Here are three stocks added to the Zacks Rank #5 (Strong Sell) List today:Arcos Dorados Holdings Inc. (ARCO) is a franchisee of McDonald’s restaurants. The Zacks Consensus Estimate for its current year earnings has been 2.3% downward over the last 60 days.Herc Holdings Inc. (HRI) is an equipment rental supplier. The Zacks Consensus Estimate for its current year earnings has been revised 3.4% downward over the last 60 days.Nissan Motor Co., Ltd. (NSANY) is an automobile manufacturing giant. The Zacks Consens ...

Group 1 - BRP (DOOO) has seen a 21.2% downward revision in the Zacks Consensus Estimate for its current year earnings over the last 60 days [1] - Core & Main (CNM) experienced a 10.4% downward revision in the Zacks Consensus Estimate for its current year earnings over the last 60 days [1] - Arcos Dorados (ARCO) had a nearly 7.4% downward revision in the Zacks Consensus Estimate for its current year earnings over the last 60 days [1]

Arcos Dorados Holdings Inc. (ARCO) reported first-quarter 2024 results, with revenues beating the Zacks Consensus Estimate. The top line increased year-over-year, while the bottom line fell from the prior-year quarter’s figure.During the quarter, the company stated benefits from the integration of the business model with the Three-D's strategy (Digital, Delivery, and Drive-thru). Also, the emphasis on pricing, product assortment and guest traffic management resulted in comparable sales growth exceeding infl ...

Arcos Dorados 1Q24 Results May 15, 2024 Disclaimer This presentation contains forward-looking statements that represent our beliefs, projections and predictions about future events or our future performance. Forward-looking statements can be identified by terminology such as "may," "will," "would," "could," "should," "expect," "intend," "plan," "anticipate," "believe," "estimate," "predict," "potential," "continue" or the negative of these terms or other similar expressions or phrases. These forward-looking ...

