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

Key Points

• Lamb Weston raised its FY 2027 outlook, guiding for EPS of 2.95 to 3.25 versus the consensus estimate of 3.02. It also projected revenue of $6.6 billion to $6.7 billion, above the Street’s $6.4 billion expectation.
• The company’s most recent quarterly results were stronger than expected, with EPS of $0.87 beating estimates by $0.25 and revenue of $1.77 billion topping forecasts. Management’s guidance suggests continued solid demand for its frozen potato products.
• Analyst sentiment remains cautious overall, with the stock carrying an average Hold rating and an average price target of $49.27. Shares rose 2.4% to open at $49.17 following the guidance update.

Lamb Weston (NYSE:LW - Get Free Report) issued an update on its FY 2027 earnings guidance on Friday morning. The company provided EPS guidance of 2.950-3.250 for the period, compared to the consensus estimate of 3.020. The company issued revenue guidance of $6.6 billion-$6.7 billion, compared to the consensus revenue estimate of $6.4 billion.

Analyst Ratings Changes

Several analysts recently issued reports on LW shares. Bank of America cut their price target on shares of Lamb Weston from $49.00 to $47.00 and set a "neutral" rating on the stock in a report on Thursday, April 2nd. Wells Fargo & Company boosted their target price on shares of Lamb Weston from $46.00 to $54.00 and gave the stock an "overweight" rating in a research report on Wednesday, July 8th. JPMorgan Chase & Co. upped their target price on shares of Lamb Weston from $43.00 to $48.00 and gave the company a "neutral" rating in a research note on Thursday, July 9th. BNP Paribas Exane decreased their price target on Lamb Weston from $48.00 to $41.00 and set a "neutral" rating for the company in a research note on Thursday, April 2nd. Finally, Stephens initiated coverage on Lamb Weston in a report on Wednesday, May 27th. They issued an "equal weight" rating and a $46.00 price objective for the company. Three investment analysts have rated the stock with a Buy rating, ten have issued a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, the stock has an average rating of "Hold" and an average target price of $49.27.

Lamb Weston Trading Up 2.4%

Shares of LW stock opened at $49.17 on Friday. Lamb Weston has a 1 year low of $37.62 and a 1 year high of $67.07. The firm has a market capitalization of $6.79 billion, a PE ratio of 22.98, a price-to-earnings-growth ratio of 6.37 and a beta of 0.47. The stock has a fifty day moving average of $44.62 and a two-hundred day moving average of $44.22. The company has a debt-to-equity ratio of 1.99, a quick ratio of 0.69 and a current ratio of 1.46.

Lamb Weston (NYSE:LW - Get Free Report) last issued its quarterly earnings data on Friday, July 24th. The specialty retailer reported $0.87 earnings per share for the quarter, beating analysts' consensus estimates of $0.62 by $0.25. The business had revenue of $1.77 billion for the quarter, compared to analysts' expectations of $1.70 billion. Lamb Weston had a net margin of 4.61% and a return on equity of 23.77%. Lamb Weston has set its FY 2027 guidance at 2.950-3.250 EPS. As a group, research analysts expect that Lamb Weston will post 2.85 EPS for the current year.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in LW. Bank of Nova Scotia increased its stake in Lamb Weston by 2.0% in the 3rd quarter. Bank of Nova Scotia now owns 9,685 shares of the specialty retailer's stock valued at $563,000 after buying an additional 189 shares during the last quarter. Fiduciary Trust Co increased its holdings in shares of Lamb Weston by 7.5% in the third quarter. Fiduciary Trust Co now owns 4,324 shares of the specialty retailer's stock valued at $251,000 after purchasing an additional 300 shares during the last quarter. Larson Financial Group LLC raised its position in shares of Lamb Weston by 47.1% in the third quarter. Larson Financial Group LLC now owns 953 shares of the specialty retailer's stock valued at $55,000 after purchasing an additional 305 shares during the period. Ossiam lifted its stake in shares of Lamb Weston by 5.4% during the 3rd quarter. Ossiam now owns 6,297 shares of the specialty retailer's stock worth $366,000 after buying an additional 325 shares during the last quarter. Finally, Principal Securities Inc. lifted its stake in shares of Lamb Weston by 5.8% during the 4th quarter. Principal Securities Inc. now owns 6,217 shares of the specialty retailer's stock worth $260,000 after buying an additional 342 shares during the last quarter. Institutional investors and hedge funds own 89.56% of the company's stock.

Lamb Weston Company Profile

Lamb Weston, traded on the NYSE under the symbol LW, is a leading global processor and supplier of frozen potato products. The company's portfolio includes a variety of potato-based items such as French fries, potato wedges, hash browns and specialty cuts tailored to the foodservice and retail grocery channels. Lamb Weston serves quick-service restaurants, full-service operators, grocery chains and food distributors, offering customized product formats, packaging solutions and seasoning options to meet evolving customer demands.

Founded in 1950 and headquartered in Eagle, Idaho, Lamb Weston has grown from a regional processor into one of the world's largest producers of frozen potato products.

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