5-Star Stocks Poised to Pop: Arcos Dorados
Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, Arcos Dorados Holdings (NYS: ARCO) , which operates McDonald's (NYS: MCD) franchises in Latin America, has earned a coveted five-star ranking.
With that in mind, let's take a closer look at Arcos Dorados' business and see what CAPS investors are saying about the stock right now.
Arcos Dorados facts
|Headquarters (founded)||Buenos Aires, Argentina (2007)|
|Market Cap||$4.2 billion|
|Trailing-12-Month Revenue||$3.7 billion|
|Management||Chairman/CEO Woods Staton|
CFO German Lemonnier
|Trailing-12-Month Return on Equity||18.8%|
|Cash/Debt||$176.3 million / $532.3 million|
|Competitors||Brazil Fast Food|
Burger King Holdings
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 99% of the 317 members who have rated Arcos Dorados believe the stock will outperform the S&P 500 going forward.
Bright future in Brazil: Currently Brazil accounts for roughly 55% of the sales and one of the highest growing regions for [Arcos Dorados]. With the upcoming World Cup and Olympics to follow the next 5-10 years could be a boom for the company if management can manage the growth without allowing expenses to overrun sales.
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At the time this article was published Fool contributor Brian Pacampara owns no position in any of the companies mentioned. The Motley Fool owns shares of Arcos Dorados. Motley Fool newsletter services have recommended buying shares of Arcos Dorados. Try any of our Foolish newsletter services free for 30 days.We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Fool's disclosure policy always gets a perfect score.