ARKO (NASDAQ:ARKO) Reaches New 1-Year High – Still a Buy?

ARKO Corp. (NASDAQ:ARKO) reached a new 52-week high during trading on Wednesday . The stock traded as high as $7.35 and last traded at $7.19, with a volume of 1946 shares changing hands. The stock had previously closed at $7.15.

Wall Street Analysts Forecast Growth

Several research analysts recently commented on ARKO shares. Weiss Ratings upgraded shares of ARKO from a “sell (d+)” rating to a “hold (c-)” rating in a report on Thursday, May 7th. Zacks Research upgraded shares of ARKO from a “hold” rating to a “strong-buy” rating in a report on Thursday, May 7th. Finally, Wall Street Zen upgraded shares of ARKO from a “hold” rating to a “buy” rating in a report on Saturday, May 9th. Two investment analysts have rated the stock with a Strong Buy rating and one has assigned a Hold rating to the company’s stock. According to MarketBeat.com, the stock currently has an average rating of “Buy” and an average price target of $8.00.

ARKO Stock Performance

The firm’s 50 day moving average price is $6.09 and its 200-day moving average price is $5.49. The company has a debt-to-equity ratio of 1.93, a quick ratio of 1.19 and a current ratio of 1.62. The firm has a market capitalization of $842.55 million, a PE ratio of 39.53 and a beta of 0.94.

ARKO (NASDAQ:ARKO) last posted its earnings results on Thursday, May 7th. The company reported ($0.07) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.16) by $0.09. ARKO had a net margin of 0.38% and a return on equity of 9.10%. The business had revenue of $1.77 billion for the quarter, compared to analyst estimates of $1.65 billion. During the same period in the prior year, the company posted ($0.12) EPS. On average, research analysts expect that ARKO Corp. will post 0.29 EPS for the current year.

ARKO Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, May 29th. Investors of record on Monday, May 18th will be paid a $0.03 dividend. The ex-dividend date of this dividend is Monday, May 18th. This represents a $0.12 dividend on an annualized basis and a yield of 1.6%. ARKO’s dividend payout ratio (DPR) is currently 63.16%.

Insiders Place Their Bets

In related news, CFO Charles Galagher Jeff purchased 40,000 shares of the firm’s stock in a transaction that occurred on Tuesday, March 17th. The shares were purchased at an average cost of $5.07 per share, with a total value of $202,800.00. Following the purchase, the chief financial officer owned 40,000 shares of the company’s stock, valued at $202,800. This represents a ∞ increase in their position. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Corporate insiders own 22.50% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of the stock. Bank of America Corp DE lifted its stake in ARKO by 106.8% in the 1st quarter. Bank of America Corp DE now owns 273,251 shares of the company’s stock valued at $1,519,000 after buying an additional 141,127 shares in the last quarter. Royal Bank of Canada lifted its stake in ARKO by 201.9% in the 1st quarter. Royal Bank of Canada now owns 6,681 shares of the company’s stock valued at $37,000 after buying an additional 4,468 shares in the last quarter. Empowered Funds LLC lifted its stake in ARKO by 9.8% in the 1st quarter. Empowered Funds LLC now owns 511,566 shares of the company’s stock valued at $2,844,000 after buying an additional 45,689 shares in the last quarter. Empyrean Capital Partners LP purchased a new position in ARKO in the 1st quarter valued at about $1,819,000. Finally, Renaissance Technologies LLC lifted its stake in ARKO by 152.7% in the 1st quarter. Renaissance Technologies LLC now owns 80,100 shares of the company’s stock valued at $445,000 after buying an additional 48,400 shares in the last quarter. 78.29% of the stock is owned by hedge funds and other institutional investors.

ARKO Company Profile

ARKO Corp (NASDAQ: ARKO) is a downstream energy and convenience retail company based in Matthews, North Carolina. The company’s core operations encompass fuel supply, distribution and retailing through a network of terminals, independent dealer locations and company-operated convenience stores. ARKO’s fuel offerings include branded and unbranded gasoline and diesel, as well as lubricants and other petroleum products marketed under various regional and private labels.

In its retail segment, ARKO operates a portfolio of convenience stores under the Kangaroo Express banner, serving on-site customers with fuel, grab-and-go food items, beverages and everyday household essentials.