Arcos Stock Today

ARCO Stock  USD 9.74  0.49  4.79%   

Market Performance

0 of 100


Odds Of Distress

Less than 31

Arcos Dorados is selling at 9.74 as of the 22nd of September 2023; that is -4.79 percent down since the beginning of the trading day. The stock's open price was 10.23. Arcos Dorados has about a 31 percent probability of financial distress in the next few years of operation and has generated negative returns over the last 90 days. Equity ratings for Arcos Dorados Holdings are calculated daily based on our scoring framework. The performance scores are derived for the period starting the 23rd of August 2023 and ending today, the 22nd of September 2023. Click here to learn more.
Business Domain
Consumer Services
IPO Date
14th of April 2011
Consumer Cyclical
Consumer Discretionary
Arcos Dorados Holdings Inc. operates as a franchisee of McDonalds restaurants. The company was founded in 2007 and is based in Montevideo, Uruguay. Arcos Dorados operates under Restaurants classification in the United States and is traded on New York Stock Exchange. The company has 130.66 M outstanding shares of which 2.4 M shares are presently shorted by private and institutional investors with about 2.31 trading days to cover. More on Arcos Dorados Holdings

Moving together with Arcos Stock

+0.61SGSweetgreen Fiscal Quarter End 30th of September 2023 PairCorr
+0.65CCLCarnival Earnings Call This WeekPairCorr

Moving against Arcos Stock

-0.53FUNCedar Fair LP Fiscal Quarter End 30th of September 2023 PairCorr

Arcos Stock Highlights

Most reasonable investors view market volatility as an opportunity to invest at a favorable price or to sell short against a bearish trend. Arcos Dorados' investment highlights are automatically generated signals that are significant enough to either complement your investing judgment regarding Arcos Dorados or challenge it. These highlights can help you better understand the position you are entering and avoid costly mistakes.
CEOMarcelo Rabach
Thematic IdeaRestaurants (view all)
Average Analyst Recommendation
Analysts covering Arcos Dorados report their recommendations after researching Arcos Dorados' financial statements, talking to executives and customers, or listening in on Arcos Dorados' conference calls. The current trade recommendation is based on an ongoing consensus estimate among financial analysts covering Arcos Dorados Holdings. The Arcos consensus assessment is calculated by taking the average forecast from all of the analysts covering Arcos Dorados.
Strong Buy4 Opinions
Piotroski F Score
Piotroski F-Score is a popular financial indicator that puts together nine criteria to evaluate the financial strength of Arcos Dorados Holdings based on its profitability, leverage, liquidity, source of funds, and operating efficiency. It is an academic score (developed by Joseph Piotroski in 2002) to determine the current strength of Arcos Dorados Holdings financial position. Scores of 8 and 9 are usually classified as strong value stocks, whereas scores of 2 or below are considered weak value stocks.
Current ValueLast YearChange From Last Year 10 Year Trend
Weighted Average Shares202.3 M212.9 M
Notably Down
Slightly volatile
Return on Average Assets0.06040.056
Significantly Up
Very volatile
Net Cash Flow from Operations297.3 M345.4 M
Fairly Down
Pretty Stable
Current Liabilities740.8 M759.4 M
Fairly Down
Slightly volatile
Total Liabilities2.1 B2.3 B
Significantly Down
Slightly volatile
Gross Margin0.120.136
Fairly Down
Slightly volatile
Total Debt1.4 B1.6 B
Moderately Down
Slightly volatile
Asset Turnover1.471.452
Fairly Up
Slightly volatile
Current Assets578.5 M684.4 M
Fairly Down
Pretty Stable
Total Assets2.6 B2.6 B
Sufficiently Down
Slightly volatile
Macroaxis Advice
The buy hold or sell recommendation is provided in the context of your current investment horizon and risk tolerance. The advice algorithm takes into account all of Arcos Dorados' available fundamental, technical, and predictive indicators. Your current horizon is 90 days - details
Financial Strength
Arcos Dorados' financial strength is of vital concern to both outside investors and internal stakeholders. Efficiency and cost control are keys to Arcos Dorados' success, along with its ability to generate sufficient cash flow to pay bills, repay debt, and make a consistent year-to-year profit.
Financial leverage usually refers to the use of borrowed funds to amplify returns from an investment. In general, analyzing the relationship between debt to total assets helps investors to understand Arcos Dorados' financial leverage. It provides some insight into what part of Arcos Dorados' total assets is financed by creditors.
By using current balance sheet information, investors can analyze the liability, assets, and equity on Arcos Dorados' books and decide whether to invest or hold. Statistics such as return on equity (ROE), debt to equity (D/E) help investors determine how Arcos Dorados deploys its capital and how much of that capital is borrowed.
Arcos Dorados cash flow analysis is essential to understand how it generates and spends money over a specific period. It can also help you figure out where your money is going and how much cash you have available at a given moment. The company currently holds 1.56 B in liabilities with Debt to Equity (D/E) ratio of 7.4, indicating the company may have difficulties to generate enough cash to satisfy its financial obligations. Arcos Dorados Holdings has a current ratio of 0.84, indicating that it has a negative working capital and may not be able to pay financial obligations when due. Debt can assist Arcos Dorados until it has trouble settling it off, either with new capital or with free cash flow. So, Arcos Dorados' shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like Arcos Dorados Holdings sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for Arcos to invest in growth at high rates of return. When we think about Arcos Dorados' use of debt, we should always consider it together with cash and equity.

