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One industry that seems to be recession proof is the adult entertainment industry. This is a $20 billion industry, and some sources say that the industry has been growing by as much as 50% per year. Many of the publicly traded stocks in this business are low cap companies, so caution is urged when considering these.

Playboy (PLA) is a New York Stock Exchange company that is participating in practically all aspects of the industry, including magazines, DVD’s, television shows, documentaries, web entertainment, e-commerce sites, and various Playboy brand products. It also owns the Spice brand of TV shows and related products. The company recently decided to launch their Playboy Magazine in the Philippines. It is considered to be the largest adult entertainment conglomerate in the world, and last year, they started going after women as customers. It has a forward P/E of 14. This is a low cap stock and should therefore be considered speculative.

New Frontier Media (NASDAQ:NOOF) is a Boulder, Colorado-based company, traded on NASDAQ, which provides adult entertainment TV networks, cable television video-on-demand, satellite broadcasts, motion pictures and hotel room broadcasts. It has a forward P/E of 19 and a PEG Ratio of 1.28. This is a very low cap stock and should therefore be considered very speculative.

VCG Holding Corp. (NASDAQ:VCGH) provides live adult entertainment, under the branded names PT’s, Diamond Cabaret and The Penthouse Club. The stock has a P/E of 10. This is an extremely low cap stock and should therefore be considered extremely speculative.

LodgeNet Entertainment (OTC:LNET)
is a NASDAQ traded Sioux Falls, South Dakota company that provides television broadcasts to hotels in the U.S. and internationally, including on-demand movies which include mature audience entertainment. The company has recently generated negative earnings. This is a very low cap stock and should therefore be considered very speculative.

Private Media Group (OTCPK:PRVT)
is an adult media company is based in Barcelona, Spain. The company, which was founded in 1980, produces magazines, videos, DVD’s and movies for broadcast television, cable, satellite, and the Internet. The company has recently generated negative earnings. This is a very low cap stock and should therefore be considered very speculative.

Rick's Cabaret International (NASDAQ:RICK)
is a Houston-based company that operates adult nightclubs in cities throughout the United States including Houston, New York, New Orleans, Charlotte, and Minneapolis. The stock has a P/E of 14. This is a very low cap stock and should therefore be considered very speculative.

Million Dollar Saloon Inc. (OTC:MLDS)
operates an adult cabaret in Dallas, Texas. The company was founded in 1982. The stock has a P/E of 10. This is an extremely low cap stock and should therefore be considered extremely speculative.

Scores Holding Co. Inc. (OTCQB:SCRH)
is a New York City-based company that licenses its trademark to adult oriented nightclubs. The company has recently generated negative earnings. This is an extremely low cap stock and should therefore be considered extremely speculative.

Interactive Brand Development Inc. (OTC:IBDI)
is based in Deerfield Beach, Florida, and provides online payment processing services for adult entertainment companies. They also own a part interest in Penthouse Media Group, and an adult TV network. The company has recently generated negative earnings. This is an extremely low cap stock and should therefore be considered extremely speculative.

Other adult industries that you may want to check out include gambling stocks.

Disclosure: The author owns RICK.

Source: Nine Adult Entertainment Stocks to Weather the Recession