Dodge & Cox Makes New $772,000 Investment in Arcos Dorados Holdings Inc. (NYSE:ARCO)

Dodge & Cox bought a new position in shares of Arcos Dorados Holdings Inc. (NYSE:ARCO) in the fourth quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund bought 106,000 shares of the restaurant operator’s stock, valued at approximately $772,000. Dodge & Cox owned approximately 0.05% of Arcos Dorados as of its most recent SEC filing.

Several other hedge funds have also recently modified their holdings of the stock. Private Management Group Inc. increased its stake in Arcos Dorados by 34.7% during the 4th quarter. Private Management Group Inc. now owns 3,167,857 shares of the restaurant operator’s stock worth $23,062,000 after buying an additional 815,198 shares in the last quarter. Franklin Resources Inc. lifted its holdings in Arcos Dorados by 88.1% in the 4th quarter. Franklin Resources Inc. now owns 2,611,023 shares of the restaurant operator’s stock valued at $19,008,000 after purchasing an additional 1,223,260 shares in the last quarter. Moerus Capital Management LLC boosted its stake in Arcos Dorados by 11.0% during the 4th 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 last quarter. Perpetual Ltd grew its holdings in shares of Arcos Dorados by 7.9% during the fourth quarter. Perpetual Ltd now owns 1,766,014 shares of the restaurant operator’s stock worth $12,857,000 after buying an additional 129,544 shares in the last quarter. Finally, Emeth Value Capital LLC acquired a new stake in shares of Arcos Dorados in the fourth quarter valued at about $11,190,000. Institutional investors and hedge funds own 55.91% of the company’s stock.

Arcos Dorados Stock Down 2.4 %

Shares of NYSE:ARCO opened at $7.12 on Wednesday. Arcos Dorados Holdings Inc. has a 52-week low of $6.66 and a 52-week high of $11.49. The company has a quick ratio of 0.57, a current ratio of 0.63 and a debt-to-equity ratio of 1.40. The business has a fifty day moving average of $7.92 and a two-hundred day moving average of $8.13. The stock has a market cap of $1.50 billion, a P/E ratio of 10.16 and a beta of 0.69.

Arcos Dorados (NYSE:ARCO) last issued its earnings results on Wednesday, March 12th. The restaurant operator reported $0.28 EPS for the quarter, topping analysts’ consensus estimates of $0.22 by $0.06. Arcos Dorados had a net margin of 3.25% and a return on equity of 29.74%. The company had revenue of $1.14 billion for the quarter, compared to the consensus estimate of $1.15 billion. On average, research analysts expect that Arcos Dorados Holdings Inc. will post 0.63 earnings per share for the current year.

Arcos Dorados Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, December 26th. Investors of record on Monday, December 22nd will be given a $0.06 dividend. The ex-dividend date of this dividend is Monday, December 22nd. This represents a $0.24 annualized dividend and a yield of 3.37%. Arcos Dorados’s payout ratio is 33.33%.

Analysts Set New Price Targets

Separately, StockNews.com cut shares of Arcos Dorados from a “buy” rating to a “hold” rating in a research note on Wednesday, March 26th.

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.