Lamb Weston (NYSE:LW) Trading 2.5% Higher – Still a Buy?

Lamb Weston Holdings, Inc. (NYSE:LW)’s stock price traded up 2.5% during trading on Friday . The company traded as high as $67.01 and last traded at $66.94. 204,638 shares traded hands during trading, a decline of 92% from the average session volume of 2,532,862 shares. The stock had previously closed at $65.28.

Wall Street Analyst Weigh In

Several research firms have recently issued reports on LW. Deutsche Bank Aktiengesellschaft began coverage on shares of Lamb Weston in a research report on Thursday, December 12th. They set a “hold” rating and a $81.00 price objective on the stock. Jefferies Financial Group lifted their price target on shares of Lamb Weston from $80.00 to $95.00 and gave the company a “buy” rating in a report on Tuesday, December 17th. Barclays dropped their price objective on shares of Lamb Weston from $87.00 to $69.00 and set an “overweight” rating for the company in a report on Monday, December 23rd. Wells Fargo & Company lifted their target price on Lamb Weston from $70.00 to $77.00 and gave the stock an “overweight” rating in a report on Thursday, October 3rd. Finally, TD Cowen increased their price target on Lamb Weston from $61.00 to $65.00 and gave the company a “hold” rating in a research note on Tuesday, September 24th. One analyst has rated the stock with a sell rating, eight have given a hold rating and five have issued a buy rating to the company’s stock. According to MarketBeat, Lamb Weston has a consensus rating of “Hold” and a consensus target price of $81.00.

Lamb Weston Stock Up 2.6 %

The company has a debt-to-equity ratio of 1.87, a quick ratio of 0.54 and a current ratio of 1.19. The company has a fifty day simple moving average of $75.97 and a two-hundred day simple moving average of $71.85. The firm has a market capitalization of $9.56 billion, a PE ratio of 15.73, a PEG ratio of 1.42 and a beta of 0.70.

Lamb Weston (NYSE:LW) last posted its quarterly earnings results on Thursday, December 19th. The specialty retailer reported $0.66 EPS for the quarter, missing the consensus estimate of $1.01 by ($0.35). Lamb Weston had a net margin of 9.57% and a return on equity of 34.33%. The business had revenue of $1.60 billion during the quarter, compared to the consensus estimate of $1.67 billion. During the same quarter in the prior year, the firm posted $1.45 EPS. The company’s revenue for the quarter was down 7.5% compared to the same quarter last year. Analysts forecast that Lamb Weston Holdings, Inc. will post 4.26 EPS for the current fiscal year.

Lamb Weston Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, February 28th. Shareholders of record on Friday, January 31st will be issued a $0.37 dividend. The ex-dividend date of this dividend is Friday, January 31st. This is an increase from Lamb Weston’s previous quarterly dividend of $0.36. This represents a $1.48 dividend on an annualized basis and a yield of 2.21%. Lamb Weston’s payout ratio is currently 58.50%.

Insider Transactions at Lamb Weston

In other Lamb Weston news, Director Charles A. Blixt bought 1,200 shares of Lamb Weston stock in a transaction that occurred on Monday, December 23rd. The shares were bought at an average cost of $63.25 per share, with a total value of $75,900.00. Following the transaction, the director now directly owns 22,982 shares of the company’s stock, valued at approximately $1,453,611.50. This represents a 5.51 % increase in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Insiders own 0.72% of the company’s stock.

Institutional Investors Weigh In On Lamb Weston

Several institutional investors and hedge funds have recently made changes to their positions in LW. Principal Financial Group Inc. boosted its position in Lamb Weston by 2.4% in the third quarter. Principal Financial Group Inc. now owns 165,953 shares of the specialty retailer’s stock valued at $10,744,000 after buying an additional 3,927 shares during the last quarter. Synovus Financial Corp boosted its holdings in shares of Lamb Weston by 22.5% in the 3rd quarter. Synovus Financial Corp now owns 4,075 shares of the specialty retailer’s stock valued at $264,000 after acquiring an additional 749 shares during the last quarter. Tidal Investments LLC increased its stake in shares of Lamb Weston by 52.0% in the third quarter. Tidal Investments LLC now owns 35,089 shares of the specialty retailer’s stock worth $2,272,000 after acquiring an additional 12,010 shares during the period. Wilmington Savings Fund Society FSB purchased a new position in shares of Lamb Weston during the third quarter worth $63,000. Finally, Toronto Dominion Bank lifted its position in Lamb Weston by 49.5% during the third quarter. Toronto Dominion Bank now owns 65,331 shares of the specialty retailer’s stock valued at $4,230,000 after purchasing an additional 21,639 shares during the period. 89.56% of the stock is currently owned by institutional investors and hedge funds.

About Lamb Weston

Lamb Weston Holdings, Inc produces, distributes, and markets frozen potato products worldwide. The company operates through four segments: Global, Foodservice, Retail, and Other. It offers frozen potatoes, commercial ingredients, and appetizers under the Lamb Weston brand, as well as under various customer labels.