Arcos Dorados Holdings Inc. (NYSE:ARCO) Short Interest Update

Arcos Dorados Holdings Inc. (NYSE:ARCO) was the recipient of a large drop in short interest in October. As of October 15th, there was short interest totalling 5,560,000 shares, a drop of 6.1% from the September 30th total of 5,920,000 shares. Currently, 4.5% of the company’s stock are short sold. Based on an average trading volume of 1,310,000 shares, the days-to-cover ratio is presently 4.2 days.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in the stock. Quarry LP grew its stake in Arcos Dorados by 431.0% in the 2nd quarter. Quarry LP now owns 3,239 shares of the restaurant operator’s stock valued at $29,000 after acquiring an additional 2,629 shares during the last quarter. Adalta Capital Management LLC acquired a new position in Arcos Dorados in the first quarter valued at $111,000. Bank of New York Mellon Corp purchased a new stake in shares of Arcos Dorados during the 2nd quarter worth about $93,000. Lazard Asset Management LLC grew its stake in Arcos Dorados by 35.4% during the first quarter. Lazard Asset Management LLC now owns 11,557 shares of the restaurant operator’s stock worth $128,000 after buying an additional 3,022 shares during the period. Finally, nVerses Capital LLC acquired a new stake in Arcos Dorados in the 2nd quarter valued at $105,000. 55.91% of the stock is owned by hedge funds and other institutional investors.

Arcos Dorados Trading Down 3.7 %

Shares of ARCO stock opened at $8.48 on Friday. The company has a market capitalization of $1.79 billion, a P/E ratio of 10.47, a price-to-earnings-growth ratio of 2.71 and a beta of 1.17. The company has a current ratio of 0.63, a quick ratio of 0.57 and a debt-to-equity ratio of 1.52. Arcos Dorados has a twelve month low of $8.08 and a twelve month high of $13.20. The business’s 50 day moving average is $8.97 and its two-hundred day moving average is $9.55.

Arcos Dorados (NYSE:ARCO) last posted its quarterly earnings results on Wednesday, August 14th. The restaurant operator reported $0.13 EPS for the quarter, meeting the consensus estimate of $0.13. Arcos Dorados had a return on equity of 36.55% and a net margin of 3.80%. The business had revenue of $1.11 billion during the quarter, compared to analysts’ expectations of $1.06 billion. During the same period last year, the firm earned $0.14 EPS. The company’s quarterly revenue was up 6.8% compared to the same quarter last year. Equities analysts forecast that Arcos Dorados will post 0.69 EPS for the current year.

Analysts Set New Price Targets

Separately, JPMorgan Chase & Co. reduced their target price on Arcos Dorados from $14.00 to $12.00 and set an “overweight” rating for the company in a report on Friday, September 13th.

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.