Taking Profit on Rick's Cabaret International Inc

It has been exactly 3 months since my article to buy Rick's Cabaret International Inc was written. In the analysis, I've noted that RICK is a profit making company with healthy balance sheet. Well, the latest result proved to be wrong. RICK announce a loss for the fiscal year ended September 30, 2010. This was however, due to the $20mil impairment of nightclub assets. Without which, RICK will be performing well this year too. I'm with the view the RICK will go on to have a good 2011 if the trend continues.

Despite the previous statement, the stock has reached our target price from the technical chart analysis. I will be taking a 19% profit here and thereafter keeping a lookout for good opportunities to enter RICK again. Cheers.

Sell RICK @ $8.28.