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Lamb Weston (LW) Dips More Than Broader Markets: What You Should Know
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Lamb Weston (LW - Free Report) closed at $86.51 in the latest trading session, marking a -0.45% move from the prior day. This change lagged the S&P 500's 0.09% loss on the day. At the same time, the Dow lost 0.56%, and the tech-heavy Nasdaq gained 0.22%.
Heading into today, shares of the frozen foods supplier had gained 0.85% over the past month, lagging the Consumer Staples sector's gain of 7.02% and the S&P 500's gain of 5.55% in that time.
Investors will be hoping for strength from Lamb Weston as it approaches its next earnings release. In that report, analysts expect Lamb Weston to post earnings of $0.50 per share. This would mark no growth from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.16 billion, up 15.15% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.03 per share and revenue of $4.7 billion. These totals would mark changes of +45.67% and +14.64%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Lamb Weston. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Lamb Weston is holding a Zacks Rank of #2 (Buy) right now.
Digging into valuation, Lamb Weston currently has a Forward P/E ratio of 28.66. This valuation marks a premium compared to its industry's average Forward P/E of 20.08.
We can also see that LW currently has a PEG ratio of 1.07. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. LW's industry had an average PEG ratio of 2.85 as of yesterday's close.
The Food - Miscellaneous industry is part of the Consumer Staples sector. This group has a Zacks Industry Rank of 55, putting it in the top 22% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Lamb Weston (LW) Dips More Than Broader Markets: What You Should Know
Lamb Weston (LW - Free Report) closed at $86.51 in the latest trading session, marking a -0.45% move from the prior day. This change lagged the S&P 500's 0.09% loss on the day. At the same time, the Dow lost 0.56%, and the tech-heavy Nasdaq gained 0.22%.
Heading into today, shares of the frozen foods supplier had gained 0.85% over the past month, lagging the Consumer Staples sector's gain of 7.02% and the S&P 500's gain of 5.55% in that time.
Investors will be hoping for strength from Lamb Weston as it approaches its next earnings release. In that report, analysts expect Lamb Weston to post earnings of $0.50 per share. This would mark no growth from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.16 billion, up 15.15% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.03 per share and revenue of $4.7 billion. These totals would mark changes of +45.67% and +14.64%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Lamb Weston. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Lamb Weston is holding a Zacks Rank of #2 (Buy) right now.
Digging into valuation, Lamb Weston currently has a Forward P/E ratio of 28.66. This valuation marks a premium compared to its industry's average Forward P/E of 20.08.
We can also see that LW currently has a PEG ratio of 1.07. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. LW's industry had an average PEG ratio of 2.85 as of yesterday's close.
The Food - Miscellaneous industry is part of the Consumer Staples sector. This group has a Zacks Industry Rank of 55, putting it in the top 22% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.