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Arcos Dorados Holdings ( (ARCO) ) just unveiled an announcement.
On March 19, 2026, Arcos Dorados reported its fourth-quarter and full-year 2025 results, highlighting total revenue of $1.3 billion for the quarter and $4.7 billion for the year, up 10.7% and 4.7% in U.S. dollars, respectively versus 2024. Systemwide comparable sales rose 16.0% in the quarter and 13.0% for the year, broadly tracking blended inflation, while consolidated Adjusted EBITDA reached a record $575.2 million and net income totaled $212.1 million for 2025.
Digital channels remained a key growth engine, accounting for 61% of 2025 systemwide sales and 62% in the fourth quarter, supported by self-order kiosks, delivery and a loyalty program that reached 27.2 million members across nine countries by year-end. The company expanded its footprint with 102 restaurant openings in 2025, exceeding guidance while cutting total capex versus 2024, secured a $159 million net tax benefit in Brazil expected to convert to cash over five years, and the board declared a 2026 cash dividend of $0.28 per share, underscoring confidence in continued profitable growth.
The most recent analyst rating on (ARCO) stock is a Hold with a $9.00 price target. To see the full list of analyst forecasts on Arcos Dorados Holdings stock, see the ARCO Stock Forecast page.
Spark’s Take on ARCO Stock
According to Spark, TipRanks’ AI Analyst, ARCO is a Outperform.
Arcos Dorados Holdings demonstrates strong revenue growth and operational efficiency, supported by positive technical indicators and a reasonable valuation. The earnings call provided a positive outlook with record revenue and digital growth, although challenges with input costs and profitability margins remain. High leverage and cash flow management issues are risks that need addressing.
To see Spark’s full report on ARCO stock, click here.
More about Arcos Dorados Holdings
Arcos Dorados Holdings Inc., headquartered in Montevideo, Uruguay, is Latin America and the Caribbean’s largest restaurant chain and the world’s largest independent McDonald’s franchisee. The company operates more than 2,500 restaurants across 21 countries and territories, serving over 4 million guests daily with a strong focus on digital channels and loyalty-driven quick-service offerings.
Its business model combines company-operated and franchised restaurants, underpinned by a heavy emphasis on mobile app ordering, delivery and self-order kiosks, and a region-wide loyalty program now active in all its main markets. This digital and scale-driven strategy supports its industry-leading market share in the region’s quick-service restaurant sector.
Average Trading Volume: 1,367,609
Technical Sentiment Signal: Buy
Current Market Cap: $1.62B
See more data about ARCO stock on TipRanks’ Stock Analysis page.