Portillo’s Positioned for Transformative Growth: Buy Rating Affirmed by Sharon Zackfia

William Blair analyst Sharon Zackfia has reiterated their bullish stance on PTLO stock, giving a Buy rating on May 28.

Sharon Zackfia has given her Buy rating due to a combination of factors that highlight Portillo’s growth potential and operational improvements. The recent meetings with Portillo’s management, including the CEO and CFO, underscored the company’s strategic focus on enhancing traffic growth and improving unit-level returns. These discussions reinforced the belief that 2025 could be a transformative year for Portillo’s, driven by consistent traffic increases and optimized restaurant designs.
Moreover, the company’s efforts to address transaction growth challenges, particularly in the Midwest, are promising. Initiatives such as improving drive-thru speeds, deploying kiosks to reduce perceived wait times, and launching a loyalty program are expected to enhance customer frequency and overall traffic. These strategies, combined with the brand’s strong expansion potential and long-term revenue opportunities, support the Buy rating.

In another report released on May 28, Stifel Nicolaus also maintained a Buy rating on the stock with a $17.00 price target.