Arcos Dorados Holdings Inc. (NYSE:ARCO) Short Interest Down 5.5% in September

Arcos Dorados Holdings Inc. (NYSE:ARCO) was the target of a significant drop in short interest during the month of September. As of September 15th, there was short interest totalling 5,820,000 shares, a drop of 5.5% from the August 31st total of 6,160,000 shares. Currently, 4.7% of the shares of the company are sold short. Based on an average daily trading volume, of 1,210,000 shares, the short-interest ratio is currently 4.8 days.

Arcos Dorados Stock Performance

NYSE:ARCO traded down $0.14 during mid-day trading on Monday, hitting $8.72. The company’s stock had a trading volume of 1,303,282 shares, compared to its average volume of 1,207,388. The business’s fifty day moving average is $9.03 and its two-hundred day moving average is $9.80. The stock has a market cap of $1.84 billion, a price-to-earnings ratio of 10.77, a PEG ratio of 2.47 and a beta of 1.17. Arcos Dorados has a 1 year low of $8.08 and a 1 year high of $13.20. The company has a debt-to-equity ratio of 1.52, a current ratio of 0.63 and a quick ratio of 0.57.

Arcos Dorados (NYSE:ARCO) last announced its quarterly earnings results on Wednesday, August 14th. The restaurant operator reported $0.13 earnings per share for the quarter, meeting the consensus estimate of $0.13. The company had revenue of $1.11 billion during the quarter, compared to analysts’ expectations of $1.06 billion. Arcos Dorados had a return on equity of 36.55% and a net margin of 3.80%. Arcos Dorados’s quarterly revenue was up 6.8% on a year-over-year basis. During the same period last year, the business earned $0.14 earnings per share. Analysts anticipate that Arcos Dorados will post 0.7 EPS for the current fiscal year.

Wall Street Analyst Weigh In

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

Institutional Trading of Arcos Dorados

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. TimesSquare Capital Management LLC lifted its holdings in Arcos Dorados by 25.8% during the first quarter. TimesSquare Capital Management LLC now owns 1,466,000 shares of the restaurant operator’s stock valued at $16,302,000 after purchasing an additional 301,020 shares in the last quarter. Perpetual Ltd acquired a new stake in Arcos Dorados in the 1st quarter worth about $49,647,000. Fourth Sail Capital LP purchased a new stake in Arcos Dorados during the 2nd quarter worth approximately $16,463,000. Nordea Investment Management AB raised its holdings in shares of Arcos Dorados by 33.5% during the first quarter. Nordea Investment Management AB now owns 458,355 shares of the restaurant operator’s stock valued at $5,129,000 after acquiring an additional 115,118 shares during the last quarter. Finally, Oliver Luxxe Assets LLC boosted its stake in shares of Arcos Dorados by 29.2% in the first quarter. Oliver Luxxe Assets LLC now owns 69,924 shares of the restaurant operator’s stock worth $778,000 after acquiring an additional 15,786 shares during the last quarter. Institutional investors and hedge funds own 55.91% of the company’s stock.

Arcos Dorados Company Profile

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.