Arcos Dorados (Germany) Probability of Future Stock Price Finishing Under 7.57
| AD8 Stock | EUR 7.28 0.29 3.83% |
Arcos |
Arcos Dorados Target Price Odds to finish below 7.57
The tendency of Arcos Stock price to converge on an average value over time is a known aspect in finance that investors have used since the beginning of the stock market for forecasting. However, many studies suggest that some traded equity instruments are consistently mispriced before traders' demand and supply correct the spread. One possible conclusion to this anomaly is that these stocks have additional risk, for which investors demand compensation in the form of extra returns.
| Current Price | Horizon | Target Price | Odds to stay under € 7.57 after 90 days |
| 7.28 | 90 days | 7.57 | about 18.87 |
Based on a normal probability distribution, the odds of Arcos Dorados to stay under € 7.57 after 90 days from now is about 18.87 (This Arcos Dorados Holdings probability density function shows the probability of Arcos Stock to fall within a particular range of prices over 90 days) . Probability of Arcos Dorados Holdings price to stay between its current price of € 7.28 and € 7.57 at the end of the 90-day period is about 11.92 .
Assuming the 90 days horizon Arcos Dorados has a beta of 0.64. This suggests as returns on the market go up, Arcos Dorados average returns are expected to increase less than the benchmark. However, during the bear market, the loss on holding Arcos Dorados Holdings will be expected to be much smaller as well. Additionally Arcos Dorados Holdings has a negative alpha, implying that the risk taken by holding this instrument is not justified. The company is significantly underperforming the Dow Jones Industrial. Arcos Dorados Price Density |
| Price |
Predictive Modules for Arcos Dorados
There are currently many different techniques concerning forecasting the market as a whole, as well as predicting future values of individual securities such as Arcos Dorados Holdings. Regardless of method or technology, however, to accurately forecast the stock market is more a matter of luck rather than a particular technique. Nevertheless, trying to predict the stock market accurately is still an essential part of the overall investment decision process. Using different forecasting techniques and comparing the results might improve your chances of accuracy even though unexpected events may often change the market sentiment and impact your forecasting results.Arcos Dorados Risk Indicators
For the most part, the last 10-20 years have been a very volatile time for the stock market. Arcos Dorados is not an exception. The market had few large corrections towards the Arcos Dorados' value, including both sudden drops in prices as well as massive rallies. These swings have made and broken many portfolios. An investor can limit the violent swings in their portfolio by implementing a hedging strategy designed to limit downside losses. If you hold Arcos Dorados Holdings, one way to have your portfolio be protected is to always look up for changing volatility and market elasticity of Arcos Dorados within the framework of very fundamental risk indicators.α | Alpha over Dow Jones | -0.04 | |
β | Beta against Dow Jones | 0.64 | |
σ | Overall volatility | 0.49 | |
Ir | Information ratio | -0.02 |
Arcos Dorados Alerts and Suggestions
In today's market, stock alerts give investors the competitive edge they need to time the market and increase returns. Checking the ongoing alerts of Arcos Dorados for significant developments is a great way to find new opportunities for your next move. Suggestions and notifications for Arcos Dorados Holdings can help investors quickly react to important events or material changes in technical or fundamental conditions and significant headlines that can affect investment decisions.| Arcos Dorados generated a negative expected return over the last 90 days | |
| Arcos Dorados Holdings has accumulated 739.22 M in total debt with debt to equity ratio (D/E) of 9.71, indicating the company may have difficulties to generate enough cash to satisfy its financial obligations. Arcos Dorados Holdings has a current ratio of 0.78, indicating that it has a negative working capital and may not be able to pay financial obligations in time and when they become due. Debt can assist Arcos Dorados until it has trouble settling it off, either with new capital or with free cash flow. So, Arcos Dorados' shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like Arcos Dorados Holdings sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for Arcos to invest in growth at high rates of return. When we think about Arcos Dorados' use of debt, we should always consider it together with cash and equity. |
Arcos Dorados Price Density Drivers
Market volatility will typically increase when nervous long traders begin to feel the short-sellers pressure to drive the market lower. The future price of Arcos Stock often depends not only on the future outlook of the current and potential Arcos Dorados' investors but also on the ongoing dynamics between investors with different trading styles. Because the market risk indicators may have small false signals, it is better to identify suitable times to hedge a portfolio using different long/short signals. Arcos Dorados' indicators that are reflective of the short sentiment are summarized in the table below.
| Common Stock Shares Outstanding | 210.5 M |
Arcos Dorados Technical Analysis
Arcos Dorados' future price can be derived by breaking down and analyzing its technical indicators over time. Arcos Stock technical analysis helps investors analyze different prices and returns patterns as well as diagnose historical swings to determine the real value of Arcos Dorados Holdings. In general, you should focus on analyzing Arcos Stock price patterns and their correlations with different microeconomic environments and drivers.
Arcos Dorados Predictive Forecast Models
Arcos Dorados' time-series forecasting models is one of many Arcos Dorados' stock analysis techniques aimed to predict future share value based on previously observed values. Time-series forecasting models are widely used for non-stationary data. Non-stationary data are called the data whose statistical properties, e.g., the mean and standard deviation, are not constant over time, but instead, these metrics vary over time. This non-stationary Arcos Dorados' historical data is usually called time series. Some empirical experimentation suggests that the statistical forecasting models outperform the models based exclusively on fundamental analysis to predict the direction of the stock market movement and maximize returns from investment trading.
Things to note about Arcos Dorados Holdings
Checking the ongoing alerts about Arcos Dorados for important developments is a great way to find new opportunities for your next move. Our stock alerts and notifications screener for Arcos Dorados Holdings help investors to be notified of important events, changes in technical or fundamental conditions, and significant headlines that can affect investment decisions.
| Arcos Dorados generated a negative expected return over the last 90 days | |
| Arcos Dorados Holdings has accumulated 739.22 M in total debt with debt to equity ratio (D/E) of 9.71, indicating the company may have difficulties to generate enough cash to satisfy its financial obligations. Arcos Dorados Holdings has a current ratio of 0.78, indicating that it has a negative working capital and may not be able to pay financial obligations in time and when they become due. Debt can assist Arcos Dorados until it has trouble settling it off, either with new capital or with free cash flow. So, Arcos Dorados' shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like Arcos Dorados Holdings sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for Arcos to invest in growth at high rates of return. When we think about Arcos Dorados' use of debt, we should always consider it together with cash and equity. |
Additional Information and Resources on Investing in Arcos Stock
When determining whether Arcos Dorados Holdings offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Arcos Dorados' financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Arcos Dorados Holdings Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Arcos Dorados Holdings Stock:Check out Arcos Dorados Backtesting, Arcos Dorados Valuation, Arcos Dorados Correlation, Arcos Dorados Hype Analysis, Arcos Dorados Volatility, Arcos Dorados History as well as Arcos Dorados Performance. You can also try the Theme Ratings module to determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance.