EL POLLO LOCO HOLDINGS INC (LOCO) Stock Fundamental Analysis
NASDAQ:LOCO • US2686031079
10.82 USD
+0.13 (+1.22%)
Last: Feb 25, 2026, 12:29 PM
Taking everything into account, LOCO scores 5 out of 10 in our fundamental rating. LOCO was compared to 126 industry peers in the Hotels, Restaurants & Leisure industry. LOCO has an average financial health and profitability rating. LOCO scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
- LOCO had positive earnings in the past year.
- In the past year LOCO had a positive cash flow from operations.
- Each year in the past 5 years LOCO has been profitable.
- Each year in the past 5 years LOCO had a positive operating cash flow.
1.2 Ratios
- LOCO has a better Return On Assets (4.30%) than 64.29% of its industry peers.
- The Return On Equity of LOCO (9.15%) is better than 66.67% of its industry peers.
- With a Return On Invested Capital value of 5.65%, LOCO perfoms like the industry average, outperforming 52.38% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for LOCO is significantly below the industry average of 10.66%.
- The last Return On Invested Capital (5.65%) for LOCO is above the 3 year average (5.08%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.3% | ||
| ROE | 9.15% | ||
| ROIC | 5.65% |
ROA(3y)4.05%
ROA(5y)4.18%
ROE(3y)9.15%
ROE(5y)9.13%
ROIC(3y)5.08%
ROIC(5y)5.31%
1.3 Margins
- With a Profit Margin value of 5.39%, LOCO perfoms like the industry average, outperforming 57.94% of the companies in the same industry.
- In the last couple of years the Profit Margin of LOCO has remained more or less at the same level.
- LOCO has a Operating Margin (8.58%) which is in line with its industry peers.
- LOCO's Operating Margin has been stable in the last couple of years.
- The Gross Margin of LOCO (53.19%) is better than 61.90% of its industry peers.
- In the last couple of years the Gross Margin of LOCO has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.58% | ||
| PM (TTM) | 5.39% | ||
| GM | 53.19% |
OM growth 3Y-3.32%
OM growth 5Y0.33%
PM growth 3Y-5.35%
PM growth 5Y-0.72%
GM growth 3Y0.83%
GM growth 5Y1.16%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so LOCO is destroying value.
- The number of shares outstanding for LOCO has been reduced compared to 1 year ago.
- Compared to 5 years ago, LOCO has less shares outstanding
- Compared to 1 year ago, LOCO has an improved debt to assets ratio.
2.2 Solvency
- LOCO has an Altman-Z score of 1.63. This is a bad value and indicates that LOCO is not financially healthy and even has some risk of bankruptcy.
- LOCO has a Altman-Z score (1.63) which is in line with its industry peers.
- LOCO has a debt to FCF ratio of 2.91. This is a good value and a sign of high solvency as LOCO would need 2.91 years to pay back of all of its debts.
- LOCO has a better Debt to FCF ratio (2.91) than 81.75% of its industry peers.
- A Debt/Equity ratio of 0.22 indicates that LOCO is not too dependend on debt financing.
- LOCO has a better Debt to Equity ratio (0.22) than 76.19% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | 2.91 | ||
| Altman-Z | 1.63 |
ROIC/WACC0.7
WACC8.03%
2.3 Liquidity
- A Current Ratio of 0.41 indicates that LOCO may have some problems paying its short term obligations.
- LOCO has a Current ratio of 0.41. This is amonst the worse of the industry: LOCO underperforms 84.13% of its industry peers.
- LOCO has a Quick Ratio of 0.41. This is a bad value and indicates that LOCO is not financially healthy enough and could expect problems in meeting its short term obligations.
- LOCO's Quick ratio of 0.38 is on the low side compared to the rest of the industry. LOCO is outperformed by 81.75% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.41 | ||
| Quick Ratio | 0.38 |
3. Growth
3.1 Past
- LOCO shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 10.59%, which is quite good.
- LOCO shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 3.21% yearly.
- Looking at the last year, LOCO shows a small growth in Revenue. The Revenue has grown by 2.09% in the last year.
- LOCO shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.35% yearly.
