Arcos Dorados (NYSE:ARCO) Rating Lowered to Hold at StockNews.com

Arcos Dorados (NYSE:ARCO) was downgraded by equities researchers at StockNews.com from a “buy” rating to a “hold” rating in a research note issued to investors on Friday.

Arcos Dorados Stock Performance

ARCO stock opened at $9.94 on Friday. The company has a debt-to-equity ratio of 1.47, a current ratio of 0.66 and a quick ratio of 0.66. The company has a 50 day moving average price of $10.87 and a 200 day moving average price of $11.54. Arcos Dorados has a fifty-two week low of $8.32 and a fifty-two week high of $13.20. The stock has a market capitalization of $2.09 billion, a PE ratio of 12.27, a price-to-earnings-growth ratio of 1.71 and a beta of 1.27.

Arcos Dorados (NYSE:ARCO) last issued its earnings results on Wednesday, May 15th. The restaurant operator reported $0.14 EPS for the quarter, missing the consensus estimate of $0.16 by ($0.02). The business had revenue of $1.10 billion for the quarter, compared to the consensus estimate of $1.02 billion. Arcos Dorados had a net margin of 3.90% and a return on equity of 38.57%. The business’s revenue was up 11.0% on a year-over-year basis. During the same quarter in the previous year, the firm posted $0.18 EPS. Analysts forecast that Arcos Dorados will post 0.88 EPS for the current year.

Hedge Funds Weigh In On Arcos Dorados

Institutional investors and hedge funds have recently made changes to their positions in the company. Activest Wealth Management acquired a new position in Arcos Dorados in the 1st quarter worth $30,000. Adalta Capital Management LLC acquired a new position in Arcos Dorados in the 1st quarter worth $111,000. Lazard Asset Management LLC boosted its stake in Arcos Dorados by 35.4% in the 1st quarter. Lazard Asset Management LLC now owns 11,557 shares of the restaurant operator’s stock worth $128,000 after purchasing an additional 3,022 shares during the period. Navellier & Associates Inc. boosted its stake in shares of Arcos Dorados by 11.3% during the 4th quarter. Navellier & Associates Inc. now owns 15,050 shares of the restaurant operator’s stock worth $191,000 after buying an additional 1,529 shares during the last quarter. Finally, Confluence Investment Management LLC acquired a new position in shares of Arcos Dorados during the 1st quarter worth about $192,000. 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.