Arcos Dorados (NYSE:ARCO) Cut to “Hold” at StockNews.com

StockNews.com cut shares of Arcos Dorados (NYSE:ARCO) from a buy rating to a hold rating in a report released on Wednesday.

Arcos Dorados Price Performance

ARCO stock opened at $8.14 on Wednesday. Arcos Dorados has a 52-week low of $7.02 and a 52-week high of $11.49. The company has a quick ratio of 0.57, a current ratio of 0.63 and a debt-to-equity ratio of 1.40. The stock has a market cap of $1.71 billion, a price-to-earnings ratio of 11.62 and a beta of 1.09. The business has a fifty day moving average of $7.97 and a two-hundred day moving average of $8.24.

Arcos Dorados (NYSE:ARCO) last issued its quarterly earnings data on Wednesday, March 12th. The restaurant operator reported $0.28 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.22 by $0.06. Arcos Dorados had a return on equity of 29.74% and a net margin of 3.25%. The firm had revenue of $1.14 billion during the quarter, compared to the consensus estimate of $1.15 billion. As a group, research analysts anticipate that Arcos Dorados will post 0.63 earnings per share for the current year.

Arcos Dorados Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, December 26th. Stockholders of record on Monday, December 22nd will be issued a $0.06 dividend. The ex-dividend date is Monday, December 22nd. This represents a $0.24 annualized dividend and a dividend yield of 2.95%. Arcos Dorados’s dividend payout ratio is currently 33.33%.

Institutional Trading of Arcos Dorados

Several institutional investors have recently added to or reduced their stakes in the stock. Spire Wealth Management lifted its stake in Arcos Dorados by 27.2% during the fourth quarter. Spire Wealth Management now owns 7,210 shares of the restaurant operator’s stock worth $52,000 after purchasing an additional 1,540 shares in the last quarter. R Squared Ltd purchased a new stake in shares of Arcos Dorados in the 4th quarter valued at $54,000. Bank of New York Mellon Corp lifted its stake in Arcos Dorados by 17.5% during the 4th quarter. Bank of New York Mellon Corp now owns 12,272 shares of the restaurant operator’s stock worth $89,000 after acquiring an additional 1,830 shares in the last quarter. Sanctuary Advisors LLC purchased a new position in Arcos Dorados during the 4th quarter valued at about $90,000. Finally, Virtu Financial LLC purchased a new position in Arcos Dorados during the 4th quarter valued at about $90,000. Institutional investors and hedge funds own 55.91% of the company’s stock.

About Arcos Dorados

Arcos Dorados Holdings Inc operates as a franchisee of McDonald’s restaurants. It 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.