StockStory Cites Slow Growth in Its El Pollo Loco Downgrade
The publisher pointed to below-peer same-store sales and a modest analyst revenue forecast in its case against the restaurant chain.
Key takeaways
- StockStory cited a 2.3% revenue growth forecast for El Pollo Loco over the next 12 months.
- The publisher said same-store sales grew by an average of 1.7% per year.
StockStory said it sees limited opportunity in El Pollo Loco, pointing to Wall Street analysts’ forecast for 2.3% revenue growth over the next 12 months.
The publisher said the chain’s same-store sales, a measure of sales at restaurants open for at least a year, grew by an average of 1.7% per year. It described that performance as trailing most restaurant chains.
StockStory also cited the company’s $500.8 million in revenue over the past 12 months and said its smaller size could limit its advantages against larger competitors. The article reported that shares had gained 1.6% since April, compared with a 15.2% rise for the S&P 500.
This article was produced with the help of AI technology. Source: Yahoo Finance
