El Pollo Loco Earnings: What To Look For From LOCO

StockStory
05 Mar
El Pollo Loco Earnings: What To Look For From LOCO

Fast food chain El Pollo Loco (NASDAQ:LOCO) will be announcing earnings results tomorrow after market hours. Here’s what to expect.

El Pollo Loco missed analysts’ revenue expectations by 2.2% last quarter, reporting revenues of $120.4 million, flat year on year. It was a satisfactory quarter for the company, with an impressive beat of analysts’ EBITDA estimates but a slight miss of analysts’ same-store sales estimates.

Is El Pollo Loco a buy or sell going into earnings? Read our full analysis here, it’s free.

This quarter, analysts are expecting El Pollo Loco’s revenue to be flat year on year at $113.2 million, improving from the 3.2% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.14 per share.

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. El Pollo Loco has missed Wall Street’s revenue estimates three times over the last two years.

Looking at El Pollo Loco’s peers in the traditional fast food segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Dutch Bros delivered year-on-year revenue growth of 34.9%, beating analysts’ expectations by 7.6%, and Portillo's reported a revenue decline of 1.7%, in line with consensus estimates. Dutch Bros traded up 29% following the results while Portillo's was also up 2.6%.

Read our full analysis of Dutch Bros’s results here and Portillo’s results here.

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Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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