WallStSmart

El Pollo Loco Holdings Inc (LOCO)vsSea Ltd (SE)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Sea Ltd generates 5436% more annual revenue ($27.72B vs $500.79M). LOCO leads profitability with a 7.0% profit margin vs 5.9%. SE appears more attractively valued with a PEG of 1.04. LOCO earns a higher WallStSmart Score of 65/100 (C+).

LOCO

Buy

65

out of 100

Grade: C+

Growth: 6.0Profit: 5.5Value: 7.3Quality: 5.5
Piotroski: 6/9Altman Z: 1.55

SE

Buy

56

out of 100

Grade: C

Growth: 8.7Profit: 5.5Value: 6.7Quality: 6.5
Piotroski: 6/9Altman Z: 1.53
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

LOCOUndervalued (+20.3%)

Margin of Safety

+20.3%

Fair Value

$13.43

Current Price

$15.18

$1.75 discount

UndervaluedFair: $13.43Overvalued
SEUndervalued (+56.1%)

Margin of Safety

+56.1%

Fair Value

$260.75

Current Price

$106.24

$154.51 discount

UndervaluedFair: $260.75Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

LOCO3 strengths · Avg: 9.3/10
Price/BookValuation
1.5x10/10

Reasonable price relative to book value

EPS GrowthGrowth
79.2%10/10

Earnings expanding 79.2% YoY

P/E RatioValuation
12.8x8/10

Attractively priced relative to earnings

SE3 strengths · Avg: 9.0/10
Revenue GrowthGrowth
48.1%10/10

Revenue surging 48.1% year-over-year

Market CapQuality
$65.07B9/10

Large-cap with strong market position

Free Cash FlowQuality
$1.15B8/10

Generating 1.1B in free cash flow

Areas to Watch

LOCO4 concerns · Avg: 3.5/10
Revenue GrowthGrowth
3.0%4/10

3.0% revenue growth

Altman Z-ScoreHealth
1.554/10

Distress zone — elevated risk

Market CapQuality
$456.83M3/10

Smaller company, higher risk/reward

Profit MarginProfitability
7.0%3/10

7.0% margin — thin

SE3 concerns · Avg: 3.0/10
Altman Z-ScoreHealth
1.534/10

Distress zone — elevated risk

Profit MarginProfitability
5.9%3/10

5.9% margin — thin

P/E RatioValuation
41.5x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : LOCO

The strongest argument for LOCO centers on Price/Book, EPS Growth, P/E Ratio. PEG of 1.16 suggests the stock is reasonably priced for its growth.

Bull Case : SE

The strongest argument for SE centers on Revenue Growth, Market Cap, Free Cash Flow. Revenue growth of 48.1% demonstrates continued momentum. PEG of 1.04 suggests the stock is reasonably priced for its growth.

Bear Case : LOCO

The primary concerns for LOCO are Revenue Growth, Altman Z-Score, Market Cap.

Bear Case : SE

The primary concerns for SE are Altman Z-Score, Profit Margin, P/E Ratio. A P/E of 41.5x leaves little room for execution misses.

Key Dynamics to Monitor

LOCO profiles as a value stock while SE is a hypergrowth play — different risk/reward profiles.

SE carries more volatility with a beta of 1.52 — expect wider price swings.

SE is growing revenue faster at 48.1% — sustainability is the question.

SE generates stronger free cash flow (1.1B), providing more financial flexibility.

Bottom Line

LOCO scores higher overall (65/100 vs 56/100). SE offers better value entry with a 56.1% margin of safety. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

El Pollo Loco Holdings Inc

CONSUMER CYCLICAL · RESTAURANTS · USA

El Pollo Loco Holdings, Inc., through its subsidiary El Pollo Loco, Inc., develops, franchises, licenses and operates quick service restaurants under the name El Pollo Loco. The company is headquartered in Costa Mesa, California.

Sea Ltd

CONSUMER CYCLICAL · INTERNET RETAIL · USA

Sea Limited is engaged in the digital entertainment, e-commerce and digital financial services businesses in Southeast Asia, Latin America, the rest of Asia and internationally. The company is headquartered in Singapore.

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