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Arcos Dorados (ARCO) Stock Moves -0.29%: What You Should Know
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Arcos Dorados (ARCO - Free Report) closed at $6.80 in the latest trading session, marking a -0.29% move from the prior day. This move was narrower than the S&P 500's daily loss of 1.65%. Elsewhere, the Dow lost 1.02%, while the tech-heavy Nasdaq added 0.16%.
Prior to today's trading, shares of the restaurant owner had lost 10.73% over the past month. This has was narrower than the Retail-Wholesale sector's loss of 16.69% and the S&P 500's loss of 10.86% in that time.
Investors will be hoping for strength from Arcos Dorados as it approaches its next earnings release, which is expected to be May 18, 2022. On that day, Arcos Dorados is projected to report earnings of $0.05 per share, which would represent year-over-year growth of 135.71%. Meanwhile, our latest consensus estimate is calling for revenue of $731.07 million, up 30.59% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $0.40 per share and revenue of $3.09 billion, which would represent changes of +66.67% and +16.58%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Arcos Dorados. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 2.59% higher within the past month. Arcos Dorados is currently a Zacks Rank #1 (Strong Buy).
In terms of valuation, Arcos Dorados is currently trading at a Forward P/E ratio of 17.19. This valuation marks a discount compared to its industry's average Forward P/E of 20.76.
We can also see that ARCO currently has a PEG ratio of 0.55. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Retail - Restaurants stocks are, on average, holding a PEG ratio of 1.85 based on yesterday's closing prices.
The Retail - Restaurants industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 208, putting it in the bottom 18% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Arcos Dorados (ARCO) Stock Moves -0.29%: What You Should Know
Arcos Dorados (ARCO - Free Report) closed at $6.80 in the latest trading session, marking a -0.29% move from the prior day. This move was narrower than the S&P 500's daily loss of 1.65%. Elsewhere, the Dow lost 1.02%, while the tech-heavy Nasdaq added 0.16%.
Prior to today's trading, shares of the restaurant owner had lost 10.73% over the past month. This has was narrower than the Retail-Wholesale sector's loss of 16.69% and the S&P 500's loss of 10.86% in that time.
Investors will be hoping for strength from Arcos Dorados as it approaches its next earnings release, which is expected to be May 18, 2022. On that day, Arcos Dorados is projected to report earnings of $0.05 per share, which would represent year-over-year growth of 135.71%. Meanwhile, our latest consensus estimate is calling for revenue of $731.07 million, up 30.59% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $0.40 per share and revenue of $3.09 billion, which would represent changes of +66.67% and +16.58%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Arcos Dorados. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 2.59% higher within the past month. Arcos Dorados is currently a Zacks Rank #1 (Strong Buy).
In terms of valuation, Arcos Dorados is currently trading at a Forward P/E ratio of 17.19. This valuation marks a discount compared to its industry's average Forward P/E of 20.76.
We can also see that ARCO currently has a PEG ratio of 0.55. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Retail - Restaurants stocks are, on average, holding a PEG ratio of 1.85 based on yesterday's closing prices.
The Retail - Restaurants industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 208, putting it in the bottom 18% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.