Indeed. The law says that sex is characteristic that may be a BFOQ, and in the case of Hooters it seems to be. BFOQs may apply to sex, religion, and national origin, but not the other protected classes.
Could Hooters then reject a woman based on visual trait connected to a race, arguing that it doesn't give her the required "sex appeal"? Skin colour would be of course to obvious, but lips size or body shape?
The only way Hooters could in principle discriminate on the basis of race is if they come up with some first amendment pretext for it; e.g. the waitress job is actually an artistic performance and for some reason the art demands the performer be a certain race. That works for movie productions, but for a bar hiring waitresses? In practice it wouldn't work because the courts and the public would both write you off as an obvious racist.