Lamb Weston (NYSE:LW) Receives Average Recommendation of "Hold" from Brokerages

Key Points

• Lamb Weston has received an average recommendation of "Hold" from ten research firms, with a consensus one-year price target of $65.30.
• The company reported $1.68 billion in revenue for the last quarter, exceeding estimates, with $0.87 earnings per share which also topped expectations.
• Lamb Weston announced a quarterly dividend of $0.37 per share, yielding approximately 2.7%, which will be paid out to shareholders on August 29th.

Shares of Lamb Weston (NYSE:LW - Get Free Report) have earned a consensus recommendation of "Hold" from the ten research firms that are covering the company, MarketBeat reports. Seven analysts have rated the stock with a hold recommendation and three have issued a buy recommendation on the company. The average 1-year price objective among analysts that have issued ratings on the stock in the last year is $65.30.

A number of analysts recently issued reports on LW shares. Wells Fargo & Company increased their price target on shares of Lamb Weston from $65.00 to $66.00 and gave the stock an "overweight" rating in a report on Thursday, July 24th. Bank of America lowered their price target on shares of Lamb Weston from $60.00 to $56.00 and set a "neutral" rating on the stock in a report on Wednesday, June 18th. Stifel Nicolaus set a $56.00 price target on shares of Lamb Weston and gave the stock a "hold" rating in a report on Thursday, April 24th. JPMorgan Chase & Co. initiated coverage on shares of Lamb Weston in a report on Wednesday. They set a "neutral" rating and a $57.00 price target on the stock. Finally, Barclays increased their price objective on shares of Lamb Weston from $61.00 to $68.00 and gave the company an "overweight" rating in a report on Friday, July 25th.

Lamb Weston Stock Down 0.0%

NYSE:LW opened at $55.0840 on Thursday. The firm has a market capitalization of $7.68 billion, a P/E ratio of 21.95, a PEG ratio of 2.18 and a beta of 0.49. Lamb Weston has a 1-year low of $47.87 and a 1-year high of $83.98. The company's fifty day moving average price is $53.56 and its 200-day moving average price is $53.74. The company has a debt-to-equity ratio of 2.12, a current ratio of 1.38 and a quick ratio of 0.68.

Lamb Weston (NYSE:LW - Get Free Report) last announced its quarterly earnings results on Wednesday, July 23rd. The specialty retailer reported $0.87 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.64 by $0.23. Lamb Weston had a net margin of 5.54% and a return on equity of 27.99%. The firm had revenue of $1.68 billion for the quarter, compared to the consensus estimate of $1.59 billion. During the same period in the prior year, the firm posted $0.78 earnings per share. The firm's quarterly revenue was up 4.0% compared to the same quarter last year. Lamb Weston has set its FY 2026 guidance at EPS. As a group, equities research analysts anticipate that Lamb Weston will post 3.1 EPS for the current year.

Lamb Weston Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Friday, August 29th. Shareholders of record on Friday, August 1st will be issued a dividend of $0.37 per share. This represents a $1.48 annualized dividend and a yield of 2.7%. The ex-dividend date of this dividend is Friday, August 1st. Lamb Weston's dividend payout ratio (DPR) is presently 58.96%.

Hedge Funds Weigh In On Lamb Weston

Several hedge funds and other institutional investors have recently added to or reduced their stakes in LW. Mariner LLC lifted its holdings in Lamb Weston by 6.1% during the fourth quarter. Mariner LLC now owns 23,886 shares of the specialty retailer's stock valued at $1,596,000 after purchasing an additional 1,365 shares in the last quarter. Jump Financial LLC lifted its stake in shares of Lamb Weston by 30.8% in the fourth quarter. Jump Financial LLC now owns 7,022 shares of the specialty retailer's stock worth $469,000 after buying an additional 1,654 shares in the last quarter. Marshall Wace LLP purchased a new position in shares of Lamb Weston in the fourth quarter worth about $3,144,000. Canada Pension Plan Investment Board purchased a new position in shares of Lamb Weston in the fourth quarter worth about $474,000. Finally, First Trust Advisors LP lifted its stake in shares of Lamb Weston by 13.3% in the fourth quarter. First Trust Advisors LP now owns 215,256 shares of the specialty retailer's stock worth $14,386,000 after buying an additional 25,350 shares in the last quarter. 89.56% of the stock is owned by hedge funds and other 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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