Financial Data and Key Metrics Changes - Total revenue increased by 9.1% in Q1 2024, supported by 12 consecutive quarters of positive guest traffic at the consolidated level [8][18] - System-wide comparable sales rose above inflation, up 2.2 times blended inflation for the entire company, excluding Argentina [8][18] - First quarter adjusted EBITDA grew almost 27% from $59.5 million to $75.4 million, with EBITDA margin increasing by 90 basis points from 15.9% to 16.8% [37][18] Business Line Data and Key Metrics Changes - In Brazil, comparable sales rose 9.4%, with digital sales growing 38% and accounting for 65% of total sales [10][11] - NOLAD's comparable sales grew more than three times blended inflation, driven primarily by guest volume growth, particularly in Mexico [12][13] - SLAD's comparable sales grew at 1.8 times blended inflation, excluding Argentina, with strong performance in Chile, Colombia, and Uruguay [14][16] Market Data and Key Metrics Changes - Brazil's digital sales grew by more than 44% in U.S. dollars, significantly outperforming competitors [22][23] - Argentina experienced a consumption decline of 20% to 30%, but Arcos Dorados volumes declined at about half that rate, gaining market share [14][41] - NOLAD's digital channel sales doubled compared to the previous year, with the McDonald's app becoming the most downloaded in the QSR industry in Mexico [13][22] Company Strategy and Development Direction - The company aims to generate sustainable profitability growth over the long term, focusing on a balanced approach to pricing, product mix, and guest volumes [6][29] - The 3D strategy of Digital, Delivery, and Drive-thru continues to drive performance, with digital channels accounting for 55% of system-wide sales [21][22] - The company plans to invest in the McDonald's brand for many years, accelerating restaurant openings and modernizing existing stores [6][26] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to navigate challenging economic conditions, particularly in Argentina, while leveraging a diversified market presence [41][43] - The macroeconomic environment remains challenging, but the company expects to generate strong full-year results by focusing on operational efficiencies and market share growth [20][21] - Management highlighted the importance of digitalization and customer engagement through loyalty programs, which have seen significant growth [24][72] Other Important Information - The company opened 22 restaurants in Q1 2024, on pace to meet full-year guidance, with capital expenditures of approximately $61 million [26][25] - The effective tax rate for Q1 2024 was 39.7%, higher than the previous year's 35.8%, with expectations of a consolidated rate between 35% and 40% for the full year [51][49] - The company is committed to sustainability, with over 30% of energy usage coming from renewable sources [28] Q&A Session Summary Question: Breakdown of ticket and traffic driving comparable sales growth in Brazil - Management indicated that guest volumes rose low single digits, with pricing in line with inflation and improved product mix due to digital and loyalty sales [32] Question: Contribution of delivery sales channels to gross and EBITDA margins in Brazil - Delivery sales grew 44%, with all channels showing positive growth, and the contribution to EBITDA margins was positive [34][36] Question: Traffic evolution in Argentina and expectations for the rest of the year - Consumption in Argentina declined significantly, but Arcos Dorados volumes declined at a lower rate, positioning the company well for recovery [40][41] Question: Impact of higher interest rates on expansion plans - The company plans to continue its long-term investment strategy, focusing on free-standing units and digital improvements, expecting above-average returns [44][45] Question: Evolution of competitive landscape in Brazil and Mexico - The company gained market share despite increased competition, focusing on a compelling value proposition and leveraging a favorable cost environment [46][48] Question: Cash burn during the quarter - Cash flow dynamics were impacted by seasonality and accelerated capital expenditures, but operating cash generation remained in line with prior periods [64][66] Question: Restaurant operational KPIs in Brazil - Positive evolution in operational KPIs, with a 20% reduction in turnover and significant improvements in speed and accuracy [68][69] Question: Successful CRM strategies and early successes - Digital sales grew significantly, driven by new app functionalities and loyalty program engagement, with a notable increase in registered members [70][72]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 6-K REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 OR 15d-16 UNDER THE SECURITIES EXCHANGE ACT OF 1934 For the month of May, 2024 Commission File Number: 001-35129 Arcos Dorados Holdings Inc. (Exact name of registrant as specified in its charter) Río Negro 1338, First Floor Montevideo, Uruguay, 11100 (Address of principal executive office) Indicate by check mark whether the registrant files or will file annual reports und ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 20-F (Mark One) ☐ REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR (g) OF THE SECURITIES EXCHANGE ACT OF 1934 OR ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 OR ☐ SHELL COMPANY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 19 ...

Several different food-related exchange traded funds (ETFs) are available that dabble in restaurant stocks. The largest is the Invesco Leisure and Entertainment ETF (NYSEARCA:PEJ), with net assets of $298 million. However, only four out of its 31 holdings are pure-play restaurant stocks. An industry-specific ETF to select for restaurant stocks would be the AdvisorShares Restaurant ETF (NYSEARCA:EATZ). With an appropriately designated stock symbol, EATZ is actively managed and is entirely made up of restaura ...

The most recent trading session ended with Arcos Dorados (ARCO) standing at $11.25, reflecting a +0.63% shift from the previouse trading day's closing. The stock exceeded the S&P 500, which registered a gain of 0.32% for the day. Elsewhere, the Dow saw an upswing of 0.68%, while the tech-heavy Nasdaq appreciated by 0.2%.The restaurant owner's shares have seen a decrease of 4.12% over the last month, not keeping up with the Retail-Wholesale sector's gain of 5.25% and the S&P 500's gain of 5.11%.Investors wil ...

Arcos Dorados Holdings Inc. (ARCO) reported fourth-quarter 2023 results, with revenues beating the Zacks Consensus Estimate. The top and the bottom line increased on a year-over-year basis.During the quarter, the company reported increased visit frequency and market share gains, with the Three D’s strategy driving sustainable sales growth supported by restaurant volume and average checks. Also, it reported benefits from the expansion of Digital channels facilitated by a mobile app, growing Delivery sales an ...