Arcos Dorados: Growth at a Discount

Arcos Dorados' stock has remained basically flat this year, as a strong U.S. dollar has weakened the company's earnings, which are derived almost entirely from Latin America. As an example, the company's Brazilian division sales were up almost 11% in 2012 versus the prior year on an organic basis, from $1.8 billion to more than $2.0 billion. However, due to the depreciation of the Brazilian real, the division's revenues actually decreased by $93 million in dollar terms. In the accompanying video, Fool contributor Asit Sharma discusses Arcos' recent results, and why he sees a buying opportunity in Arcos Dorados stock.

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The article Arcos Dorados: Growth at a Discount originally appeared on Fool.com.

Fool contributor Asit Sharma has no position in any stocks mentioned. The Motley Fool recommends Burger King Worldwide and McDonald's. The Motley Fool owns shares of Arcos Dorados and McDonald's. 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 Motley Fool has a disclosure policy.

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