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El Pollo Loco Holdings (El Pollo Loco Holdings) Piotroski F-Score

: 7 (As of Today)
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Good Sign:

Piotroski F-Score is 7, indicates a very healthy situation.

The zones of discrimination were as such:

Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3

El Pollo Loco Holdings has an F-score of 7. It is a good or high score, which usually indicates a very healthy situation.

The historical rank and industry rank for El Pollo Loco Holdings's Piotroski F-Score or its related term are showing as below:

LOCO' s Piotroski F-Score Range Over the Past 10 Years
Min: 4   Med: 6   Max: 7
Current: 7

During the past 12 years, the highest Piotroski F-Score of El Pollo Loco Holdings was 7. The lowest was 4. And the median was 6.


El Pollo Loco Holdings Piotroski F-Score Historical Data

The historical data trend for El Pollo Loco Holdings's Piotroski F-Score can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

El Pollo Loco Holdings Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Piotroski F-Score
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 6.00 6.00 7.00 4.00 7.00

El Pollo Loco Holdings Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Piotroski F-Score Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 4.00 5.00 4.00 7.00 7.00

Competitive Comparison

For the Restaurants subindustry, El Pollo Loco Holdings's Piotroski F-Score, along with its competitors' market caps and Piotroski F-Score data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


El Pollo Loco Holdings Piotroski F-Score Distribution

For the Restaurants industry and Consumer Cyclical sector, El Pollo Loco Holdings's Piotroski F-Score distribution charts can be found below:

* The bar in red indicates where El Pollo Loco Holdings's Piotroski F-Score falls into.


How is the Piotroski F-Score calculated?

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

This Year (Dec23) TTM:Last Year (Dec22) TTM:
Net Income was 4.918 + 7.056 + 9.229 + 4.351 = $25.6 Mil.
Cash Flow from Operations was 3.819 + 17.977 + 10.713 + 8.179 = $40.7 Mil.
Revenue was 114.526 + 121.492 + 120.399 + 112.247 = $468.7 Mil.
Gross Profit was 22.316 + 25.673 + 22.883 + 22.823 = $93.7 Mil.
Average Total Assets from the begining of this year (Dec22)
to the end of this year (Dec23) was
(597.218 + 590.325 + 597.164 + 593.028 + 592.301) / 5 = $594.0072 Mil.
Total Assets at the begining of this year (Dec22) was $597.2 Mil.
Long-Term Debt & Capital Lease Obligation was $253.7 Mil.
Total Current Assets was $25.1 Mil.
Total Current Liabilities was $72.6 Mil.
Net Income was 2.115 + 7.141 + 5.009 + 6.536 = $20.8 Mil.

Revenue was 110.048 + 124.111 + 119.878 + 115.922 = $470.0 Mil.
Gross Profit was 17.068 + 24.016 + 20.489 + 22.127 = $83.7 Mil.
Average Total Assets from the begining of last year (Dec21)
to the end of last year (Dec22) was
(613.786 + 609.44 + 619.403 + 602.369 + 597.218) / 5 = $608.4432 Mil.
Total Assets at the begining of last year (Dec21) was $613.8 Mil.
Long-Term Debt & Capital Lease Obligation was $232.8 Mil.
Total Current Assets was $37.4 Mil.
Total Current Liabilities was $68.5 Mil.

*Note: If the latest quarterly/semi-annual/annual total assets data is 0, then we will use previous quarterly/semi-annual/annual data for all the items in the balance sheet.

Profitability

Question 1. Return on Assets (ROA)

Net income before extraordinary items for the year divided by Total Assets at the beginning of the year.

Score 1 if positive, 0 if negative.

El Pollo Loco Holdings's current Net Income (TTM) was 25.6. ==> Positive ==> Score 1.

Question 2. Cash Flow Return on Assets (CFROA)

Net cash flow from operating activities (operating cash flow) divided by Total Assets at the beginning of the year.

Score 1 if positive, 0 if negative.

El Pollo Loco Holdings's current Cash Flow from Operations (TTM) was 40.7. ==> Positive ==> Score 1.

Question 3. Change in Return on Assets

Compare this year's return on assets (1) to last year's return on assets.

Score 1 if it's higher, 0 if it's lower.

