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What Awaits El Pollo Loco Holdings (LOCO) in Q1 Earnings?

El Pollo Loco Holdings, Inc. LOCO is set to report first-quarter 2016 results on May 5, after the market closes. Last quarter, the company posted a positive earnings surprise of 15.38%.

The company has a trailing four-quarter average positive surprise of 10.24%.

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Let's see what is in store for this quarter.

Factors to Consider

El Pollo Loco has posted positive comps for 18 consecutive quarters. This fire-roasted chicken specialist’s fresh handcrafted Mexican inspired cuisine made it popular and ensured a steady rise in traffic. Menu innovation and limited time offers also contributed to traffic growth. We expect the trend to continue in the to-be-reported quarter.

Rising health concerns and increasing awareness about obesity and related diseases led to a shift in consumer preference toward healthy products. Apart from its signature fire grilled chicken, El Pollo Loco creates unique items that contain less than 500 calories...