Metric Deep Dive: Understanding Arcos Dorados Holdings Inc (ARCO) Through its Ratios

Kiel Thompson

Those aiming for above-average market returns often engage in the meticulous process of stock picking. Choosing the right stocks can make a substantial difference in your wealth.

After finishing at $7.06 in the prior trading day, Arcos Dorados Holdings Inc (NYSE: ARCO) closed at $6.94, down -1.70%. In other words, the price has decreased by -$1.70 from its previous closing price. On the day, 1.17 million shares were traded. ARCO stock price reached its highest trading level at $7.02 during the session, while it also had its lowest trading level at $6.94.

Ratios:

Our goal is to gain a better understanding of ARCO by taking a closer look at its different ratios. For the most recent quarter (mrq), Quick Ratio is recorded 0.73 and its Current Ratio is at 0.80. In the meantime, Its Debt-to-Equity ratio is 3.49 whereas as Long-Term Debt/Eq ratio is at 3.25.

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:

The insider trade also gives investors a glimpse into the future direction of stock prices, which can be beneficial to investors. A recent insider transaction in this stock occurred on Mar 17 ’25 when Rabach Marcelo bought 100,000 shares for $8.34 per share.

BASTIDAS SALDARRIAGA JUAN DAVI bought 7,889 shares of ARCO for $64,274 on Nov 27 ’24.

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 1462001664 and an Enterprise Value of 3251781632. As of this moment, Arcos’s Price-to-Earnings (P/E) ratio for their current fiscal year is 11.24, and their Forward P/E ratio for the next fiscal year is 10.06. The expected Price-to-Earnings-to-Growth (PEG) calculation for the next 5 years is 1.82. 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 2.52. Its current Enterprise Value per Revenue stands at 0.723 whereas that against EBITDA is 6.851.

Stock Price History:

The Beta on a monthly basis for ARCO is 0.47, which has changed by -0.18757194 over the last 52 weeks, in comparison to a change of 0.15566266 over the same period for the S&P500. Over the past 52 weeks, ARCO has reached a high of $8.88, while it has fallen to a 52-week low of $6.51. The 50-Day Moving Average of the stock is -0.31%, while the 200-Day Moving Average is calculated to be -6.81%.

Shares Statistics:

The stock has traded on average 1.33M shares per day over the past 3-months and 1164270 shares per day over the last 10 days, according to various share statistics. 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 42.21% stake in the company. Shares short for ARCO as of 1760486400 were 4102100 with a Short Ratio of 3.09, compared to 1757894400 on 4046016. Therefore, it implies a Short% of Shares Outstanding of 4102100 and a Short% of Float of 3.9800000000000004.

Earnings Estimates

As of right now, 2.0 analysts gave their recommendation on the stock of the company. The consensus estimate for the next quarter is $0.26, with high estimates of $0.26 and low estimates of $0.26.

Analysts are recommending an EPS of between $0.58 and $0.51 for the fiscal current year, implying an average EPS of $0.56. EPS for the following year is $0.69, with 7.0 analysts recommending between $0.83 and $0.62.

Revenue Estimates

4 analysts predict $1.21B in revenue for. The current quarter. It ranges from a high estimate of $1.28B to a low estimate of $1.18B. As of. The current estimate, Arcos Dorados Holdings Inc’s year-ago sales were $1.13BFor the next quarter, 4 analysts are estimating revenue of $1.28B. There is a high estimate of $1.33B for the next quarter, whereas the lowest estimate is $1.23B.

A total of 8 analysts have provided revenue estimates for ARCO’s current fiscal year. The highest revenue estimate was $4.83B, while the lowest revenue estimate was $4.6B, resulting in an average revenue estimate of $4.7B. In the same quarter a year ago, actual revenue was $4.47BBased on 8 analysts’ estimates, the company’s revenue will be $5.05B in the next fiscal year. The high estimate is $5.32B and the low estimate is $4.81B.

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