Is El Pollo Loco Holdings, Inc. (LOCO) halal? Halal. Based on AAOIFI screening, El Pollo Loco Holdings, Inc. passes both qualitative (business activity) and quantitative (financial ratio) screens with a compliance score of 81/100 (Grade: A).

El Pollo Loco Holdings, Inc.

LOCO: Is El Pollo Loco Holdings, Inc. Halal?

Halal

El Pollo Loco Holdings, Inc.

NASDAQConsumer CyclicalUS

$14.23

-3.53%

Purify ~2% of income

About El Pollo Loco Holdings, Inc.

El Pollo Loco Holdings, Inc., through its subsidiary, El Pollo Loco, Inc., develops, franchises, licenses, and operates quick-service restaurants under the El Pollo Loco name. As of May 04, 2022, the company operated 480 restaurants comprising 189 company-operated and 291 franchised restaurants located in California, Nevada, Arizona, Texas, Utah, and Louisiana. It also licenses one restaurant in the Philippines. The company was formerly known as Chicken Acquisition Corp. and changed its name to El Pollo Loco Holdings, Inc. in April 2014. El Pollo Loco Holdings, Inc. was founded in 1975 and is headquartered in Costa Mesa, California.

Sector: Consumer Cyclical · Industry: Restaurants

Shariah Compliance Status

AAOIFI Standard 21Updated Jun 17, 2026
A

Very Good

Strong compliance across all metrics

81Score

Business Activity Screen

Passed

Checks if the business is involved in prohibited activities (alcohol, gambling, pork, conventional banking, etc.)

Peripheral exposure (still halal, purify this share)
2.0%

Primary business is permissible. AAOIFI allows up to 5% revenue from incidental non-compliant sources, provided the share is purified.

  • •Restaurants: estimated 2.0% peripheral exposure (AAOIFI industry average)

Use the Purification Calculator to compute exactly how much of your dividend income to donate.

Financial Ratio Screen

Passed

Financial ratios must be below AAOIFI thresholds

Debt / Market Cap9.2% / 30.0%

Compliance History

Halal, unchanged since May 2026.

No status changes recorded since we began tracking.

Tracked since May 2026. Updates automatically on each re-screen.

Screened: Jun 17, 2026Fiscal: Q1 2026Source: EDGAR

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Financial Overview

Market Cap

433.4M

Price

$14.23

Sector

Consumer Cyclical

Industry

Restaurants

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Frequently Asked Questions

Is El Pollo Loco Holdings, Inc. (LOCO) halal to invest in?
Based on AAOIFI Standard 21 screening, El Pollo Loco Holdings, Inc. (LOCO) is rated Halal with a compliance grade of A (Very Good). It passes both the business activity screen (no primary involvement in prohibited sectors) and the quantitative financial ratio screen (debt, interest deposits, and prohibited income all below AAOIFI thresholds).
Why did El Pollo Loco Holdings, Inc. get a A compliance rating?
El Pollo Loco Holdings, Inc. (LOCO) received a grade of A (Very Good) based on three AAOIFI Standard 21 financial ratios: debt-to-market-cap of 9.2% (limit 30%); interest-bearing deposits of 1.3% (limit 30%); prohibited income of 0.00% (limit 5%). The grade reflects the margin of safety across all three ratios relative to their thresholds.
What could change El Pollo Loco Holdings, Inc.'s Shariah verdict?
El Pollo Loco Holdings, Inc.'s verdict is re-evaluated at each annual re-screen. Three events could change it: (1) the debt-to-market-cap ratio crossing 30%, typically from new debt issuance or a major drop in share price; (2) interest-bearing deposits exceeding 30% of market cap; or (3) prohibited revenue (alcohol, gambling, conventional finance, etc.) exceeding 5% of total revenue. Verdict flips are tracked in the compliance history section above.
How often is El Pollo Loco Holdings, Inc. re-screened for Shariah compliance?
El Pollo Loco Holdings, Inc. (LOCO) is re-screened annually using the most recent full-year financial data from SEC filings. HalalScreener also triggers an on-demand re-screen whenever the stored data is more than 7 days old, ensuring the ratios reflect the latest available financial statements. Last screened: Jun 17, 2026.

Screened according to AAOIFI Standard No. 21 · For informational purposes only. Consult a qualified Islamic finance advisor before investing.

Disclaimer: This screening is for informational purposes only and does not constitute financial, legal, or religious advice. Compliance is evaluated using AAOIFI financial standards (debt, deposits, and prohibited income ratios) and publicly available data. Ethical, political, social, or environmental considerations are outside the scope of this screening. Individual scholars and methodologies may differ. Always consult a qualified Islamic finance advisor before making investment decisions.