JPMorgan Chase & Co. Sells 540,137 Shares of Arcos Dorados Holdings Inc. $ARCO

Key Points

• JPMorgan Chase reduced its stake in Arcos Dorados by 31.1%, selling 540,137 shares and leaving it with 1,194,874 shares (about 0.57% of the company, valued at ~$8.07M).
• Arcos Dorados missed quarterly EPS expectations ($0.12 vs. $0.20) despite revenue rising 10.7% to $1.27B; the shares trade with a 3.5% dividend yield, a P/E of 7.86 and a market cap of $1.67B.
• The stock carries a consensus Hold rating with a $8.70 target, and institutional investors own roughly 55.91% of the company’s shares.

JPMorgan Chase & Co. cut its stake in shares of Arcos Dorados Holdings Inc. (NYSE:ARCO - Free Report) by 31.1% in the 3rd quarter, according to its most recent Form 13F filing with the SEC. The institutional investor owned 1,194,874 shares of the restaurant operator's stock after selling 540,137 shares during the period. JPMorgan Chase & Co. owned about 0.57% of Arcos Dorados worth $8,065,000 as of its most recent SEC filing.

Several other hedge funds also recently modified their holdings of ARCO. Quarry LP acquired a new position in Arcos Dorados in the 3rd quarter worth about $45,000. Aquatic Capital Management LLC acquired a new stake in shares of Arcos Dorados during the third quarter valued at about $53,000. Tudor Investment Corp ET AL acquired a new stake in shares of Arcos Dorados during the third quarter valued at about $73,000. Tower Bridge Advisors bought a new stake in shares of Arcos Dorados during the third quarter worth about $75,000. Finally, Arkadios Wealth Advisors bought a new stake in shares of Arcos Dorados during the third quarter worth about $76,000. Institutional investors and hedge funds own 55.91% of the company's stock.

Arcos Dorados Stock Performance

NYSE ARCO opened at $7.94 on Tuesday. The company has a market capitalization of $1.67 billion, a price-to-earnings ratio of 7.86, a PEG ratio of 2.89 and a beta of 0.44. The company has a quick ratio of 0.95, a current ratio of 1.03 and a debt-to-equity ratio of 1.46. Arcos Dorados Holdings Inc. has a twelve month low of $6.51 and a twelve month high of $8.98. The stock has a fifty day simple moving average of $8.21 and a 200 day simple moving average of $7.57.

Arcos Dorados (NYSE:ARCO - Get Free Report) last announced its earnings results on Thursday, March 19th. The restaurant operator reported $0.12 EPS for the quarter, missing the consensus estimate of $0.20 by ($0.08). Arcos Dorados had a return on equity of 8.12% and a net margin of 4.53%.The company had revenue of $1.27 billion for the quarter, compared to analyst estimates of $1.26 billion. During the same period in the previous year, the firm posted $0.28 earnings per share. The firm's quarterly revenue was up 10.7% compared to the same quarter last year. Sell-side analysts expect that Arcos Dorados Holdings Inc. will post 0.63 EPS for the current year.

Arcos Dorados Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, December 29th. Investors of record on Wednesday, December 23rd will be paid a $0.07 dividend. This represents a $0.28 dividend on an annualized basis and a dividend yield of 3.5%. The ex-dividend date of this dividend is Wednesday, December 23rd. Arcos Dorados's payout ratio is currently 23.76%.

Wall Street Analysts Forecast Growth

Separately, Weiss Ratings reiterated a "hold (c-)" rating on shares of Arcos Dorados in a report on Monday, December 29th. Three analysts have rated the stock with a Hold rating, According to MarketBeat.com, the stock currently has an average rating of "Hold" and a consensus target price of $8.70.

Arcos Dorados Company Profile

Arcos Dorados Holdings Inc is the largest independent McDonald's franchisee in the world, operating under an exclusive license agreement with McDonald's Corporation. The company develops, owns and operates quick-service restaurants, offering the full McDonald's menu, including hamburgers, chicken sandwiches, salads, sides, desserts and McCafé beverages. In addition to restaurant operations, Arcos Dorados manages supply chain logistics, property development, training and support services for its franchise network.

Headquartered in Montevideo, Uruguay, Arcos Dorados serves 20 markets across Latin America and the Caribbean, including Argentina, Brazil, Chile, Colombia, Mexico, Puerto Rico and Uruguay.

Want to see what other hedge funds are holding ARCO? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Arcos Dorados Holdings Inc. (NYSE:ARCO - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.