EPS 1Y (TTM)10.59%
EPS 3Y1.15%
EPS 5Y3.21%
EPS Q2Q%28.57%
Revenue 1Y (TTM)2.09%
Revenue growth 3Y1.35%
Revenue growth 5Y1.35%
Sales Q2Q%0.93%
3.2 Future
- The Earnings Per Share is expected to grow by 6.03% on average over the next years.
- LOCO is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.45% yearly.
EPS Next Y6.58%
EPS Next 2Y4.34%
EPS Next 3Y6.03%
EPS Next 5YN/A
Revenue Next Year3.59%
Revenue Next 2Y2.63%
Revenue Next 3Y2.45%
Revenue Next 5YN/A
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 11.51, the valuation of LOCO can be described as reasonable.
- Based on the Price/Earnings ratio, LOCO is valued cheaper than 86.51% of the companies in the same industry.
- When comparing the Price/Earnings ratio of LOCO to the average of the S&P500 Index (26.98), we can say LOCO is valued rather cheaply.
- The Price/Forward Earnings ratio is 11.17, which indicates a very decent valuation of LOCO.
- LOCO's Price/Forward Earnings ratio is rather cheap when compared to the industry. LOCO is cheaper than 84.92% of the companies in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 28.01, LOCO is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.51 | ||
| Fwd PE | 11.17 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, LOCO is valued cheaper than 88.10% of the companies in the same industry.
- LOCO's Price/Free Cash Flow ratio is rather cheap when compared to the industry. LOCO is cheaper than 81.75% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.08 | ||
| EV/EBITDA | 6.53 |
4.3 Compensation for Growth
- LOCO's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- The decent profitability rating of LOCO may justify a higher PE ratio.
PEG (NY)1.75
PEG (5Y)3.59
EPS Next 2Y4.34%
EPS Next 3Y6.03%
5. Dividend
5.1 Amount
- No dividends for LOCO!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
NASDAQ:LOCO (2/25/2026, 12:29:44 PM)
10.82
+0.13 (+1.22%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)10-30 2025-10-30/amc
Earnings (Next)03-05 2026-03-05/amc
Inst Owners92.54%
Inst Owner Change1.18%
Ins Owners1.98%
Ins Owner Change0.24%
Market Cap324.06M
Revenue(TTM)480.81M
Net Income(TTM)25.90M
Analysts78.18
Price Target15.43 (42.61%)
Short Float %5.62%
Short Ratio7.29
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)18.45%
Min EPS beat(2)13.2%
Max EPS beat(2)23.69%
EPS beat(4)3
Avg EPS beat(4)18.25%
Min EPS beat(4)-9.13%
Max EPS beat(4)45.24%
EPS beat(8)6
Avg EPS beat(8)21.17%
EPS beat(12)10
Avg EPS beat(12)18.49%
EPS beat(16)13
Avg EPS beat(16)17.2%
Revenue beat(2)0
Avg Revenue beat(2)-2.08%
Min Revenue beat(2)-3.46%
Max Revenue beat(2)-0.7%
Revenue beat(4)0
Avg Revenue beat(4)-1.58%
Min Revenue beat(4)-3.46%
Max Revenue beat(4)-0.7%
Revenue beat(8)2
Avg Revenue beat(8)-0.73%
Revenue beat(12)2
Avg Revenue beat(12)-1.27%
Revenue beat(16)3
Avg Revenue beat(16)-1.1%
PT rev (1m)0%
PT rev (3m)4.31%
EPS NQ rev (1m)-1.27%
EPS NQ rev (3m)-6.02%
EPS NY rev (1m)-0.27%
EPS NY rev (3m)2.42%
