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Lamb Weston (LW) Dips More Than Broader Markets: What You Should Know
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In the latest trading session, Lamb Weston (LW - Free Report) closed at $94.64, marking a -1.41% move from the previous day. This change lagged the S&P 500's 0.76% loss on the day. Elsewhere, the Dow lost 0.52%, while the tech-heavy Nasdaq lost 1.15%.
Heading into today, shares of the frozen foods supplier had lost 14.33% over the past month, lagging the Consumer Staples sector's loss of 1.99% and the S&P 500's loss of 1.4% 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 $1.11 per share. This would mark year-over-year growth of 48%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.6 billion, up 42.09% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $5.21 per share and revenue of $6.83 billion, which would represent changes of +11.32% and +27.62%, respectively, from the prior year.
Any recent changes to analyst estimates for Lamb Weston should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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. The Zacks Consensus EPS estimate has moved 5% higher within the past month. Lamb Weston is currently a Zacks Rank #3 (Hold).
Investors should also note Lamb Weston's current valuation metrics, including its Forward P/E ratio of 18.43. This represents a premium compared to its industry's average Forward P/E of 16.21.
We can also see that LW currently has a PEG ratio of 1.52. 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 was holding an average PEG ratio of 2.5 at yesterday's closing price.
The Food - Miscellaneous industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 158, which puts it in the bottom 38% 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.
To follow LW in the coming trading sessions, be sure to utilize Zacks.com.
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Lamb Weston (LW) Dips More Than Broader Markets: What You Should Know
In the latest trading session, Lamb Weston (LW - Free Report) closed at $94.64, marking a -1.41% move from the previous day. This change lagged the S&P 500's 0.76% loss on the day. Elsewhere, the Dow lost 0.52%, while the tech-heavy Nasdaq lost 1.15%.
Heading into today, shares of the frozen foods supplier had lost 14.33% over the past month, lagging the Consumer Staples sector's loss of 1.99% and the S&P 500's loss of 1.4% 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 $1.11 per share. This would mark year-over-year growth of 48%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.6 billion, up 42.09% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $5.21 per share and revenue of $6.83 billion, which would represent changes of +11.32% and +27.62%, respectively, from the prior year.
Any recent changes to analyst estimates for Lamb Weston should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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. The Zacks Consensus EPS estimate has moved 5% higher within the past month. Lamb Weston is currently a Zacks Rank #3 (Hold).
Investors should also note Lamb Weston's current valuation metrics, including its Forward P/E ratio of 18.43. This represents a premium compared to its industry's average Forward P/E of 16.21.
We can also see that LW currently has a PEG ratio of 1.52. 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 was holding an average PEG ratio of 2.5 at yesterday's closing price.
The Food - Miscellaneous industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 158, which puts it in the bottom 38% 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.
To follow LW in the coming trading sessions, be sure to utilize Zacks.com.