with a strategic initiative to improve its business conditions and ensure smooth functioning across its reportable segments. The Back to Basics business approach outlines the company’s aim to ensure the efficient and profitable functioning of its locations. The priorities of this initiative include increasing same-store sales, improving margins and rebranding and reformatting underperforming locations.
RICK is currently working on a few of its revenue-generating assets that are to contribute to its revenues from the latter half of 2024 or early 2025. The company is optimistic about the ongoing refurbishments and construction process of new openings including the Baby Dolls project in Fort Worth, TX; Rick’s Cabaret & Steakhouse in Central City, CO; and three Bombshells projects in Denver, CO along with Lubbock and Rowlett, TX.
Effective Capital Allocation Strategies: Another strategic initiative undertaken by the company is to effectively allocate its free cash flow, about $200-$250 million, over the next five years starting October 2024. The allocation strategy underscores the assumption of no growth. The priorities of this strategy include targeting less than 10% of the discretionary free cash flow to ensure a stable and modestly growing dividend; about 50% of discretionary free cash flow for selective mergers and acquisitions; and approximately 40% of the remaining discretionary free cash flow for regular share buybacks.
RCI Hospitality has already started implementing this initiative to boost its shareholder value. On Sept. 3, 2024, the company hiked its quarterly cash dividend by 16.7% to 7 cents (28 cents per year). The dividend was paid on Sept. 30, 2024, to shareholders as of Sept. 16.
Trading at a Discount: RCI Hospitality is currently trading at a discount relative to the industry peers on a forward 12-month price-to-earnings (P/E) ratio basis. RICK’s forward 12-month P/E ratio is 10.07, lower than the industry’s ratio of 17.89. The discounted valuation indicates that despite the recent recovery of the stock price over the past three months, it remains an attractive option for investors looking for a suitable entry point.
With the ongoing transformative and effective efforts on its core business and capital allocation, the company is positioning itself strongly for notable growth trends across revenues, EBITDA and free cash flow from fiscal 2025. The current discounted valuation situation may not last long, thus investors should stay ahead from now on and consider RICK stock.
Other Key Picks
Here are some other top-ranked stocks from the Consumer Discretionary sector.
Atour Lifestyle Holdings Limited ATAT currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
ATAT has a trailing four-quarter earnings surprise of 9.1%, on average. The stock has risen 63.3% in the past year. The Zacks Consensus Estimate for ATAT’s 2024 sales and earnings per share (EPS) indicates growth of 49.5% and 32.6%, respectively, from the year-ago levels.
DoubleDown Interactive Co., Ltd. DDI presently flaunts a Zacks Rank of 1. DDI has a trailing four-quarter earnings surprise of 22.1%, on average. The stock has surged 89.2% in the past year.
The Zacks Consensus Estimate for DDI’s 2024 sales and EPS indicates an increase of 12.6% and 15.8%, respectively, from the year-ago levels.
Norwegian Cruise Line Holdings Ltd. NCLH currently sports a Zacks Rank of 1. NCLH has a trailing four-quarter earnings surprise of 5.7%, on average. The stock has gained 24.5% in the past year.
The Zacks Consensus Estimate for NCLH’s 2024 sales and EPS indicates an increase of 9.9% and 127.1%, respectively, from the year-ago levels.
7 Best Stocks for the Next 30 Days
Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."
Since 1988, the full list has beaten the market more than 2X over with an average gain of +23.7% per year. So be sure to give these hand picked 7 your immediate attention.
See them now >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 5 Stocks Set to Double. Click to get this free report
RCI Hospitality Holdings, Inc. (RICK) : Free Stock Analysis Report
DoubleDown Interactive Co., Ltd. Sponsored ADR (DDI) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Here's Why Investors Must Consider RICK Stock for Their Portfolios

Hyatt Hotels Corporation H continues to make remarkable strides in its select service segment, with 25% pipeline growth in the Americas over the past three years. As of June 30, 2024, this segment now represents more than half of Hyatt's total pipeline in the region, driven by its strategic focus on expanding lifestyle, luxury and all-inclusive properties.
Select service brands have been essential in promoting Hyatt’s World of Hyatt loyalty program, which has shown robust growth compared with its competitors. This surge in pipeline reflects Hyatt’s commitment to enhancing profitability through operational innovation.
Hyatt’s key select service brands are undergoing transformations to attract new market opportunities. The Caption by Hyatt brand has been reimagined with owner-driven feedback, offering a more cost-efficient and flexible design model. This new approach emphasizes market adaptability, reduced construction costs and an efficient food and beverage concept. These changes allow the brand to maintain its signature vibrant, neighborhood feel while appealing to a wider range of markets and driving expansion in the United States and abroad.
The rapid expansion of the Hyatt Studios brand is another major growth driver. In just 18 months, Hyatt Studios has secured more than 4,000 pipeline rooms and 250 deals in various stages of negotiation.
With its strategic focus on innovation, market adaptability and strong pipeline growth, Hyatt is well-positioned for long-term success in the highly competitive hospitality industry.
H Stock’s Price Performance and Zacks Rank
Shares of Hyatt have gained 17.9% so far this year, in line with the industry’s growth. The company has been benefiting from a gradual increase in demand, new hotel openings and acquisition initiatives.
Also, organic and inorganic growth initiatives, loyalty programs and asset-light business model bode well. Hyatt anticipates system-wide 2024 RevPAR to increase in the range of 3% and 4% year over year. Much optimism prevails on account of group bookings and confidence in the ongoing recovery of business transient demand, as well as the steady levels of leisure transient demand.
