Lamb Weston (NYSE:LW) Downgraded to "Sell (D+)" Rating by Weiss Ratings

Key Points

• Lamb Weston has been downgraded to a "sell (D+)" rating by Weiss Ratings, reflecting a significant shift from its previous "hold (C-)" status.
• Despite the downgrade, several analysts, including Wells Fargo and Barclays, have raised their target prices for the stock, indicating mixed sentiment among financial experts.
• The company reported a quarterly EPS of $0.74, surpassing analyst expectations and showcasing a slight revenue increase of 0.3% year-over-year.

Lamb Weston (NYSE:LW - Get Free Report) was downgraded by equities researchers at Weiss Ratings from a "hold (c-)" rating to a "sell (d+)" rating in a report released on Wednesday,Weiss Ratings reports.

Several other analysts have also recently commented on the company. Wells Fargo & Company raised their target price on Lamb Weston from $66.00 to $68.00 and gave the stock an "overweight" rating in a research report on Wednesday, October 1st. Cowen reiterated a "hold" rating on shares of Lamb Weston in a report on Wednesday, October 1st. Barclays increased their price objective on Lamb Weston from $61.00 to $68.00 and gave the stock an "overweight" rating in a report on Friday, July 25th. Stifel Nicolaus set a $66.00 price objective on Lamb Weston in a report on Wednesday, October 1st. Finally, Deutsche Bank Aktiengesellschaft increased their price objective on Lamb Weston from $59.00 to $61.00 and gave the stock a "hold" rating in a report on Wednesday, October 1st. Four analysts have rated the stock with a Buy rating, eight have given a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, Lamb Weston currently has a consensus rating of "Hold" and a consensus target price of $65.70.

Lamb Weston Stock Performance

Shares of Lamb Weston stock opened at $64.01 on Wednesday. The stock has a market cap of $8.92 billion, a PE ratio of 30.63, a price-to-earnings-growth ratio of 4.29 and a beta of 0.52. The business has a fifty day simple moving average of $56.33 and a 200-day simple moving average of $54.44. The company has a quick ratio of 0.77, a current ratio of 1.49 and a debt-to-equity ratio of 2.05. Lamb Weston has a 12 month low of $47.87 and a 12 month high of $83.98.

Lamb Weston (NYSE:LW - Get Free Report) last issued its earnings results on Tuesday, September 30th. The specialty retailer reported $0.74 EPS for the quarter, topping the consensus estimate of $0.53 by $0.21. The business had revenue of $1.66 billion during the quarter, compared to analysts' expectations of $1.62 billion. Lamb Weston had a return on equity of 28.08% and a net margin of 4.56%.Lamb Weston's revenue was up .3% compared to the same quarter last year. During the same quarter last year, the firm posted $0.88 earnings per share. Lamb Weston has set its FY 2026 guidance at EPS. On average, sell-side analysts anticipate that Lamb Weston will post 3.1 EPS for the current fiscal year.

Hedge Funds Weigh In On Lamb Weston

A number of institutional investors have recently made changes to their positions in LW. American National Bank & Trust bought a new position in shares of Lamb Weston in the second quarter worth about $25,000. Wayfinding Financial LLC acquired a new position in shares of Lamb Weston in the 1st quarter valued at $28,000. MJT & Associates Financial Advisory Group Inc. acquired a new stake in Lamb Weston during the first quarter valued at approximately $28,000. ST Germain D J Co. Inc. boosted its holdings in Lamb Weston by 64.2% during the second quarter. ST Germain D J Co. Inc. now owns 537 shares of the specialty retailer's stock valued at $28,000 after purchasing an additional 210 shares in the last quarter. Finally, Ameriflex Group Inc. boosted its holdings in Lamb Weston by 407.7% during the second quarter. Ameriflex Group Inc. now owns 594 shares of the specialty retailer's stock valued at $32,000 after purchasing an additional 477 shares in the last quarter. 89.56% of the stock is currently owned by institutional investors.

About Lamb Weston

Lamb Weston Holdings, Inc produces, distributes, and markets frozen potato products worldwide. The company operates through four segments: Global, Foodservice, Retail, and Other. It offers frozen potatoes, commercial ingredients, and appetizers under the Lamb Weston brand, as well as under various customer labels.

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