Lamb Weston (NYSE:LW) Sets New 12-Month Low – What’s Next?

Shares of Lamb Weston (NYSE:LW) reached a new 52-week low during mid-day trading on Monday . The company traded as low as $39.70 and last traded at $40.0970, with a volume of 985959 shares. The stock had previously closed at $40.55.

Wall Street Analysts Forecast Growth

A number of analysts have recently commented on LW shares. Sanford C. Bernstein reissued a “market perform” rating and issued a $46.00 price objective on shares of Lamb Weston in a research report on Monday, December 29th. Weiss Ratings restated a “hold (c-)” rating on shares of Lamb Weston in a report on Monday, December 29th. Jefferies Financial Group increased their price target on Lamb Weston from $67.00 to $70.00 and gave the company a “buy” rating in a research report on Friday, December 12th. JPMorgan Chase & Co. cut their price objective on Lamb Weston from $62.00 to $50.00 and set a “neutral” rating for the company in a report on Monday, December 22nd. Finally, Zacks Research upgraded shares of Lamb Weston from a “strong sell” rating to a “hold” rating in a research note on Tuesday, March 3rd. Three investment analysts have rated the stock with a Buy rating and ten have given a Hold rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of “Hold” and an average target price of $53.00.

Lamb Weston Price Performance

The company’s 50-day simple moving average is $45.57 and its 200 day simple moving average is $53.17. The company has a market capitalization of $5.77 billion, a P/E ratio of 14.98, a P/E/G ratio of 5.95 and a beta of 0.43. The company has a quick ratio of 0.64, a current ratio of 1.43 and a debt-to-equity ratio of 2.08.

Lamb Weston (NYSE:LW) last released its quarterly earnings data on Friday, December 19th. The specialty retailer reported $0.69 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.68 by $0.01. Lamb Weston had a net margin of 6.06% and a return on equity of 27.71%. The business had revenue of $1.62 billion during the quarter, compared to analyst estimates of $1.59 billion. During the same quarter in the previous year, the business earned $0.66 EPS. Lamb Weston’s quarterly revenue was up 1.1% compared to the same quarter last year. As a group, sell-side analysts expect that Lamb Weston will post 3.1 earnings per share for the current fiscal year.

Insider Activity

In related news, insider Jan Eli B. Craps acquired 50,000 shares of the stock in a transaction dated Friday, February 6th. The shares were acquired at an average price of $48.65 per share, with a total value of $2,432,500.00. Following the acquisition, the insider owned 300,000 shares in the company, valued at approximately $14,595,000. The trade was a 20.00% increase in their position. The purchase was disclosed in a legal filing with the SEC, which can be accessed through this link. Company insiders own 0.29% of the company’s stock.

Institutional Investors Weigh In On Lamb Weston

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. AlphaQuest LLC grew its holdings in Lamb Weston by 115.5% during the third quarter. AlphaQuest LLC now owns 446 shares of the specialty retailer’s stock valued at $26,000 after purchasing an additional 239 shares during the last quarter. Quent Capital LLC acquired a new stake in shares of Lamb Weston in the third quarter worth $29,000. Motco bought a new stake in shares of Lamb Weston during the 3rd quarter worth $30,000. Blue Trust Inc. boosted its holdings in shares of Lamb Weston by 333.3% during the 3rd quarter. Blue Trust Inc. now owns 637 shares of the specialty retailer’s stock worth $37,000 after buying an additional 490 shares during the period. Finally, MCF Advisors LLC grew its stake in Lamb Weston by 44.2% in the 4th quarter. MCF Advisors LLC now owns 649 shares of the specialty retailer’s stock valued at $27,000 after buying an additional 199 shares during the last quarter. 89.56% of the stock is currently owned by institutional investors and hedge funds.

About Lamb Weston

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.