Diamond Hill Capital Management Inc. Buys 50,557 Shares of Arcos Dorados Holdings Inc. (NYSE:ARCO)

Diamond Hill Capital Management Inc. grew its holdings in Arcos Dorados Holdings Inc. (NYSE:ARCO - Free Report) by 27.5% during the 1st quarter, according to the company in its most recent disclosure with the SEC. The fund owned 234,596 shares of the restaurant operator's stock after purchasing an additional 50,557 shares during the quarter. Diamond Hill Capital Management Inc. owned about 0.11% of Arcos Dorados worth $1,891,000 as of its most recent filing with the SEC.

Several other hedge funds and other institutional investors also recently made changes to their positions in ARCO. Price T Rowe Associates Inc. MD lifted its stake in shares of Arcos Dorados by 40.1% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 13,463,466 shares of the restaurant operator's stock valued at $98,015,000 after buying an additional 3,851,704 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its stake in Arcos Dorados by 96.0% during the fourth quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 3,280,985 shares of the restaurant operator's stock worth $23,886,000 after purchasing an additional 1,606,821 shares during the period. Franklin Resources Inc. lifted its stake in Arcos Dorados by 88.1% during the fourth quarter. Franklin Resources Inc. now owns 2,611,023 shares of the restaurant operator's stock worth $19,008,000 after purchasing an additional 1,223,260 shares during the period. Moerus Capital Management LLC lifted its stake in Arcos Dorados by 11.0% during the fourth quarter. Moerus Capital Management LLC now owns 2,122,675 shares of the restaurant operator's stock worth $15,453,000 after purchasing an additional 210,133 shares during the period. Finally, Voloridge Investment Management LLC lifted its stake in Arcos Dorados by 3.6% during the fourth quarter. Voloridge Investment Management LLC now owns 900,088 shares of the restaurant operator's stock worth $6,553,000 after purchasing an additional 31,010 shares during the period. 55.91% of the stock is owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

Separately, JPMorgan Chase & Co. lowered shares of Arcos Dorados from an "overweight" rating to a "neutral" rating and dropped their price objective for the stock from $10.50 to $8.80 in a report on Wednesday, July 2nd.

Arcos Dorados Price Performance

Shares of Arcos Dorados stock traded up $0.03 during midday trading on Friday, reaching $7.21. The company had a trading volume of 1,181,906 shares, compared to its average volume of 1,328,719. The company has a current ratio of 0.86, a quick ratio of 0.81 and a debt-to-equity ratio of 1.80. The company has a market capitalization of $1.52 billion, a price-to-earnings ratio of 11.08 and a beta of 0.63. The stock has a fifty day simple moving average of $7.53 and a 200 day simple moving average of $7.68. Arcos Dorados Holdings Inc. has a 1-year low of $6.66 and a 1-year high of $10.55.

Arcos Dorados (NYSE:ARCO - Get Free Report) last issued its quarterly earnings results on Wednesday, May 14th. The restaurant operator reported $0.07 earnings per share for the quarter, missing analysts' consensus estimates of $0.13 by ($0.06). Arcos Dorados had a net margin of 3.00% and a return on equity of 26.70%. The company had revenue of $1.08 billion during the quarter, compared to analyst estimates of $1.02 billion. During the same period in the prior year, the business earned $0.14 EPS. The business's revenue for the quarter was down .4% on a year-over-year basis. As a group, equities research analysts forecast that Arcos Dorados Holdings Inc. will post 0.63 earnings per share for the current year.

Arcos Dorados Cuts Dividend

The firm also recently announced a dividend, which was paid on Friday, June 27th. Shareholders of record on Wednesday, June 25th were issued a dividend of $0.06 per share. This represents a yield of 3.13%. The ex-dividend date was Tuesday, June 24th. Arcos Dorados's dividend payout ratio is presently 36.92%.

Arcos Dorados 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.