Revenue NQ rev (1m)-0.1%
Revenue NQ rev (3m)-0.95%
Revenue NY rev (1m)-0.02%
Revenue NY rev (3m)-0.25%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.51 | ||
| Fwd PE | 11.17 | ||
| P/S | 0.67 | ||
| P/FCF | 15.08 | ||
| P/OCF | 8.14 | ||
| P/B | 1.15 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.53 |
EPS(TTM)0.94
EY8.69%
EPS(NY)0.97
Fwd EY8.96%
FCF(TTM)0.72
FCFY6.63%
OCF(TTM)1.33
OCFY12.28%
SpS16.05
BVpS9.45
TBVpS-0.92
PEG (NY)1.75
PEG (5Y)3.59
Graham Number14.14
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.3% | ||
| ROE | 9.15% | ||
| ROCE | 7.74% | ||
| ROIC | 5.65% | ||
| ROICexc | 5.77% | ||
| ROICexgc | 14.24% | ||
| OM | 8.58% | ||
| PM (TTM) | 5.39% | ||
| GM | 53.19% | ||
| FCFM | 4.47% |
ROA(3y)4.05%
ROA(5y)4.18%
ROE(3y)9.15%
ROE(5y)9.13%
ROIC(3y)5.08%
ROIC(5y)5.31%
ROICexc(3y)5.17%
ROICexc(5y)5.47%
ROICexgc(3y)13.16%
ROICexgc(5y)13.82%
ROCE(3y)6.96%
ROCE(5y)7.28%
ROICexgc growth 3Y-2.78%
ROICexgc growth 5Y4.42%
ROICexc growth 3Y-2.31%
ROICexc growth 5Y2.81%
OM growth 3Y-3.32%
OM growth 5Y0.33%
PM growth 3Y-5.35%
PM growth 5Y-0.72%
GM growth 3Y0.83%
GM growth 5Y1.16%
F-Score8
Asset Turnover0.8
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | 2.91 | ||
| Debt/EBITDA | 1.1 | ||
| Cap/Depr | 116.27% | ||
| Cap/Sales | 3.81% | ||
| Interest Coverage | 9.06 | ||
| Cash Conversion | 69.85% | ||
| Profit Quality | 82.96% | ||
| Current Ratio | 0.41 | ||
| Quick Ratio | 0.38 | ||
| Altman-Z | 1.63 |
F-Score8
WACC8.03%
ROIC/WACC0.7
Cap/Depr(3y)133.19%
Cap/Depr(5y)110.29%
Cap/Sales(3y)4.27%
Cap/Sales(5y)3.63%
Profit Quality(3y)91.05%
Profit Quality(5y)106.37%
High Growth Momentum
Growth
EPS 1Y (TTM)10.59%
EPS 3Y1.15%
EPS 5Y3.21%
EPS Q2Q%28.57%
EPS Next Y6.58%
EPS Next 2Y4.34%
EPS Next 3Y6.03%
EPS Next 5YN/A
Revenue 1Y (TTM)2.09%
Revenue growth 3Y1.35%
Revenue growth 5Y1.35%
Sales Q2Q%0.93%
Revenue Next Year3.59%
Revenue Next 2Y2.63%
Revenue Next 3Y2.45%
Revenue Next 5YN/A
EBIT growth 1Y1.36%
EBIT growth 3Y-2.01%
EBIT growth 5Y1.69%
EBIT Next Year59.6%
EBIT Next 3Y18.44%
EBIT Next 5YN/A
FCF growth 1Y-20.27%
FCF growth 3Y-7.55%
FCF growth 5Y6%
OCF growth 1Y-19.02%
OCF growth 3Y-3.53%
OCF growth 5Y5.3%
EL POLLO LOCO HOLDINGS INC / LOCO FAQ
What is the ChartMill fundamental rating of EL POLLO LOCO HOLDINGS INC (LOCO) stock?
ChartMill assigns a fundamental rating of 5 / 10 to LOCO.
What is the valuation status of EL POLLO LOCO HOLDINGS INC (LOCO) stock?
ChartMill assigns a valuation rating of 8 / 10 to EL POLLO LOCO HOLDINGS INC (LOCO). This can be considered as Undervalued.
What is the profitability of LOCO stock?
EL POLLO LOCO HOLDINGS INC (LOCO) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for LOCO stock?
The Price/Earnings (PE) ratio for EL POLLO LOCO HOLDINGS INC (LOCO) is 11.51 and the Price/Book (PB) ratio is 1.15.
Can you provide the dividend sustainability for LOCO stock?
The dividend rating of EL POLLO LOCO HOLDINGS INC (LOCO) is 0 / 10 and the dividend payout ratio is 0%.