Arcos Dorados Holdings Inc (ARCO) Beta Value: Understanding the Market Risk

The price-to-earnings ratio for Arcos Dorados Holdings Inc (NYSE: ARCO) is above average at 12.83x. The 36-month beta value for ARCO is also noteworthy at 1.27. There are mixed opinions on the stock, with 2 analysts rating it as a “buy,” 2 rating it as “overweight,” 0 rating it as “hold,” and 0 rating it as “sell.”

The public float for ARCO is 124.05M, and at present, short sellers hold a 2.68% of that float. The average trading volume of ARCO on April 04, 2024 was 1.03M shares.

3 Tiny Stocks Primed to Explode The world's greatest investor — Warren Buffett — has a simple formula for making big money in the markets. He buys up valuable assets when they are very cheap. For stock market investors that means buying up cheap small cap stocks like these with huge upside potential.

We've set up an alert service to help smart investors take full advantage of the small cap stocks primed for big returns.

Click here for full details and to join for free
Sponsored

ARCO) stock’s latest price update

The stock price of Arcos Dorados Holdings Inc (NYSE: ARCO) has plunged by -0.99 when compared to previous closing price of 11.07, but the company has seen a 2.05% gain in its stock price over the last five trading sessions. Zacks Investment Research reported 2024-03-21 that In the closing of the recent trading day, Arcos Dorados (ARCO) stood at $11.25, denoting a +0.63% change from the preceding trading day.

ARCO’s Market Performance

Arcos Dorados Holdings Inc (ARCO) has experienced a 2.05% rise in stock performance for the past week, with a -6.64% drop in the past month, and a -10.31% drop in the past quarter. The volatility ratio for the week is 2.25%, and the volatility levels for the past 30 days are at 3.41% for ARCO. The simple moving average for the past 20 days is -3.03% for ARCO’s stock, with a 0.62% simple moving average for the past 200 days.

Analysts’ Opinion of ARCO

Many brokerage firms have already submitted their reports for ARCO stocks, with Jefferies repeating the rating for ARCO by listing it as a “Buy.” The predicted price for ARCO in the upcoming period, according to Jefferies is $15 based on the research report published on December 01, 2023 of the previous year 2023.

Barclays, on the other hand, stated in their research note that they expect to see ARCO reach a price target of $9. The rating they have provided for ARCO stocks is “Overweight” according to the report published on September 27th, 2022.

HSBC Securities gave a rating of “Hold” to ARCO, setting the target price at $8 in the report published on April 04th of the previous year.

ARCO Trading at -7.08% from the 50-Day Moving Average

After a stumble in the market that brought ARCO to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -16.97% of loss for the given period.

Volatility was left at 3.41%, however, over the last 30 days, the volatility rate increased by 2.25%, as shares sank -5.27% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -10.53% lower at present.

During the last 5 trading sessions, ARCO rose by +2.05%, which changed the moving average for the period of 200-days by +17.34% in comparison to the 20-day moving average, which settled at $11.27. In addition, Arcos Dorados Holdings Inc saw -13.63% in overturn over a single year, with a tendency to cut further losses.

Stock Fundamentals for ARCO

Current profitability levels for the company are sitting at:

  • 0.07 for the present operating margin
  • 0.14 for the gross margin

The net margin for Arcos Dorados Holdings Inc stands at 0.04. The total capital return value is set at 0.14. Equity return is now at value 43.22, with 6.41 for asset returns.

Based on Arcos Dorados Holdings Inc (ARCO), the company’s capital structure generated 0.79 points at debt to capital in total, while cash flow to debt ratio is standing at 0.18. The debt to equity ratio resting at 3.66. The interest coverage ratio of the stock is 10.11.

Currently, EBITDA for the company is 264.42 million with net debt to EBITDA at 4.21. When we switch over and look at the enterprise to sales, we see a ratio of 0.9. The receivables turnover for the company is 25.25for trailing twelve months and the total asset turnover is 1.47. The liquidity ratio also appears to be rather interesting for investors as it stands at 0.77.

Conclusion

In summary, Arcos Dorados Holdings Inc (ARCO) has had a mixed performance as of late. Analysts have bullish opinions on the stock, with some viewing it as a “buy” and others as a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.

Related Posts