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Lamb Weston (LW) Stock Sinks As Market Gains: What You Should Know
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Lamb Weston (LW - Free Report) closed the most recent trading day at $110.51, moving -1.54% from the previous trading session. This change lagged the S&P 500's daily gain of 0.67%. Elsewhere, the Dow gained 0.93%, while the tech-heavy Nasdaq added 9.29%.
Heading into today, shares of the frozen foods supplier had lost 1.08% over the past month, lagging the Consumer Staples sector's gain of 2.32% and the S&P 500's gain of 2.65% in that time.
Investors will be hoping for strength from Lamb Weston as it approaches its next earnings release, which is expected to be July 25, 2023. In that report, analysts expect Lamb Weston to post earnings of $1.06 per share. This would mark year-over-year growth of 63.08%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.65 billion, up 43.46% from the year-ago period.
Investors might also notice recent changes to analyst estimates for Lamb Weston. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.4% higher. Lamb Weston is currently a Zacks Rank #2 (Buy).
Valuation is also important, so investors should note that Lamb Weston has a Forward P/E ratio of 22.63 right now. For comparison, its industry has an average Forward P/E of 16.79, which means Lamb Weston is trading at a premium to the group.
Meanwhile, LW's PEG ratio is currently 0.53. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Food - Miscellaneous industry currently had an average PEG ratio of 2.76 as of yesterday's close.
The Food - Miscellaneous industry is part of the Consumer Staples sector. This group has a Zacks Industry Rank of 60, putting it in the top 24% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow LW in the coming trading sessions, be sure to utilize Zacks.com.
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Lamb Weston (LW) Stock Sinks As Market Gains: What You Should Know
Lamb Weston (LW - Free Report) closed the most recent trading day at $110.51, moving -1.54% from the previous trading session. This change lagged the S&P 500's daily gain of 0.67%. Elsewhere, the Dow gained 0.93%, while the tech-heavy Nasdaq added 9.29%.
Heading into today, shares of the frozen foods supplier had lost 1.08% over the past month, lagging the Consumer Staples sector's gain of 2.32% and the S&P 500's gain of 2.65% in that time.
Investors will be hoping for strength from Lamb Weston as it approaches its next earnings release, which is expected to be July 25, 2023. In that report, analysts expect Lamb Weston to post earnings of $1.06 per share. This would mark year-over-year growth of 63.08%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.65 billion, up 43.46% from the year-ago period.
Investors might also notice recent changes to analyst estimates for Lamb Weston. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.4% higher. Lamb Weston is currently a Zacks Rank #2 (Buy).
Valuation is also important, so investors should note that Lamb Weston has a Forward P/E ratio of 22.63 right now. For comparison, its industry has an average Forward P/E of 16.79, which means Lamb Weston is trading at a premium to the group.
Meanwhile, LW's PEG ratio is currently 0.53. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Food - Miscellaneous industry currently had an average PEG ratio of 2.76 as of yesterday's close.
The Food - Miscellaneous industry is part of the Consumer Staples sector. This group has a Zacks Industry Rank of 60, putting it in the top 24% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow LW in the coming trading sessions, be sure to utilize Zacks.com.