Arcos Dorados Holdings Inc. $ARCO Shares Sold by Pzena Investment Management LLC

Pzena Investment Management LLC lessened its stake in Arcos Dorados Holdings Inc. (NYSE:ARCO) by 6.4% during the 3rd quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The firm owned 10,112,751 shares of the restaurant operator’s stock after selling 691,607 shares during the period. Pzena Investment Management LLC owned 4.80% of Arcos Dorados worth $72,306,000 as of its most recent SEC filing.

Several other institutional investors and hedge funds have also recently added to or reduced their stakes in ARCO. Public Employees Retirement System of Ohio acquired a new position in shares of Arcos Dorados in the second quarter valued at approximately $31,000. FNY Investment Advisers LLC acquired a new stake in shares of Arcos Dorados during the second quarter worth $40,000. Squarepoint Ops LLC acquired a new stake in shares of Arcos Dorados during the second quarter worth $81,000. Baird Financial Group Inc. purchased a new position in Arcos Dorados in the 2nd quarter valued at $87,000. Finally, Bank of Nova Scotia purchased a new position in Arcos Dorados in the 1st quarter valued at $116,000. 55.91% of the stock is owned by hedge funds and other institutional investors.

Arcos Dorados Trading Up 4.0%

Shares of Arcos Dorados stock opened at $7.08 on Thursday. The company has a market capitalization of $1.49 billion, a P/E ratio of 5.81 and a beta of 0.54. The company has a debt-to-equity ratio of 1.14, a current ratio of 0.88 and a quick ratio of 0.81. Arcos Dorados Holdings Inc. has a 1 year low of $6.67 and a 1 year high of $9.75. The business has a 50 day moving average price of $7.66 and a 200 day moving average price of $8.19.

Arcos Dorados (NYSE:ARCO) last issued its earnings results on Friday, August 14th. The restaurant operator reported $0.22 EPS for the quarter, beating analysts’ consensus estimates of $0.15 by $0.07. The business had revenue of $1.31 billion for the quarter, compared to the consensus estimate of $1.28 billion. Arcos Dorados had a net margin of 5.15% and a return on equity of 12.50%. Sell-side analysts anticipate that Arcos Dorados Holdings Inc. will post 0.80 EPS for the current fiscal year.

Analyst Ratings Changes

Several analysts have recently commented on the stock. JPMorgan Chase & Co. upgraded shares of Arcos Dorados from a “neutral” rating to an “overweight” rating and raised their target price for the stock from $9.00 to $10.50 in a research note on Friday, July 17th. Weiss Ratings upgraded shares of Arcos Dorados from a “hold (c-)” rating to a “hold (c)” rating in a research report on Thursday, October 8th. Wall Street Zen cut Arcos Dorados from a “buy” rating to a “hold” rating in a research report on Saturday, October 10th. Zacks Research raised Arcos Dorados from a “hold” rating to a “strong-buy” rating in a research note on Tuesday, October 20th. Finally, Bank of America cut Arcos Dorados from a “buy” rating to a “neutral” rating and set a $9.00 price target for the company. in a report on Monday, October 26th. One equities research analyst has rated the stock with a Strong Buy rating, three have given a Buy rating and two have assigned a Hold rating to the stock. According to data from MarketBeat.com, Arcos Dorados currently has an average rating of “Moderate Buy” and a consensus price target of $9.75.

Arcos Dorados Company Profile

Arcos Dorados Holdings Inc (NYSE: ARCO) is the largest independent McDonald’s franchisee in the world. The company operates and franchises McDonald’s restaurants across Latin America and the Caribbean under a master franchise agreement with McDonald’s Corporation.

Its restaurants offer McDonald’s products, including hamburgers, chicken items, french fries, breakfast products, beverages, desserts and other menu offerings. Arcos Dorados also provides services such as McCafé, McDelivery, digital ordering and drive-thru operations, depending on the market.

Headquartered in Buenos Aires, Argentina, Arcos Dorados serves customers in approximately 20 countries and territories, including Argentina, Brazil, Chile, Colombia, Mexico, Peru, Puerto Rico, Uruguay and Venezuela.