Insider’s View: Deciphering Arcos Dorados Holdings Inc (ARCO)’s Financial Health Through Ratios

Abby Carey

Investors seeking to outperform the market often focus on hand-picking stocks. Selecting the right ones has proven to be a key factor in boosting wealth.

The price of Arcos Dorados Holdings Inc (NYSE: ARCO) closed at $7.14 in the last session, down -0.83% from day before closing price of $7.2. In other words, the price has decreased by -$0.83 from its previous closing price. On the day, 0.72 million shares were traded. ARCO stock price reached its highest trading level at $7.2 during the session, while it also had its lowest trading level at $7.1.

Ratios:

We take a closer look at ARCO’s different ratios to gain a better understanding of the stock. It provided that stocks Price–to–Cash (P/C) ratio for the trailing twelve months (TTM) is standing at 5.86 whereas its Price-to-Free Cash Flow (P/FCF) for the term is 513.35. For the most recent quarter (mrq), Quick Ratio is recorded 0.81 and its Current Ratio is at 0.89. In the meantime, Its Debt-to-Equity ratio is 2.77 whereas as Long-Term Debt/Eq ratio is at 2.62.

On December 01, 2023, Jefferies started tracking the stock assigning a Buy rating and target price of $15.

On September 27, 2022, Barclays started tracking the stock assigning a Overweight rating and target price of $9.Barclays initiated its Overweight rating on September 27, 2022, with a $9 target price.

Insider Transactions:

An investor can also benefit from insider trades by learning what management is thinking about the future direction of stock prices. A recent insider transaction in this stock occurred on Mar 17 ’25 when Rabach Marcelo bought 100,000 shares for $8.34 per share.

Valuation Measures:

Investors should consider key stock statistics when deciding whether to invest or divest. In the wake of the recent closing price, ARCO now has a Market Capitalization of 1504134144 and an Enterprise Value of 3310998272. As of this moment, Arcos’s Price-to-Earnings (P/E) ratio for their current fiscal year is 6.13, and their Forward P/E ratio for the next fiscal year is 10.45. The expected Price-to-Earnings-to-Growth (PEG) calculation for the next 5 years is 1.97. For the stock, the TTM Price-to-Sale (P/S) ratio is 0.33 while its Price-to-Book (P/B) ratio in mrq is 2.02. Its current Enterprise Value per Revenue stands at 0.727 whereas that against EBITDA is 6.05.

Stock Price History:

The Beta on a monthly basis for ARCO is 0.47, which has changed by -0.033557057 over the last 52 weeks, in comparison to a change of 0.13153219 over the same period for the S&P500. Over the past 52 weeks, ARCO has reached a high of $8.52, while it has fallen to a 52-week low of $6.51. The 50-Day Moving Average of the stock is -1.57%, while the 200-Day Moving Average is calculated to be -2.85%.

Shares Statistics:

According to the various share statistics, ARCO traded on average about 1.13M shares per day over the past 3-months and 767900 shares per day over the past 10 days. A total of 130.66M shares are outstanding, with a floating share count of 121.07M. Insiders hold about 42.53% of the company’s shares, while institutions hold 43.54% stake in the company. Shares short for ARCO as of 1764288000 were 4393328 with a Short Ratio of 3.89, compared to 1761868800 on 3610992. Therefore, it implies a Short% of Shares Outstanding of 4393328 and a Short% of Float of 4.2600001999999995.

Earnings Estimates

The company has 1.0 analysts who recommend its stock at the moment. The consensus estimate for the next quarter is $0.11, with high estimates of $0.11 and low estimates of $0.11.

Analysts are recommending an EPS of between $1.11 and $0.47 for the fiscal current year, implying an average EPS of $0.7. EPS for the following year is $0.67, with 7.0 analysts recommending between $0.77 and $0.61.

Revenue Estimates

According to 1 analysts,. The current quarter’s revenue is expected to be $1.26B. It ranges from a high estimate of $1.26B to a low estimate of $1.26B. As of. The current estimate, Arcos Dorados Holdings Inc’s year-ago sales were $1.14BFor the next quarter, 1 analysts are estimating revenue of $1.18B. There is a high estimate of $1.18B for the next quarter, whereas the lowest estimate is $1.18B.

A total of 6 analysts have provided revenue estimates for ARCO’s current fiscal year. The highest revenue estimate was $4.74B, while the lowest revenue estimate was $4.65B, resulting in an average revenue estimate of $4.69B. In the same quarter a year ago, actual revenue was $4.47BBased on 9 analysts’ estimates, the company’s revenue will be $5.01B in the next fiscal year. The high estimate is $5.19B and the low estimate is $4.84B.

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