Lamb Weston (LW) Rises Higher Than Market: Key Facts
Lamb Weston (LW) closed the most recent trading day at $106.53, moving +0.22% from the previous trading session. The stock outpaced the S&P 500's daily gain of 0.11%. At the same time, the Dow added 0.12%, and the tech-heavy Nasdaq lost 0.12%.
The the stock of frozen foods supplier has risen by 5.27% in the past month, leading the Consumer Staples sector's gain of 2.04% and the S&P 500's gain of 3.55%.
The upcoming earnings release of Lamb Weston will be of great interest to investors. The company's earnings report is expected on April 4, 2024. The company is expected to report EPS of $1.41, down 1.4% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $1.65 billion, up 31.41% from the year-ago period.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $5.97 per share and revenue of $6.86 billion. These totals would mark changes of +27.56% and +28.26%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for Lamb Weston. These latest adjustments often mirror the shifting dynamics of short-term business patterns. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Lamb Weston currently has a Zacks Rank of #3 (Hold).
Investors should also note Lamb Weston's current valuation metrics, including its Forward P/E ratio of 17.82. Its industry sports an average Forward P/E of 17.62, so one might conclude that Lamb Weston is trading at a premium comparatively.
We can also see that LW currently has a PEG ratio of 1.19. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As the market closed yesterday, the Food - Miscellaneous industry was having an average PEG ratio of 2.01.
The Food - Miscellaneous industry is part of the Consumer Staples sector. At present, this industry carries a Zacks Industry Rank of 71, placing it within the top 29% of over 250 industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Lamb Weston (LW) : Free Stock Analysis Report
