Arcos Dorados Holdings Inc. (NYSE:ARCO) Sees Significant Drop in Short Interest

Arcos Dorados Holdings Inc. (NYSE:ARCO) saw a large decrease in short interest in the month of September. As of September 15th, there was short interest totalling 5,820,000 shares, a decrease of 5.5% from the August 31st total of 6,160,000 shares. Based on an average daily volume of 1,210,000 shares, the days-to-cover ratio is presently 4.8 days. Approximately 4.7% of the shares of the company are sold short.

Analyst Upgrades and Downgrades

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

Arcos Dorados Trading Up 14.6 %

Shares of Arcos Dorados stock opened at $9.99 on Wednesday. Arcos Dorados has a 1 year low of $8.08 and a 1 year high of $13.20. The company has a market capitalization of $2.10 billion, a price-to-earnings ratio of 12.33, a P/E/G ratio of 2.47 and a beta of 1.17. The business has a fifty day simple moving average of $9.03 and a two-hundred day simple moving average of $9.80. 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 earnings results on Wednesday, August 14th. The restaurant operator reported $0.13 EPS for the quarter, hitting the consensus estimate of $0.13. The business had revenue of $1.11 billion during the quarter, compared to the consensus estimate of $1.06 billion. Arcos Dorados had a net margin of 3.80% and a return on equity of 36.55%. Arcos Dorados’s revenue was up 6.8% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $0.14 EPS. Research analysts forecast that Arcos Dorados will post 0.7 EPS for the current year.

Hedge Funds Weigh In On Arcos Dorados

Several institutional investors and hedge funds have recently made changes to their positions in ARCO. Janney Montgomery Scott LLC bought a new stake in Arcos Dorados in the 4th quarter valued at $408,000. Orion Portfolio Solutions LLC bought a new stake in shares of Arcos Dorados in the fourth quarter valued at about $593,000. Penn Mutual Asset Management LLC acquired a new position in shares of Arcos Dorados in the fourth quarter valued at about $292,000. Quadrature Capital Ltd bought a new position in Arcos Dorados during the fourth quarter worth about $441,000. Finally, Confluence Investment Management LLC bought a new position in Arcos Dorados during the first quarter worth about $192,000. 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.