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El Pollo Loco (LOCO) Soars 9.6%: Is Further Upside Left in the Stock?
El Pollo LocoEl Pollo Loco(US:LOCO) ZACKS·2025-04-09 12:20

Company Overview - El Pollo Loco Holdings (LOCO) shares increased by 9.6% to $10.17 in the last trading session, following a significant volume of trading, contrasting with a 10.9% loss over the previous four weeks [1][2] Acquisition Proposal - The surge in El Pollo Loco's shares was driven by an unsolicited, non-binding buyout proposal from Biglari Capital, which aims to acquire all outstanding shares of the company. Biglari Capital already holds a significant stake in El Pollo Loco, indicating potential confidence in a strategic move that could alter the company's future [2] Earnings Expectations - The company is projected to report quarterly earnings of $0.20 per share, reflecting a year-over-year decline of 9.1%. Revenue is expected to reach $118.46 million, marking a 2% increase from the same quarter last year [3] Earnings Estimate Trends - The consensus EPS estimate for El Pollo Loco has remained stable over the past 30 days, suggesting that stock price movements may not sustain without changes in earnings estimate revisions. Monitoring LOCO's performance is advised to determine if the recent price increase can lead to further strength [4] Industry Context - El Pollo Loco is part of the Zacks Retail - Restaurants industry, where another company, Potbelly (PBPB), experienced a 7.7% decline in its last trading session, with a return of -5.4% over the past month. Potbelly's consensus EPS estimate has also remained unchanged, indicating a significant year-over-year decline of 300% [4][5]