ARCO vs. WING, RRR, ATAT, SHAK, HGV, TNL, SG, BH.A, PK, and HDL
Should you be buying Arcos Dorados stock or one of its competitors? The main competitors of Arcos Dorados include Wingstop (WING), Red Rock Resorts (RRR), Atour Lifestyle (ATAT), Shake Shack (SHAK), Hilton Grand Vacations (HGV), Travel + Leisure (TNL), Sweetgreen (SG), Biglari (BH.A), Park Hotels & Resorts (PK), and Super Hi International (HDL). These companies are all part of the "restaurants, hotels, motels" industry.
Arcos Dorados vs.
Wingstop (NASDAQ:WING) and Arcos Dorados (NYSE:ARCO) are both retail/wholesale companies, but which is the better investment? We will contrast the two companies based on the strength of their community ranking, institutional ownership, dividends, earnings, risk, analyst recommendations, valuation, profitability and media sentiment.
Wingstop has a net margin of 17.37% compared to Arcos Dorados' net margin of 3.25%. Arcos Dorados' return on equity of 29.74% beat Wingstop's return on equity.
55.9% of Arcos Dorados shares are held by institutional investors. 0.4% of Wingstop shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.
Arcos Dorados has higher revenue and earnings than Wingstop. Arcos Dorados is trading at a lower price-to-earnings ratio than Wingstop, indicating that it is currently the more affordable of the two stocks.
Wingstop has a beta of 2.01, indicating that its share price is 101% more volatile than the S&P 500. Comparatively, Arcos Dorados has a beta of 1.09, indicating that its share price is 9% more volatile than the S&P 500.
Wingstop received 328 more outperform votes than Arcos Dorados when rated by MarketBeat users. Likewise, 61.76% of users gave Wingstop an outperform vote while only 55.31% of users gave Arcos Dorados an outperform vote.
Wingstop presently has a consensus target price of $350.73, indicating a potential upside of 50.94%. Arcos Dorados has a consensus target price of $12.00, indicating a potential upside of 65.84%. Given Arcos Dorados' stronger consensus rating and higher possible upside, analysts plainly believe Arcos Dorados is more favorable than Wingstop.
Wingstop pays an annual dividend of $1.08 per share and has a dividend yield of 0.5%. Arcos Dorados pays an annual dividend of $0.24 per share and has a dividend yield of 3.3%. Wingstop pays out 29.1% of its earnings in the form of a dividend. Arcos Dorados pays out 33.3% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.
In the previous week, Wingstop had 21 more articles in the media than Arcos Dorados. MarketBeat recorded 24 mentions for Wingstop and 3 mentions for Arcos Dorados. Wingstop's average media sentiment score of 0.82 beat Arcos Dorados' score of 0.34 indicating that Wingstop is being referred to more favorably in the media.
Summary
Wingstop beats Arcos Dorados on 13 of the 20 factors compared between the two stocks.
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New MarketBeat Followers Over Time
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Media Sentiment Over Time
This chart shows the average media sentiment of NYSE and its competitors over the past 90 days as caculated by MarketBeat. The averaged score is equivalent to the following: Very Negative Sentiment <= -1.5, Negative Sentiment > -1.5 and <= -0.5, Neutral Sentiment > -0.5 and < 0.5, Positive Sentiment >= 0.5 and < 1.5, and Very Positive Sentiment >= 1.5.
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This page (NYSE:ARCO) was last updated on 4/4/2025 by MarketBeat.com Staff
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