9,873,761 Shares in Arcos Dorados Holdings Inc. $ARCO Bought by Nuveen LLC

Key Points

• Nuveen LLC has invested approximately $79.58 million in Arcos Dorados Holdings Inc., acquiring 9,873,761 shares, which represents about 4.69% of the company's stock as of the latest filing with the SEC.
• Arcos Dorados showed a modest earnings increase, reporting $0.11 earnings per share for the last quarter, which was above the consensus estimate, although its quarterly revenue of $1.14 billion fell short of expectations.
• The company recently cut its dividend, issuing a $0.06 dividend that reflects a yield of 313.0%, amidst ongoing evaluations of its financial performance and stock ratings by analysts.

Nuveen LLC acquired a new stake in Arcos Dorados Holdings Inc. (NYSE:ARCO - Free Report) during the first quarter, according to its most recent disclosure with the SEC. The institutional investor acquired 9,873,761 shares of the restaurant operator's stock, valued at approximately $79,583,000. Nuveen LLC owned approximately 4.69% of Arcos Dorados at the end of the most recent reporting period.

Several other large investors have also recently added to or reduced their stakes in ARCO. Harbour Capital Advisors LLC bought a new position in Arcos Dorados in the 1st quarter valued at about $736,000. Jane Street Group LLC boosted its holdings in shares of Arcos Dorados by 156.6% in the 4th quarter. Jane Street Group LLC now owns 195,751 shares of the restaurant operator's stock valued at $1,425,000 after purchasing an additional 119,477 shares in the last quarter. Dodge & Cox bought a new stake in shares of Arcos Dorados during the 4th quarter worth $772,000. Renaissance Technologies LLC boosted its stake in Arcos Dorados by 730.4% in the fourth quarter. Renaissance Technologies LLC now owns 422,934 shares of the restaurant operator's stock valued at $3,079,000 after buying an additional 372,000 shares in the last quarter. Finally, Diamond Hill Capital Management Inc. boosted its stake in Arcos Dorados by 27.5% in the first quarter. Diamond Hill Capital Management Inc. now owns 234,596 shares of the restaurant operator's stock valued at $1,891,000 after buying an additional 50,557 shares in the last quarter. Institutional investors own 55.91% of the company's stock.

Arcos Dorados Price Performance

Shares of NYSE:ARCO traded up $0.06 during trading on Monday, hitting $7.42. 457,817 shares of the company were exchanged, compared to its average volume of 1,512,152. Arcos Dorados Holdings Inc. has a 1-year low of $6.51 and a 1-year high of $10.27. The company has a market capitalization of $1.56 billion, a P/E ratio of 11.75, a price-to-earnings-growth ratio of 1.44 and a beta of 0.59. The company has a quick ratio of 0.73, a current ratio of 0.80 and a debt-to-equity ratio of 1.62. The business's 50 day moving average is $7.38 and its 200-day moving average is $7.63.

Arcos Dorados (NYSE:ARCO - Get Free Report) last issued its quarterly earnings data on Wednesday, August 13th. The restaurant operator reported $0.11 earnings per share for the quarter, topping analysts' consensus estimates of $0.05 by $0.06. The business had revenue of $1.14 billion for the quarter, compared to analyst estimates of $1.22 billion. Arcos Dorados had a return on equity of 24.54% and a net margin of 2.89%. Arcos Dorados's quarterly revenue was up 2.8% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.13 EPS. Equities 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 313.0%. The ex-dividend date of this dividend was Tuesday, June 24th. Arcos Dorados's payout ratio is presently 38.10%.

Analyst Upgrades and Downgrades

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

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.