Arcos Dorados Holdings Inc (ARCO) Wheel Strategy

Running a ARCO wheel strategy lets you generate consistent premium income on Arcos Dorados Holdings Inc while setting your own entry and exit prices on the underlying. Arcos Dorados Holdings Inc's wheel combines cash-secured puts and covered calls into a repeatable cycle: sell puts at strikes where you'd be happy to own ARCO, and if assigned, sell calls at strikes where you'd be happy to sell. Use our scanner to find the best ARCO wheel strategy setups in real time.

The wheel works best on liquid, high-quality names with stable fundamentals and active options markets — exactly the profile many large-cap leaders fit. The mechanics are simple: sell a cash-secured put on ARCO, collect premium, and either keep the premium if it expires worthless or take assignment at a discount to current price. Once assigned, sell covered calls against the shares to keep collecting premium until they're called away. Choosing the right strikes, expirations, and IV environment is what separates a profitable ARCO wheel from a losing one.

Arcos Dorados Holdings Inc. operates as a franchisee of McDonald's restaurants. The company has the exclusive right to own, operate, and grant franchises of McDonald's restaurants in 20 countries and territories in Latin America and the Caribbean, including Argentina, Aruba, Brazil, Chile, Colombia, Costa Rica, Curacao, Ecuador, French Guiana, Guadeloupe, Martinique, Mexico, Panama, Peru, Puerto Rico, Trinidad and Tobago, Uruguay, the U.S. Virgin Islands of St. Croix and St. Thomas, and Venezuela. As of December 31, 2021, it operated or franchised 2,261 restaurants. The company was founded in 2007 and is based in Montevideo, Uruguay.

The difference between a wheel that compounds and one that bleeds comes down to strike selection, IV timing, and discipline on assignment. Our scanner handles the heavy lifting: it ranks every leg of the ARCO wheel strategy by delta, premium yield, IV rank, and days to expiration, so you can deploy capital where the math works. Build your ARCO wheel strategy on data, not gut feel — and let the options wheel do what it does best: pay you to wait.