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DCF valuation

What is El Pollo Loco Holdings, Inc. worth?

With the base-case assumptions below, a discounted cash flow model on El Pollo Loco Holdings, Inc.'s reported free cash flow gives $13.60 per share. The share price was $14.09 on September 25, 2026, 4% above that value.

Inputs from the filings

Free cash flow, fiscal 2025
$25.4M
Average free cash flow, last 5 years
$25.2M
Cash
$13.3M
balance sheet of July 1, 2026
Debt
$30M
balance sheet of July 1, 2026
Diluted shares, fiscal 2025
29,396,890
Revenue growth per year, last 5 years
2.8%

Three sets of assumptions

CaseGrowth yrs 1-5Growth yrs 6-10After year 10Discount rateValue per shareValue vs price
Bear-2.0%-0.0%2.0%10.0%$8.22-42%
Base3.0%3.0%2.5%9.0%$13.60-3%
Bull8.0%5.5%3.0%8.0%$23.65+68%

Sensitivity: base case value per share

Discount rate down the side, growth after year 10 across the top. Everything else as in the base case.

1.5%2.0%2.5%3.0%3.5%
7.0%$17.40$18.55$19.96$21.72$23.98
8.0%$14.57$15.32$16.20$17.26$18.55
9.0%$12.50$13.01$13.60$14.29$15.10
10.0%$10.92$11.28$11.70$12.17$12.71
11.0%$9.68$9.94$10.24$10.57$10.95

Where the presets come from

Base: years 1 to 5 grow at El Pollo Loco Holdings, Inc.'s revenue growth rate over the last 5 fiscal years (2.8% a year), held between -5% and 15%. Years 6 to 10 grow halfway between that and the long-run rate of 2.5%. Future cash is discounted at 9% a year.

Bear: 5 points less growth, 2% long-run growth, 10% discount rate. Bull: 5 points more growth (at most 25%), 3% long-run growth, 8% discount rate.

Value per share = (present value of 10 years of free cash flow + present value of everything after + cash - debt) / diluted shares.

This is a model run on assumptions, not a recommendation or a price target. Small changes in the discount rate or growth move the result a lot, as the table above shows. Change them yourself in the calculator.

Adjust the assumptions

Move the sliders for growth, long-run growth and discount rate, or switch to average free cash flow, and see the value per share change.

Adjust the assumptions

El Pollo Loco Holdings, Inc. company page