ROA (This Year)=Net Income/Total Assets (Dec22)
=25.554/597.218
=0.0427884

ROA (Last Year)=Net Income/Total Assets (Dec21)
=20.801/613.786
=0.03388966

El Pollo Loco Holdings's return on assets of this year was 0.0427884. El Pollo Loco Holdings's return on assets of last year was 0.03388966. ==> This year is higher. ==> Score 1.

Question 4. Quality of Earnings (Accrual)

Compare Cash flow return on assets (2) to return on assets (1)

Score 1 if CFROA > ROA, 0 if CFROA <= ROA.

El Pollo Loco Holdings's current Net Income (TTM) was 25.6. El Pollo Loco Holdings's current Cash Flow from Operations (TTM) was 40.7. ==> 40.7 > 25.6 ==> CFROA > ROA ==> Score 1.

Funding

Question 5. Change in Gearing or Leverage

Compare this year's gearing (long-term debt divided by average total assets) to last year's gearing.

Score 0 if this year's gearing is higher, 1 otherwise.

Gearing (This Year: Dec23)=Long-Term Debt & Capital Lease Obligation/Average Total Assets from Dec22 to Dec23
=253.701/594.0072
=0.42710088

Gearing (Last Year: Dec22)=Long-Term Debt & Capital Lease Obligation/Average Total Assets from Dec21 to Dec22
=232.775/608.4432
=0.38257474

El Pollo Loco Holdings's gearing of this year was 0.42710088. El Pollo Loco Holdings's gearing of last year was 0.38257474. ==> Last year is lower than this year ==> Score 0.

Question 6. Change in Working Capital (Liquidity)

Compare this year's current ratio (current assets divided by current liabilities) to last year's current ratio.

Score 1 if this year's current ratio is higher, 0 if it's lower

Current Ratio (This Year: Dec23)=Total Current Assets/Total Current Liabilities
=25.134/72.581
=0.34628897

Current Ratio (Last Year: Dec22)=Total Current Assets/Total Current Liabilities
=37.449/68.513
=0.546597

El Pollo Loco Holdings's current ratio of this year was 0.34628897. El Pollo Loco Holdings's current ratio of last year was 0.546597. ==> Last year's current ratio is higher ==> Score 0.

Question 7. Change in Shares in Issue

Compare the number of shares in issue this year, to the number in issue last year.

Score 0 if there is larger number of shares in issue this year, 1 otherwise.

El Pollo Loco Holdings's number of shares in issue this year was 31.96. El Pollo Loco Holdings's number of shares in issue last year was 36.829. ==> There is smaller number of shares in issue this year, or the same. ==> Score 1.

Efficiency

Question 8. Change in Gross Margin

Compare this year's gross margin (Gross Profit divided by sales) to last year's.

Score 1 if this year's gross margin is higher, 0 if it's lower.

Gross Margin (This Year: TTM)=Gross Profit/Revenue
=93.695/468.664
=0.19991935

Gross Margin (Last Year: TTM)=Gross Profit/Revenue
=83.7/469.959
=0.17810064

El Pollo Loco Holdings's gross margin of this year was 0.19991935. El Pollo Loco Holdings's gross margin of last year was 0.17810064. ==> This year's gross margin is higher. ==> Score 1.

Question 9. Change in asset turnover

Compare this year's asset turnover (total sales for the year divided by total assets at the beginning of the year) to last year's asset turnover ratio.

Score 1 if this year's asset turnover ratio is higher, 0 if it's lower

Asset Turnover (This Year)=Revenue/Total Assets at the Beginning of This Year (Dec22)
=468.664/597.218
=0.78474527

Asset Turnover (Last Year)=Revenue/Total Assets at the Beginning of Last Year (Dec21)
=469.959/613.786
=0.7656724

El Pollo Loco Holdings's asset turnover of this year was 0.78474527. El Pollo Loco Holdings's asset turnover of last year was 0.7656724. ==> This year's asset turnover is higher. ==> Score 1.

Evaluation

Piotroski F-Score= Que. 1+ Que. 2+ Que. 3+Que. 4+Que. 5+Que. 6+Que. 7+Que. 8+Que. 9
=1+1+1+1+0+0+1+1+1
=7

Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3

El Pollo Loco Holdings has an F-score of 7. It is a good or high score, which usually indicates a very healthy situation.

