SmarterDividends
ARCO

Arcos Dorados Holdings Inc.

ARCO

Consumer Cyclical · Stock · quarterly payer

Forward Yield

3.39%

Annual Dividend

$0.28

Payout Ratio

23%

5-Yr Growth

3.7%

Ex-Date

Jun 22, 2026

Frequency

Quarterly

ARCO Dividend Safety Score

58/ 100
Grade C

Borderline

Dividend-growth streak3 consecutive years of growth
Cut historyCut its dividend in 2019
Earnings payout coverage23% of earnings paid out
Free-cash-flow coverage20% of free cash flow
Balance-sheet strengthDebt/equity of 2.79
Yield vs its historyYield is 1.4× its 5-yr average — elevated

SmarterDividends' proprietary score, backtested against which dividends were actually cut over 15+ years (0.78 AUC). It blends a validated cut-risk model (growth streak, cut history) with current payout, cash-flow and debt. Higher is safer · not investment advice.

Dividend Growth

Total dividends per share by year

Is ARCO a good dividend stock?

Yes, with caveats

Arcos Dorados Holdings Inc. (ARCO) pays a quarterly dividend yielding 3.39% ($0.28/yr), with 3 years of growth and a dividend-safety grade of C. It's a solid income payer, but check the caveats below before buying.

Advantages

  • Comfortable payout ratio (23%)

Risks

  • Cut its dividend in 2019

Key Data

Dividend Yield
3.39%
Payout Ratio
23%
Annual Dividend
$0.28
5-Yr Avg Growth
3.7%
Ex-Dividend Date
Jun 22, 2026
Years of Growth
3
Frequency
quarterly
Beta
0.47
Market Cap
$1.7B
P/E Ratio
7.4
5-Yr Total Return
37%
52-Week Range
$6.51 – $9.75
Dividend Safety
C · 58/100
Ever Cut?
Yes (2019)
ARCO ex-dividend date & scheduleNext ex-date Jun 22, 2026 · full ex-dividend historyView →

Frequently Asked Questions

Income Calculator

At $0.28 / yr per share

Per payment (quarterly)$7.00
Annual$28.00
Monthly avg$2.33