Operating Cash Flow

297.33 Million
Arcos Dorados Holdings (ARCO) is traded on New York Stock Exchange in USA. It is located in Dr. Luis Bonavita 1294, Montevideo, Uruguay, 11300 and employs 38 people. Arcos Dorados is listed under Hotels, Restaurants & Leisure category by Fama And French industry classification. The company currently falls under 'Mid-Cap' category with a current market capitalization of 2.05 B. Market capitalization usually refers to the total value of a company's stock within the entire market. To calculate Arcos Dorados's market, we take the total number of its shares issued and multiply it by Arcos Dorados's current market price. To manage market risk and economic uncertainty, many investors today build portfolios that are diversified across equities with different market capitalizations. However, as a general rule, conservative investors tend to hold large-cap stocks, and those looking for more risk prefer small-cap and mid-cap equities. Arcos Dorados Holdings conducts business under Hotels, Restaurants & Leisure sector and is part of Consumer Discretionary industry. The entity has 130.66 M outstanding shares of which 2.4 M shares are presently shorted by private and institutional investors with about 2.31 trading days to cover. Arcos Dorados Holdings currently holds about 289.42 M in cash with 345.44 M of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 1.37.
Check Arcos Dorados Probability Of Bankruptcy
Arcos Dorados Holdings retains a total of 130.66 Million outstanding shares. 30% of Arcos Dorados Holdings outstanding shares are owned by other corporate entities. Institutional investors are typically referred to investors that purchase positions in a given stock to benefit from reduced commissions. Consequently, institutional investors are subject to different rules and regulation than regular investors. Please look out for any change in current institutional holding as this could mean something significant has changed at the company or about to change. Note that regardless of who owns the company, if the true value of the entity is less than the market is willing to pay for it, you may not be able to generate positive returns over time.

Ownership Allocation

Check Arcos Ownership Details

Arcos Stock Price Odds Analysis

Contingent on a normal probability distribution, the odds of Arcos Dorados jumping above the current price in 90 days from now is about 89.44%. The Arcos Dorados Holdings probability density function shows the probability of Arcos Dorados stock to fall within a particular range of prices over 90 days. Given the investment horizon of 90 days the stock has a beta coefficient of 1.8234. This suggests as the benchmark fluctuates upward, the company is expected to outperform it on average. However, if the benchmark returns are projected to be negative, Arcos Dorados will likely underperform. Additionally, the company has an alpha of 0.0872, implying that it can generate a 0.0872 percent excess return over NYSE Composite after adjusting for the inherited market risk (beta).
  Odds Below 9.74HorizonTargetOdds Above 9.74
10.45%90 days
Based on a normal probability distribution, the odds of Arcos Dorados to move above the current price in 90 days from now is about 89.44 (This Arcos Dorados Holdings probability density function shows the probability of Arcos Stock to fall within a particular range of prices over 90 days) .

Arcos Dorados Historical Income Statement

Arcos Dorados Holdings Income Statement is one of the three primary financial statements used for reporting Arcos's overall financial performance over a current year or for a given accounting period. An Income Statement sometimes referred to as the statement of Arcos Dorados Holdings revenue and expense. Arcos Dorados Income Statement primarily focuses on the company's revenues and expenses during a particular period.
Arcos Dorados Operating Income is very stable at the moment as compared to the past year. Arcos Dorados reported last year Operating Income of 264.42 Million View More Fundamentals

Arcos Stock Against Markets

Picking the right benchmark for Arcos Dorados stock is fundamental to making educated investment choices. Many naive investors compare their positions with the S&P 500 or with the Nasdaq. But these benchmarks are not all-inclusive and generally should be used only for large-capitalization equities or stock offerings from large companies. When the price of a selected benchmark declines in a down market, there may be an uptick in Arcos Dorados stock price where buyers come in believing the asset is cheap. The opposite is true when the market is bullish; so, accurately picking the benchmark for Arcos Dorados is critical whether you are bullish or bearish towards Arcos Dorados Holdings at a given time. Please also check how Arcos Dorados' historical prices are related to one of the top price index indicators.

