Arcos Dorados Holdings Inc. Plans Quarterly Dividend of $0.04 (NYSE:ARCO)

Arcos Dorados Holdings Inc. (NYSE:ARCOGet Rating) declared a quarterly dividend on Friday, March 18th, Wall Street Journal reports. Shareholders of record on Monday, September 26th will be given a dividend of 0.04 per share by the restaurant operator on Friday, September 30th. This represents a $0.16 annualized dividend and a yield of 2.22%. The ex-dividend date is Friday, September 23rd.

Arcos Dorados has a payout ratio of 21.4% meaning its dividend is sufficiently covered by earnings. Equities analysts expect Arcos Dorados to earn $0.57 per share next year, which means the company should continue to be able to cover its $0.12 annual dividend with an expected future payout ratio of 21.1%.

Arcos Dorados Price Performance

Shares of NYSE:ARCO opened at $7.22 on Thursday. The firm’s 50 day moving average price is $7.34 and its 200-day moving average price is $7.36. The stock has a market capitalization of $1.52 billion, a PE ratio of 13.62, a price-to-earnings-growth ratio of 0.45 and a beta of 1.18. Arcos Dorados has a twelve month low of $4.33 and a twelve month high of $8.44. The company has a quick ratio of 0.80, a current ratio of 0.86 and a debt-to-equity ratio of 3.49.

Arcos Dorados (NYSE:ARCOGet Rating) last released its earnings results on Wednesday, August 10th. The restaurant operator reported $0.07 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.13 by ($0.06). Arcos Dorados had a return on equity of 52.60% and a net margin of 3.43%. During the same quarter in the previous year, the business earned $0.03 earnings per share. Equities research analysts expect that Arcos Dorados will post 0.49 EPS for the current year.

Wall Street Analyst Weigh In

ARCO has been the subject of a number of research analyst reports. StockNews.com lowered shares of Arcos Dorados from a “strong-buy” rating to a “buy” rating in a report on Monday, September 12th. Bradesco Corretora raised shares of Arcos Dorados from a “neutral” rating to an “outperform” rating and set a $12.00 price objective for the company in a report on Wednesday, June 15th. Finally, The Goldman Sachs Group raised their target price on shares of Arcos Dorados from $9.00 to $10.00 and gave the company a “buy” rating in a report on Tuesday, August 30th. One equities research analyst has rated the stock with a hold rating and five have given a buy rating to the stock. According to MarketBeat, Arcos Dorados presently has a consensus rating of “Moderate Buy” and a consensus price target of $9.90.

Institutional Trading of Arcos Dorados

A number of institutional investors have recently bought and sold shares of ARCO. Invesco Ltd. lifted its position in Arcos Dorados by 12.5% in the first quarter. Invesco Ltd. now owns 21,962,867 shares of the restaurant operator’s stock worth $178,559,000 after buying an additional 2,435,111 shares during the last quarter. Macquarie Group Ltd. lifted its position in Arcos Dorados by 41.0% in the second quarter. Macquarie Group Ltd. now owns 3,932,557 shares of the restaurant operator’s stock worth $26,506,000 after buying an additional 1,143,252 shares during the last quarter. Renaissance Technologies LLC bought a new stake in Arcos Dorados in the first quarter worth $2,946,000. UBS Group AG lifted its position in Arcos Dorados by 925.1% in the first quarter. UBS Group AG now owns 320,597 shares of the restaurant operator’s stock worth $2,606,000 after buying an additional 289,323 shares during the last quarter. Finally, Goldman Sachs Group Inc. lifted its position in Arcos Dorados by 841.1% in the second quarter. Goldman Sachs Group Inc. now owns 267,339 shares of the restaurant operator’s stock worth $1,802,000 after buying an additional 238,932 shares during the last quarter. 35.66% of the stock is currently owned by institutional investors.

About Arcos Dorados

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Arcos Dorados Holdings Inc operates as a franchisee of McDonald's restaurants. The company 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.

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Dividend History for Arcos Dorados (NYSE:ARCO)

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