Image Source: Zacks Investment Research
H currently has a Zacks Rank #3 (Hold).
Key Picks
Some better-ranked stocks in the Zacks Consumer Discretionary sector are Norwegian Cruise Line Holdings Ltd. NCLH, DoubleDown Interactive Co., Ltd. DDI and Carnival Corporation & plc CCL, each sporting a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
Norwegian Cruise Line has a trailing four-quarter earnings surprise of 5.7%, on average. The stock has rallied 22.4% in the past year. The Zacks Consensus Estimate for NCLH’s 2024 sales and earnings per share (EPS) calls for growth of 9.9% and 127.1%, respectively, from the year-ago levels.
DoubleDown Interactive has a trailing four-quarter earnings surprise of 22.1%, on average. The stock has surged 85.9% in the past year. The Zacks Consensus Estimate for DDI’s 2024 sales and EPS indicates an increase of 12.6% and 15.8%, respectively, from the year-ago levels.
Carnival has a trailing four-quarter earnings surprise of 318.1%, on average. The stock has increased 42% in the past year. The Zacks Consensus Estimate for CCL’s 2025 sales and EPS indicates an increase of 3.6% and 26%, respectively, from the year-ago levels.
Infrastructure Stock Boom to Sweep America
A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made.
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Want the latest recommendations from Zacks Investment Research? Today, you can download 5 Stocks Set to Double. Click to get this free report
Carnival Corporation (CCL) : Free Stock Analysis Report
Hyatt Hotels Corporation (H) : Free Stock Analysis Report
Norwegian Cruise Line Holdings Ltd. (NCLH) : Free Stock Analysis Report
DoubleDown Interactive Co., Ltd. Sponsored ADR (DDI) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Hyatt Expands Select Service Pipeline by 25% in Three Years

Vista Outdoor Inc.'s VSTO operating segment, Revelyst, entered an agreement with Strategic Value Partners, LLC ("SVP") under which SVP-managed funds will acquire Revelyst in an all-cash transaction valued at $1.125 billion.
The deal is expected to enhance growth opportunities for Revelyst through increased investment and expanded resources. The transaction is anticipated to close by January 2025, contingent on the completion of Vista Outdoor's $2.225-billion transaction with Czechoslovak Group, which requires stockholders’ approval.
Revelyst is recognized for its exceptional craftsmanship and dedication to producing innovative products that cater to various consumer activities. The company streamlined its operations and now runs three platforms, including Revelyst Adventure Sports in Irvine, CA, Revelyst Outdoor Performance in Bozeman, Montana and Revelyst Precision Sports Technology in San Diego. This consolidation supports the GEAR Up transformation initiative that aims to enhance resource allocation and strengthen supply-chain efficiency.
The acquisition by SVP positions Revelyst to meet the growing demand for outdoor gear and activities effectively. This strategic partnership enhances Revelyst's market presence and supports long-term growth and profitability. This collaboration is expected to create opportunities and drive margin expansion across its international brand portfolio. It will also enhance the segment’s leadership in the outdoor recreation market.
VSTO’s Price Performance
This Zacks Rank #3 (Hold) company has moved up 18.5% in the past six months compared with the Zacks Leisure and Recreation Products industry’s 11.5% growth. It is benefiting from accretive inorganic moves and organic initiatives, undertaken to expand its product offerings, market reach and operational synergies.
Image Source: Zacks Investment Research
Vista Outdoor intently focuses on boosting its inorganic business moves alongside its organic plans through several strategic initiatives. The initiatives include a capital allocation strategy, along with a cost-reduction and earnings improvement program. VSTO expects to drive value and synergies through mergers & acquisitions to develop its existing brands and increase its product offerings.
Key Picks
Some better-ranked stocks in the Zacks Consumer Discretionary sector are as follows:
DoubleDown Interactive Co., Ltd. DDI currently sports a Zacks Rank of 1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
DDI has a trailing four-quarter earnings surprise of 22.1%, on average. The stock has increased 85.9% in the past year. The Zacks Consensus Estimate for DDI’s 2024 sales and EPS indicates an increase of 12.6% and 15.8%, respectively, from the year-ago levels.
Norwegian Cruise Line Holdings Ltd. NCLH presently flaunts a Zacks Rank of 1. NCLH has a trailing four-quarter earnings surprise of 5.7%, on average. The stock has moved up 22.4% in the past year.
The Zacks Consensus Estimate for NCLH’s 2024 sales and EPS indicates an increase of 9.9% and 127.1%, respectively, from the year-ago levels.
Royal Caribbean Cruises Ltd. RCL currently carries a Zacks Rank #2 (Buy). RCL has a trailing four-quarter earnings surprise of 18.5%, on average. The stock has surged 103.4% in the past year.
The Zacks Consensus Estimate for RCL’s 2024 sales and EPS indicates growth of 18.1% and 70.9%, respectively, from the year-ago levels.
Infrastructure Stock Boom to Sweep America
A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made.
The only question is “Will you get into the right stocks early when their growth potential is greatest?”
Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.
Download FREE: How To Profit From Trillions On Spending For Infrastructure >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 5 Stocks Set to Double. Click to get this free report
Royal Caribbean Cruises Ltd. (RCL) : Free Stock Analysis Report
Norwegian Cruise Line Holdings Ltd. (NCLH) : Free Stock Analysis Report
Vista Outdoor Inc. (VSTO) : Free Stock Analysis Report
DoubleDown Interactive Co., Ltd. Sponsored ADR (DDI) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.