Arcos Dorados Holdings Inc. (NYSE:ARCO) Given Average Rating of “Moderate Buy” by Brokerages

Shares of Arcos Dorados Holdings Inc. (NYSE:ARCO) have earned a consensus rating of “Moderate Buy” from the five brokerages that are currently covering the stock, Marketbeat Ratings reports. Two research analysts have rated the stock with a hold recommendation and three have given a buy recommendation to the company. The average 1 year target price among brokers that have issued ratings on the stock in the last year is $10.50.

Several equities analysts have recently weighed in on ARCO shares. Zacks Research lowered shares of Arcos Dorados from a “strong-buy” rating to a “hold” rating in a research report on Monday, August 10th. JPMorgan Chase & Co. raised shares of Arcos Dorados from a “neutral” rating to an “overweight” rating and increased their price target for the company from $9.00 to $10.50 in a report on Friday, July 17th. Weiss Ratings cut Arcos Dorados from a “hold (c+)” rating to a “hold (c)” rating in a report on Monday, June 29th. Finally, Wall Street Zen raised Arcos Dorados from a “hold” rating to a “buy” rating in a report on Saturday, May 23rd.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in the business. Optimize Financial Inc raised its position in shares of Arcos Dorados by 1.5% in the fourth quarter. Optimize Financial Inc now owns 86,291 shares of the restaurant operator’s stock valued at $633,000 after buying an additional 1,240 shares in the last quarter. DGS Capital Management LLC boosted its position in shares of Arcos Dorados by 10.6% during the 4th quarter. DGS Capital Management LLC now owns 13,481 shares of the restaurant operator’s stock worth $99,000 after acquiring an additional 1,290 shares in the last quarter. Mraz Amerine & Associates Inc. boosted its position in shares of Arcos Dorados by 11.3% during the 4th quarter. Mraz Amerine & Associates Inc. now owns 19,665 shares of the restaurant operator’s stock worth $144,000 after acquiring an additional 2,000 shares in the last quarter. Moors & Cabot Inc. increased its stake in Arcos Dorados by 4.3% in the fourth quarter. Moors & Cabot Inc. now owns 49,409 shares of the restaurant operator’s stock valued at $363,000 after acquiring an additional 2,023 shares during the last quarter. Finally, BNP Paribas Financial Markets increased its stake in Arcos Dorados by 0.3% in the third quarter. BNP Paribas Financial Markets now owns 918,063 shares of the restaurant operator’s stock valued at $6,197,000 after acquiring an additional 2,312 shares during the last quarter. Institutional investors and hedge funds own 55.91% of the company’s stock.

Arcos Dorados Stock Performance

NYSE ARCO opened at $7.96 on Friday. The firm has a market capitalization of $1.68 billion, a P/E ratio of 6.52 and a beta of 0.48. The company has a current ratio of 0.88, a quick ratio of 0.81 and a debt-to-equity ratio of 1.14. The firm’s fifty day moving average price is $8.22 and its two-hundred day moving average price is $8.41. Arcos Dorados has a 1 year low of $6.54 and a 1 year high of $9.75.

Arcos Dorados (NYSE:ARCO) last released its quarterly earnings data on Thursday, August 13th. The restaurant operator reported $0.22 earnings per share for the quarter, topping the consensus estimate of $0.15 by $0.07. The company had revenue of $1.31 billion for the quarter, compared to analyst estimates of $1.28 billion. Arcos Dorados had a net margin of 5.15% and a return on equity of 12.50%. As a group, research analysts anticipate that Arcos Dorados will post 0.77 EPS for the current year.

Arcos Dorados Company Profile

Arcos Dorados Holdings Inc is the largest independent McDonald’s franchisee in the world, operating under an exclusive license agreement with McDonald’s Corporation. The company develops, owns and operates quick-service restaurants, offering the full McDonald’s menu, including hamburgers, chicken sandwiches, salads, sides, desserts and McCafé beverages. In addition to restaurant operations, Arcos Dorados manages supply chain logistics, property development, training and support services for its franchise network.

Headquartered in Montevideo, Uruguay, Arcos Dorados serves 20 markets across Latin America and the Caribbean, including Argentina, Brazil, Chile, Colombia, Mexico, Puerto Rico and Uruguay.