Arcos Dorados (ARCO) Expected to Announce Earnings on Wednesday

Key Points

• Arcos Dorados is set to announce Q2 2025 earnings before the market opens on August 13, with analysts predicting earnings of $0.22 per share and revenue of $1.22 billion.
• The company recently reported a miss in earnings for the last quarter, with earnings of $0.07 per share, below the expected $0.13, despite a revenue beat of $1.08 billion compared to expectations of $1.02 billion.
• JPMorgan Chase downgraded Arcos Dorados from an "overweight" to a "neutral" rating while lowering the price target from $10.50 to $8.80.

Arcos Dorados (NYSE:ARCO - Get Free Report) will likely be posting its Q2 2025 quarterly earnings results before the market opens on Wednesday, August 13th. Analysts expect Arcos Dorados to post earnings of $0.22 per share and revenue of $1.22 billion for the quarter.

Arcos Dorados (NYSE:ARCO - Get Free Report) last issued its quarterly earnings results on Wednesday, May 14th. The restaurant operator reported $0.07 earnings per share for the quarter, missing the consensus estimate of $0.13 by ($0.06). Arcos Dorados had a net margin of 3.00% and a return on equity of 26.70%. The company had revenue of $1.08 billion during the quarter, compared to analyst estimates of $1.02 billion. During the same period in the previous year, the company posted $0.14 EPS. The company's quarterly revenue was down .4% on a year-over-year basis. On average, analysts expect Arcos Dorados to post $1 EPS for the current fiscal year and $1 EPS for the next fiscal year.

Arcos Dorados Trading Down 1.8%

ARCO stock traded down $0.13 during trading on Friday, hitting $6.85. The company had a trading volume of 889,418 shares, compared to its average volume of 1,217,777. The stock has a market cap of $1.44 billion, a PE ratio of 10.54 and a beta of 0.59. The business has a 50-day moving average of $7.39 and a 200-day moving average of $7.64. The company has a current ratio of 0.86, a quick ratio of 0.81 and a debt-to-equity ratio of 1.80. Arcos Dorados has a one year low of $6.51 and a one year high of $10.55.

Arcos Dorados Cuts Dividend

The company also recently disclosed a dividend, which was paid on Friday, June 27th. Stockholders of record on Wednesday, June 25th were given a dividend of $0.06 per share. The ex-dividend date was Tuesday, June 24th. This represents a dividend yield of 313.0%. Arcos Dorados's dividend payout ratio is 36.92%.

Wall Street Analyst Weigh In

Separately, JPMorgan Chase & Co. lowered shares of Arcos Dorados from an "overweight" rating to a "neutral" rating and dropped their target price for the company from $10.50 to $8.80 in a report on Wednesday, July 2nd.

Institutional Investors Weigh In On Arcos Dorados

An institutional investor recently raised its position in Arcos Dorados stock. Jane Street Group LLC grew its stake in shares of Arcos Dorados Holdings Inc. (NYSE:ARCO - Free Report) by 58.3% during the 1st quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The firm owned 309,785 shares of the restaurant operator's stock after purchasing an additional 114,034 shares during the period. Jane Street Group LLC owned approximately 0.15% of Arcos Dorados worth $2,497,000 as of its most recent filing with the Securities and Exchange Commission. Institutional investors own 55.91% of the company's stock.

About Arcos Dorados

Arcos Dorados Holdings Inc operates as a franchisee of McDonald's restaurants. It 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.S.