Lamb Weston (NYSE:LW) Releases FY 2027 Earnings Guidance

Key Points

• Lamb Weston raised its FY 2027 EPS guidance to $3.05–$3.35, above the analyst consensus estimate of $3.02. The company did not provide updated revenue guidance, while consensus revenue stands at approximately $6.5 billion.
• The company’s latest quarterly results exceeded expectations, with EPS of $0.87 versus the $0.63 consensus and revenue of $1.77 billion versus $1.70 billion; revenue increased 5.6% year over year.
• Analysts remain cautious overall, with three Buy ratings and ten Holds producing a consensus rating of Hold and an average price target of $52.45. Lamb Weston also pays a $0.38 quarterly dividend, equivalent to a 3.4% yield.

Lamb Weston (NYSE:LW - Get Free Report) updated its FY 2027 earnings guidance on Tuesday. The company provided earnings per share (EPS) guidance of 3.050-3.350 for the period, compared to the consensus earnings per share estimate of 3.020. The company issued revenue guidance of -, compared to the consensus revenue estimate of $6.5 billion.

Wall Street Analyst Weigh In

LW has been the subject of several research analyst reports. TD Cowen lifted their price objective on Lamb Weston from $40.00 to $52.00 and gave the stock a "hold" rating in a report on Tuesday, July 28th. Barclays increased their target price on Lamb Weston from $50.00 to $56.00 and gave the company an "overweight" rating in a research report on Monday, July 27th. Stifel Nicolaus boosted their price objective on shares of Lamb Weston from $45.00 to $52.00 and gave the company a "hold" rating in a research report on Monday, July 27th. Weiss Ratings upgraded shares of Lamb Weston from a "sell (d+)" rating to a "hold (c-)" rating in a report on Tuesday, July 28th. Finally, Sanford C. Bernstein lifted their price objective on shares of Lamb Weston from $42.00 to $57.00 and gave the company a "market perform" rating in a report on Tuesday, July 28th. Three investment analysts have rated the stock with a Buy rating and ten have assigned a Hold rating to the company's stock. According to data from MarketBeat, the company has an average rating of "Hold" and a consensus price target of $52.45.

Lamb Weston Trading Up 2.6%

Shares of LW stock opened at $44.74 on Tuesday. The company has a debt-to-equity ratio of 1.97, a current ratio of 1.42 and a quick ratio of 0.74. Lamb Weston has a 1-year low of $37.62 and a 1-year high of $67.07. The company has a market cap of $6.15 billion, a price-to-earnings ratio of 21.51, a PEG ratio of 1.94 and a beta of 0.49. The stock has a 50 day simple moving average of $50.13 and a 200-day simple moving average of $45.96.

Lamb Weston (NYSE:LW - Get Free Report) last posted its quarterly earnings results on Friday, July 24th. The specialty retailer reported $0.87 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.63 by $0.24. Lamb Weston had a return on equity of 23.33% and a net margin of 4.39%.The business had revenue of $1.77 billion during the quarter, compared to analyst estimates of $1.70 billion. During the same period in the prior year, the business earned $0.87 earnings per share. The business's revenue was up 5.6% compared to the same quarter last year. Lamb Weston has set its FY 2027 guidance at 2.950-3.250 EPS. On average, equities research analysts expect that Lamb Weston will post 3.06 EPS for the current fiscal year.

Lamb Weston Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Friday, September 4th. Stockholders of record on Friday, August 7th were issued a $0.38 dividend. The ex-dividend date was Friday, August 7th. This represents a $1.52 annualized dividend and a dividend yield of 3.4%. Lamb Weston's dividend payout ratio is presently 73.08%.

Lamb Weston News Summary

Here are the key news stories impacting Lamb Weston this week:

• Positive Sentiment: Analysts are watching for another earnings beat, with potential support from volume growth, market-share gains and productivity improvements. Lamb Weston’s recently reported results also exceeded consensus estimates for both earnings and revenue, reinforcing optimism ahead of the release. Lamb Weston earnings preview
• Positive Sentiment: Wells Fargo maintained an “overweight” rating and set a $54 price target, implying substantial potential upside from recent trading levels despite reducing its previous target from $57. The favorable rating and estimate revisions may be contributing to the stock’s recent strength. Lamb Weston stock price target lowered at Wells Fargo
• Neutral Sentiment: The main near-term catalyst is the earnings announcement, which is expected to clarify whether Lamb Weston’s recent pattern of stronger profits despite softer sales can continue. Investors will likely focus on demand, pricing, margins and full-year guidance. Lamb Weston Q1 2027 earnings preview
• Negative Sentiment: Pre-earnings commentary highlights risks from cost inflation and pricing pressure. Revenue weakness remains a concern, particularly if lower sales volumes offset efficiency gains or if management issues cautious guidance. LW Q1 earnings surprise streak preview

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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