Added to YB: 2025-08-06
Pitch date: 2025-08-03
ARCO [neutral]
Arcos Dorados Holdings Inc.
+12.58%
current return
Author Info
Scalper's Lounge has a background in mid-office roles and now shares stock ideas in their newsletter. Sign up for the newsletter.
Company Info
Arcos Dorados Holdings Inc. operates as a franchisee of McDonald’s restaurants. The company has the exclusive right to own, operate, and grant franchises of McDonald’s restaurants in 20 countries and territories in Latin America and the Caribbean, including Argentina, Aruba, Brazil, Chile, Colombia, Costa Rica, Curacao, Ecuador, French Guiana, Guadeloupe, Martinique, Mexico, Panama, Peru, Puerto Rico, Trinidad and Tobago, Uruguay, the U.
Market Cap
$1.6B
Pitch Price
$6.57
Price Target
N/A
Dividend
3.13%
EV/EBITDA
5.10
P/E
6.58
EV/Sales
0.75
Sector
Hotels, Restaurants and Leisure
Category
value
Sunday Market Prep - Ideas: Arcos Dorados Holdings Inc.
ARCO (quick overview): Largest McDonald's master franchisee in Latin America (mainly Brazil). Trading <10x lowest estimates despite hitting price target. Red flags: lack of transparency on royalty agreement with McDonald's, potential brand decline in region. Still interested.
Read full article (1 min)