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Is Lamb Weston (LW) Stock Outpacing Its Consumer Staples Peers This Year?

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Investors interested in Consumer Staples stocks should always be looking to find the best-performing companies in the group. Has Lamb Weston (LW - Free Report) been one of those stocks this year? Let's take a closer look at the stock's year-to-date performance to find out.

Lamb Weston is a member of the Consumer Staples sector. This group includes 194 individual stocks and currently holds a Zacks Sector Rank of #11. The Zacks Sector Rank considers 16 different sector groups. The average Zacks Rank of the individual stocks within the groups is measured, and the sectors are listed from best to worst.

The Zacks Rank is a proven model that highlights a variety of stocks with the right characteristics to outperform the market over the next one to three months. The system emphasizes earnings estimate revisions and favors companies with improving earnings outlooks. Lamb Weston is currently sporting a Zacks Rank of #2 (Buy).

Over the past three months, the Zacks Consensus Estimate for LW's full-year earnings has moved 6% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.

Based on the most recent data, LW has returned 3.4% so far this year. In comparison, Consumer Staples companies have returned an average of -7.8%. This shows that Lamb Weston is outperforming its peers so far this year.

Another Consumer Staples stock, which has outperformed the sector so far this year, is Mondelez (MDLZ - Free Report) . The stock has returned 5.9% year-to-date.

For Mondelez, the consensus EPS estimate for the current year has increased 1.6% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

Looking more specifically, Lamb Weston belongs to the Food - Miscellaneous industry, a group that includes 47 individual stocks and currently sits at #155 in the Zacks Industry Rank. This group has lost an average of 10.8% so far this year, so LW is performing better in this area. Mondelez is also part of the same industry.

Investors interested in the Consumer Staples sector may want to keep a close eye on Lamb Weston and Mondelez as they attempt to continue their solid performance.


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