El Pollo Loco Holdings  (NAS:LOCO) Piotroski F-Score Explanation

The developer of the system is Joseph D. Piotroski is relatively unknown accounting professor who shuns publicity and rarely gives interviews.

He graduated from the University of Illinois with a B.S. in accounting in 1989, received an M.B.A. from Indiana University in 1994. Five years later, in 1999, after earning a Ph.D. in accounting from the University of Michigan, he became an associate professor of accounting at the University of Chicago.

In 2000, he wrote a research paper called "Value Investing: The Use of Historical Financial Statement Information to Separate Winners from Losers" (pdf).

He wanted to see if he can develop a system (using a simple nine-point scoring system) that can increase the returns of a strategy of investing in low price to book (referred to in the paper as high book to market) value companies.

What he found was something that exceeded his most optimistic expectations.

Buying only those companies that scored highest (8 or 9) on his nine-point scale, or F-Score as he called it, over the 20 year period from 1976 to 1996 led to an average out-performance over the market of 13.4%.

Even more impressive were the results of a strategy of investing in the highest F-Score companies (8 or 9) and shorting companies with the lowest F-Score (0 or 1).

Over the same period from 1976 to 1996 (20 years) this strategy led to an average yearly return of 23%, substantially outperforming the average S&P 500 index return of 15.83% over the same period.


El Pollo Loco Holdings Piotroski F-Score Related Terms

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El Pollo Loco Holdings (El Pollo Loco Holdings) Business Description

Traded in Other Exchanges
Address
3535 Harbor Boulevard, Suite 100, Costa Mesa, CA, USA, 92626
El Pollo Loco Holdings Inc operates and franchises hundreds of fast-casual chicken restaurants in the United States. Restaurant locations are typically free-standing and include drive-thrus, and menus include many low-priced options. Poultry is the company's largest food cost, accounting for roughly 38% of total food and paper cost, and the company manages that commodity price risk by using multiple suppliers and entering supply contracts of varying lengths depending on market conditions.
Executives
Sardar Biglari, 10 percent owner C/O BIGLARI HOLDINGS INC., 19100 RIDGEWOOD PKWY, SUITE 1200, SAN ANTONIO TX 78259
Biglari Holdings Inc. 10 percent owner 19100 RIDGEWOOD PKWY, SUITE 1200, SAN ANTONIO TX 78259
John M Roth director 299 PARK AVENUE, 20TH FLOOR, NEW YORK NY 10171
Fs Capital Partners V, Llc 10 percent owner 11100 SANTA MONICA BOULEVARD, SUITE 1900, LOS ANGELES CA 90025
Biglari Capital Corp. 10 percent owner 19100 RIDGEWOOD PKWY, SUITE 1200, SAN ANTONIO TX 78259
Lion Fund Ii, L.p. 10 percent owner 19100 RIDGEWOOD PKWY, SUITE 1200, SAN ANTONIO TX 78259
Laurance Roberts officer: Chief Financial Officer C/O EL POLLO LOCO HOLDINGS, INC., 3535 HARBOR BLVD., SUITE 100, COSTA MESA CA 92626
Maria Hollandsworth officer: Chief Operating Officer 3535 HARBOR BLVD, STE 100, COSTA MESA CA 92626
Fs Equity Partners V Lp 10 percent owner 11100 SANTA MONICA BLVD., LOS ANGELES CA 90025
Fs Affiliates V, L.p. 10 percent owner 11100 SANTA MONICA BLVD, SUITE 1900, LOS ANGELES CA 90025
John M. Roth director, 10 percent owner C/O EL POLLO LOCO HOLDINGS, INC., 3535 HARBOR BLVD., SUITE 100, COSTA MESA CA 92626
Ira Fils officer: Chief Financial Officer C/O EL POLLO LOCO HOLDINGS, INC., 3535 HARBOR BLVD., SUITE 100, COSTA MESA CA 92614
Miguel Lozano officer: CHIEF OPERATING OFFICER 3535 HARBOR BLVD., # 100, COSTA MESA CA 92626
Deborah Gonzalez director 3535 HARBOR BLVD., SUITE 100, COSTA MESA CA 92626
Faginas Cody Nancy director 3535 HARBOR BLVD, SUITE 100, COSTA MESA CA 92626