Lamb Weston (NYSE:LW) Given New $54.00 Price Target at Wells Fargo & Company

Key Points

• Wells Fargo cut Lamb Weston’s price target from $57 to $54 while maintaining an “overweight” rating, implying 23.46% upside from the prior close.
• Analyst sentiment is broadly cautious: the stock has a consensus “Hold” rating from MarketBeat, with an average price target of $52.45.
• Lamb Weston’s latest quarter exceeded expectations, with earnings of $0.87 per share versus a $0.63 estimate and revenue of $1.77 billion, up 5.6% year over year.

Lamb Weston (NYSE:LW - Get Free Report) had its price target dropped by stock analysts at Wells Fargo & Company from $57.00 to $54.00 in a research note issued to investors on Monday, Benzinga reports. The brokerage currently has an "overweight" rating on the specialty retailer's stock. Wells Fargo & Company's target price indicates a potential upside of 23.46% from the company's previous close.

A number of other equities research analysts also recently weighed in on the stock. Deutsche Bank Aktiengesellschaft reaffirmed a "hold" rating and issued a $52.00 target price on shares of Lamb Weston in a research note on Monday, July 27th. Stephens dropped their target price on Lamb Weston from $55.00 to $50.00 and set an "equal weight" rating for the company in a research report on Monday, September 28th. Weiss Ratings raised Lamb Weston from a "sell (d+)" rating to a "hold (c-)" rating in a research note on Tuesday, July 28th. Wall Street Zen cut shares of Lamb Weston from a "buy" rating to a "hold" rating in a research report on Saturday. Finally, JPMorgan Chase & Co. decreased their price target on shares of Lamb Weston from $52.00 to $46.00 and set a "neutral" rating on the stock in a research note on Wednesday, September 30th. Three investment analysts have rated the stock with a Buy rating and ten have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, the stock has a consensus rating of "Hold" and an average target price of $52.45.

Lamb Weston Price Performance

Shares of Lamb Weston stock traded up $0.14 during trading on Monday, hitting $43.74. The stock had a trading volume of 404,983 shares, compared to its average volume of 2,182,629. The company has a current ratio of 1.42, a quick ratio of 0.74 and a debt-to-equity ratio of 1.97. Lamb Weston has a 12 month low of $37.62 and a 12 month high of $67.07. The firm has a market cap of $6.01 billion, a price-to-earnings ratio of 21.03, a P/E/G ratio of 1.94 and a beta of 0.49. The business's 50-day moving average is $50.30 and its 200 day moving average is $45.93.

Lamb Weston (NYSE:LW - Get Free Report) last posted its quarterly earnings data on Friday, July 24th. The specialty retailer reported $0.87 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.63 by $0.24. Lamb Weston had a return on equity of 23.33% and a net margin of 4.39%.The company had revenue of $1.77 billion during the quarter, compared to analyst estimates of $1.70 billion. During the same quarter last year, the company earned $0.87 earnings per share. The firm's quarterly revenue was up 5.6% on a year-over-year basis. Lamb Weston has set its FY 2027 guidance at 2.950-3.250 EPS. As a group, sell-side analysts anticipate that Lamb Weston will post 3.06 earnings per share for the current year.

Institutional Trading of Lamb Weston

Hedge funds have recently made changes to their positions in the stock. CX Institutional increased its position in Lamb Weston by 162.7% during the 3rd quarter. CX Institutional now owns 34,674 shares of the specialty retailer's stock valued at $1,446,000 after buying an additional 21,476 shares in the last quarter. State Street Corp grew its stake in shares of Lamb Weston by 6.4% in the second quarter. State Street Corp now owns 4,869,644 shares of the specialty retailer's stock worth $210,271,000 after acquiring an additional 294,120 shares during the last quarter. MAC Alpha Capital Management LP increased its holdings in shares of Lamb Weston by 5.8% during the second quarter. MAC Alpha Capital Management LP now owns 104,103 shares of the specialty retailer's stock valued at $4,496,000 after acquiring an additional 5,700 shares in the last quarter. The Manufacturers Life Insurance Company increased its holdings in shares of Lamb Weston by 13.1% during the second quarter. The Manufacturers Life Insurance Company now owns 36,968 shares of the specialty retailer's stock valued at $1,596,000 after acquiring an additional 4,273 shares in the last quarter. Finally, Capstone Financial Advisors Inc. raised its position in shares of Lamb Weston by 37.3% in the 2nd quarter. Capstone Financial Advisors Inc. now owns 18,389 shares of the specialty retailer's stock worth $794,000 after purchasing an additional 5,000 shares during the last quarter. 89.56% of the stock is owned by institutional investors.

About Lamb Weston

Lamb Weston Holdings, Inc NYSE: LW is a global producer and marketer of frozen potato products. The company supplies French fries, potato wedges, hash browns, potato rounds, mashed potatoes and other specialty potato products to restaurants, foodservice distributors, retailers and food manufacturers.

Its product portfolio includes conventional and specialty frozen potato offerings, as well as sweet potato products and appetizer items. Lamb Weston sells products under its Lamb Weston and Grown in Idaho brands, while also providing private-label products for retail and foodservice customers.

The company's history dates to the 1950s, when it began producing frozen potato products in the Pacific Northwest.

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