ARKO (NASDAQ:ARKO) Announces Quarterly Earnings Results

ARKO (NASDAQ:ARKO) released its quarterly earnings data on Thursday. The company reported $0.08 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.12 by ($0.04), FiscalAI reports. ARKO had a return on equity of 4.02% and a net margin of 0.19%. The business had revenue of $2.39 billion for the quarter, compared to analysts’ expectations of $2.02 billion.

Here are the key takeaways from ARKO’s conference call:

• Third-quarter Adjusted EBITDA rose to $75.7 million from $75.2 million a year earlier, bringing year-to-date EBITDA to about $199 million, up 8.5%. ARKO raised the low end of its 2026 Adjusted EBITDA guidance to $250 million, for a new range of $250 million–$265 million.
• The retained-store portfolio posted 0.8% merchandise sales growth excluding cigarettes, while same-store merchandise margin expanded 50 basis points to 34.8%—its 12th consecutive year-over-year increase. The company attributed progress to category mix, promotions, loyalty, and investments in food service.
• ARKO said its expected USPP acquisition would add about 280 million gallons of annual volume across roughly 400 dealer locations and contribute approximately $30 million in annualized Adjusted EBITDA. The deal was expected to close in the fourth quarter of 2026.
• ARKO has converted about 500 stores to dealer locations since mid-2024 and expects the program to be largely complete by the end of 2027. Management said retained stores generate nearly all of retail operating profit and outperform stores slated for conversion on merchandise sales and fuel gallons.
• Elevated fuel prices weighed on industry fuel volumes and added $3.1 million in same-store credit-card fees during the quarter. Retail same-store fuel gallons declined, though higher fuel margins helped offset the pressure.

ARKO Stock Down 4.5%

ARKO stock traded down $0.18 during midday trading on Thursday, hitting $3.86. 1,146,895 shares of the company were exchanged, compared to its average volume of 653,063. The company’s fifty day moving average price is $4.21 and its 200-day moving average price is $5.95. The company has a market cap of $433.05 million, a PE ratio of 55.14 and a beta of 0.99. The company has a debt-to-equity ratio of 1.82, a current ratio of 1.60 and a quick ratio of 1.15. ARKO has a fifty-two week low of $3.61 and a fifty-two week high of $8.76.

ARKO Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, December 3rd. Investors of record on Friday, November 20th will be issued a dividend of $0.03 per share. This represents a $0.12 annualized dividend and a dividend yield of 3.1%. The ex-dividend date is Friday, November 20th. ARKO’s dividend payout ratio (DPR) is presently 171.43%.

Key Stories Impacting ARKO

Here are the key news stories impacting ARKO this week:

• Positive Sentiment: ARKO raised the lower end of its full-year 2026 adjusted EBITDA guidance, a favorable sign for its operating outlook. Company results and guidance
• Positive Sentiment: Quarterly revenue was $2.39 billion, above the $2.02 billion consensus estimate. ARKO also declared a quarterly dividend of $0.03 per share.
• Negative Sentiment: Adjusted earnings were $0.08 per share, missing the $0.12 consensus estimate and down from $0.10 a year earlier. Reports also characterized quarterly profit as lower, while the company’s net margin was just 0.19%—a weak earnings picture that may overshadow the revenue beat and guidance increase. Q3 earnings estimate miss

Wall Street Analysts Forecast Growth

ARKO has been the topic of a number of research reports. Weiss Ratings downgraded shares of ARKO from a “hold (c-)” rating to a “sell (d+)” rating in a research note on Friday, September 25th. Mizuho set a $22.00 target price on shares of ARKO in a report on Tuesday, July 28th. Raymond James Financial cut shares of ARKO from a “strong-buy” rating to an “outperform” rating and decreased their price target for the stock from $8.00 to $7.00 in a research report on Monday, August 10th. Finally, Zacks Research upgraded ARKO from a “strong sell” rating to a “hold” rating in a report on Friday, October 9th. One analyst has rated the stock with a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, the company currently has a consensus rating of “Hold” and an average price target of $14.50.

ARKO Company Profile

ARKO Corp. (NASDAQ: ARKO) is a convenience store and fuel retail operator in the United States. Through its subsidiary GPM Investments, the company operates convenience stores that sell gasoline, diesel fuel, food, beverages, tobacco products, and other everyday consumer goods. Many locations also offer prepared food, loyalty programs, and additional retail services.

ARKO operates stores under a variety of regional and national banners, including fas mart, E-Z Mart, Scotchman, Young’s, Li’l Cricket, BreadBox, and others.