Be your own money manager

Our tools can tell you how much better you can do entering a position in Arcos Dorados without increasing your portfolio risk or giving up the expected return. As an individual investor, you need to find a reliable way to track all your investment portfolios. However, your requirements will often be based on how much of the process you decide to do yourself. In addition to allowing all investors analytical transparency into all their portfolios, our tools can evaluate risk-adjusted returns of your individual positions relative to your overall portfolio.

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Fundamental Analysis

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Arcos Dorados Corporate Directors

Arcos Dorados corporate directors refer to members of an Arcos Dorados board of directors. The board of directors generally takes responsibility for the Arcos Dorados' affairs and long-term direction of the entity. A corporate director does not make decisions for the corporation on his own. As a member of the board of directors, she or he must function as a part of a group that makes decisions on behalf of the business only by the board of directors' meetings. To pass a resolution, a majority of Arcos Dorados' board members must vote for the resolution. The Arcos Dorados board of directors' duties also include the election, removal, and supervision of officers, including the adoption, amendment, and repeal of bylaws.
Michael Chuindependent DirectorProfile
Alfredo Ayubindependent directorsProfile
Sonia RuselerSenior Director - Corporate CommunicationsProfile
Jose Cadavidindependent DirectorProfile

How to buy Arcos Stock?

Before investing in Arcos Dorados, you must ensure you fully understand your financial goals and how diversified (or not) your overall investments are now. Then, after you clearly understand your investment objectives, consider investing in Arcos Dorados. To buy Arcos Dorados stock, you can follow these steps:
  • Choose a brokerage firm: You need to select a brokerage firm to buy shares of Arcos Dorados. Some popular options include Charles Schwab, Fidelity, TD Ameritrade, and Robinhood.
  • Open an account: Once you have chosen a brokerage firm, you will need to open an account. You will be required to provide personal information, such as your name, address, and Social Security number.
  • Fund your account: You will need to deposit funds into your brokerage account to purchase Arcos Dorados stock. You can do this by transferring funds from your bank account or other investment accounts.
  • Place your order: Once you have located Arcos Dorados Holdings stock in your brokerage account, you can place your order to buy it. You will need to specify the number of shares you want to buy and the price you are willing to pay.
  • Monitor your investment: After you have purchased Arcos Dorados Holdings stock, you should monitor your investment to track its performance and make informed decisions about buying, selling, or holding the stock
It's important to note that investing in stocks, such as Arcos Dorados Holdings, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember various factors, including economic indicators, change in net worth, political events, company-specific news, and investor sentiment, can influence the stock market. These factors can cause fluctuations in stock prices and lead to market volatility affecting your buy or sell decision. However, volatility can also present opportunities for investors to make gains by buying stocks when prices are low and selling when they are high. It's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. For more information on how to buy Arcos Stock please use our How to Invest in Arcos Dorados guide.

Already Invested in Arcos Dorados Holdings?

The danger of trading Arcos Dorados Holdings is mainly related to its market volatility and company specific events. As an investor, you must understand the concept of risk-adjusted return before you start trading. The most common way to measure the risk of Arcos Dorados is by using the Sharpe ratio. The ratio expresses how much excess return you acquire for the extra volatility you endure for holding a more risker asset than Arcos Dorados. The Shape ratio is calculated by using standard deviation and excess return to determine reward per unit of risk. To understand how volatile Arcos Dorados Holdings is, you must compare it to a benchmark. Traditionally, the risk-free rate of return is the rate of return on the shortest-dated U.S. Treasury, such as a 3-year bond.
Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Arcos Dorados Holdings. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in interest. Note that the Arcos Dorados Holdings information on this page should be used as a complementary analysis to other Arcos Dorados' statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Transaction History module to view history of all your transactions and understand their impact on performance.

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When running Arcos Dorados' price analysis, check to measure Arcos Dorados' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Arcos Dorados is operating at the current time. Most of Arcos Dorados' value examination focuses on studying past and present price action to predict the probability of Arcos Dorados' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Arcos Dorados' price. Additionally, you may evaluate how the addition of Arcos Dorados to your portfolios can decrease your overall portfolio volatility.
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Is Arcos Dorados' industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Arcos Dorados. If investors know Arcos will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Arcos Dorados listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
Dividend Share
Earnings Share
Revenue Per Share
Quarterly Revenue Growth
The market value of Arcos Dorados Holdings is measured differently than its book value, which is the value of Arcos that is recorded on the company's balance sheet. Investors also form their own opinion of Arcos Dorados' value that differs from its market value or its book value, called intrinsic value, which is Arcos Dorados' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Arcos Dorados' market value can be influenced by many factors that don't directly affect Arcos Dorados' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Arcos Dorados' value and its price as these two are different measures arrived at by different means. Investors typically determine if Arcos Dorados is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Arcos Dorados' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.