Bank of America Corp DE Acquires 150,358 Shares of El Pollo Loco Holdings, Inc. $LOCO

Key Points

• Bank of America acquired 150,358 El Pollo Loco shares in the second quarter, worth approximately $2.55 million and representing about 0.49% of the company.
• Institutional ownership remains high at 81.28%, with Biglari Capital, BlackRock, Tieton Capital and Sei Investments among investors establishing or expanding positions.
• El Pollo Loco plans its first New York restaurant for mid-2027 and has development agreements for 15 locations, offering long-term growth potential while requiring significant execution and capital; analysts hold a “Moderate Buy” consensus with a $16.12 average price target.

Bank of America Corp DE acquired a new position in shares of El Pollo Loco Holdings, Inc. (NASDAQ:LOCO - Free Report) in the second quarter, according to its most recent 13F filing with the SEC. The institutional investor acquired 150,358 shares of the restaurant operator's stock, valued at approximately $2,550,000. Bank of America Corp DE owned about 0.49% of El Pollo Loco as of its most recent SEC filing.

Other large investors have also made changes to their positions in the company. Biglari Capital CORP. purchased a new position in shares of El Pollo Loco in the 2nd quarter worth about $64,064,704. BlackRock Inc. purchased a new stake in shares of El Pollo Loco during the 2nd quarter worth about $41,716,000. Dimensional Fund Advisors LP increased its position in El Pollo Loco by 0.6% during the 1st quarter. Dimensional Fund Advisors LP now owns 2,013,373 shares of the restaurant operator's stock worth $27,905,000 after purchasing an additional 12,072 shares in the last quarter. Tieton Capital Management LLC acquired a new stake in El Pollo Loco during the 2nd quarter worth approximately $17,535,000. Finally, Sei Investments Co. raised its holdings in El Pollo Loco by 203.8% in the first quarter. Sei Investments Co. now owns 635,468 shares of the restaurant operator's stock valued at $8,808,000 after buying an additional 426,320 shares during the period. 81.28% of the stock is owned by hedge funds and other institutional investors.

Key Headlines Impacting El Pollo Loco

Here are the key news stories impacting El Pollo Loco this week:

• Positive Sentiment: El Pollo Loco plans to enter New York with its first restaurant in Queens, targeted for mid-2027. More significantly, the company signed three development agreements covering 15 restaurants in the New York area over the next five years, offering a potential long-term growth avenue beyond its core California market. El Pollo Loco Announces New York Expansion and Strengthens Leadership Team to Accelerate Growth
• Positive Sentiment: The New York initiative supports management’s ambition to develop El Pollo Loco into a national grilled-chicken chain. Coverage of the planned Queens opening is increasing the company’s visibility and may improve expectations for future unit growth. El Pollo Loco to open first New York restaurant as it aims to become national chicken chain
• Positive Sentiment: The company appointed Damon Thomas as chief operating officer, a move intended to strengthen execution as El Pollo Loco expands. It also continues to add locations in Texas, including a new South Texas restaurant, supporting near-term geographic diversification. El Pollo Loco Names Damon Thomas COO, Plans New York City Debut
• Positive Sentiment: Fall beverage innovation and menu additions could help drive traffic, average checks and brand differentiation in a competitive quick-service restaurant market. El Pollo Loco showcases beverage innovation for fall menu
• Neutral Sentiment: A Zacks value-investing review focuses on valuation, earnings estimates and estimate revisions, but the supplied report does not identify a material new forecast change or specific buy recommendation. Should Value Investors Buy El Pollo Loco Stock?
• Negative Sentiment: The expansion story is primarily a future catalyst: the first New York restaurant is not expected until 2027, and the broader development agreements will require capital, successful execution and sustained customer demand. Grilled chicken chain to open first New York City restaurant in 2027

Analyst Ratings Changes

Several analysts recently issued reports on LOCO shares. Wall Street Zen downgraded El Pollo Loco from a "buy" rating to a "hold" rating in a report on Saturday, August 15th. DA Davidson raised their target price on El Pollo Loco from $15.00 to $17.00 and gave the company a "neutral" rating in a report on Monday, August 10th. Weiss Ratings lowered El Pollo Loco from a "buy (b-)" rating to a "hold (c+)" rating in a research report on Wednesday, September 16th. Freedom Capital upgraded El Pollo Loco to a "strong-buy" rating in a report on Wednesday, July 1st. Finally, Benchmark increased their price objective on shares of El Pollo Loco from $18.00 to $21.00 and gave the company a "buy" rating in a research report on Friday, August 7th. One research analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating and five have given a Hold rating to the company. Based on data from MarketBeat.com, El Pollo Loco currently has a consensus rating of "Moderate Buy" and an average price target of $16.12.

Insider Buying and Selling at El Pollo Loco

In related news, major shareholder Sardar Biglari sold 80,000 shares of El Pollo Loco stock in a transaction on Wednesday, August 5th. The shares were sold at an average price of $16.90, for a total value of $1,352,000.00. Following the completion of the sale, the insider owned 66,422 shares in the company, valued at approximately $1,122,531.80. The trade was a 54.64% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Insiders have sold a total of 194,257 shares of company stock worth $3,264,264 over the last three months. 3.00% of the stock is currently owned by company insiders.

El Pollo Loco Stock Down 0.6%

Shares of El Pollo Loco stock opened at $14.35 on Thursday. El Pollo Loco Holdings, Inc. has a 1-year low of $8.98 and a 1-year high of $17.40. The company has a market capitalization of $436.67 million, a PE ratio of 12.26 and a beta of 0.78. The company has a debt-to-equity ratio of 0.10, a current ratio of 0.41 and a quick ratio of 0.38. The business has a 50-day moving average of $15.30 and a 200-day moving average of $14.89.

El Pollo Loco (NASDAQ:LOCO - Get Free Report) last released its quarterly earnings results on Thursday, August 6th. The restaurant operator reported $0.30 EPS for the quarter, topping the consensus estimate of $0.28 by $0.02. El Pollo Loco had a return on equity of 10.87% and a net margin of 6.96%.The business had revenue of $129.57 million for the quarter, compared to analysts' expectations of $130.29 million. As a group, equities analysts forecast that El Pollo Loco Holdings, Inc. will post 0.99 EPS for the current fiscal year.

El Pollo Loco Profile

El Pollo Loco Holdings, Inc NASDAQ: LOCO operates and franchises restaurants specializing in Mexican-style fire-grilled chicken. The company's menu includes citrus-marinated, flame-grilled chicken meals, burritos, tacos, quesadillas, salads, bowls, soups, side dishes and desserts. It also offers family meals, catering and various limited-time menu items.

Founded in Mexico in 1975, El Pollo Loco expanded into the United States in 1980 and has developed a brand centered on freshly prepared food and open-flame grilling.

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