Lamb Weston (NYSE:LW) Hits New 1-Year Low - What's Next?

Lamb Weston Holdings, Inc. (NYSE:LW - Get Free Report) reached a new 52-week low during mid-day trading on Monday . The stock traded as low as $52.76 and last traded at $53.06, with a volume of 2264379 shares. The stock had previously closed at $55.80.

Wall Street Analysts Forecast Growth

A number of equities research analysts have issued reports on the stock. Stifel Nicolaus reduced their price objective on shares of Lamb Weston from $80.00 to $68.00 and set a "hold" rating for the company in a research report on Friday, December 20th. Deutsche Bank Aktiengesellschaft assumed coverage on Lamb Weston in a research note on Thursday, December 12th. They issued a "hold" rating and a $81.00 price objective on the stock. Jefferies Financial Group raised their price target on Lamb Weston from $80.00 to $95.00 and gave the stock a "buy" rating in a report on Tuesday, December 17th. Sanford C. Bernstein started coverage on shares of Lamb Weston in a research note on Tuesday, December 3rd. They set a "market perform" rating and a $85.00 price objective for the company. Finally, StockNews.com upgraded Lamb Weston to a "sell" rating in a research note on Monday, February 24th. One research analyst has rated the stock with a sell rating, eight have given a hold rating and five have given a buy rating to the stock. According to data from MarketBeat, the stock presently has a consensus rating of "Hold" and a consensus price target of $81.00.

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Lamb Weston Stock Performance

The company has a quick ratio of 0.53, a current ratio of 1.35 and a debt-to-equity ratio of 2.26. The company has a fifty day moving average price of $60.05 and a 200 day moving average price of $67.21. The stock has a market cap of $7.40 billion, a PE ratio of 20.50, a P/E/G ratio of 1.40 and a beta of 0.72.

Lamb Weston (NYSE:LW - Get Free Report) last announced its quarterly earnings results on Thursday, December 19th. The specialty retailer reported $0.66 EPS for the quarter, missing analysts' consensus estimates of $1.01 by ($0.35). The company had revenue of $1.60 billion during the quarter, compared to analysts' expectations of $1.67 billion. Lamb Weston had a return on equity of 27.82% and a net margin of 5.80%. Lamb Weston's revenue for the quarter was down 7.5% on a year-over-year basis. During the same period last year, the firm earned $1.45 earnings per share. Analysts expect that Lamb Weston Holdings, Inc. will post 3.1 earnings per share for the current year.

Lamb Weston Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, February 28th. Shareholders of record on Friday, January 31st were given a dividend of $0.37 per share. The ex-dividend date was Friday, January 31st. This represents a $1.48 annualized dividend and a yield of 2.85%. This is a boost from Lamb Weston's previous quarterly dividend of $0.36. Lamb Weston's dividend payout ratio is presently 58.50%.

Insiders Place Their Bets

In related news, Director Robert A. Niblock purchased 3,000 shares of the business's stock in a transaction that occurred on Monday, January 13th. The shares were acquired at an average price of $60.94 per share, for a total transaction of $182,820.00. Following the completion of the acquisition, the director now directly owns 26,406 shares in the company, valued at approximately $1,609,181.64. The trade was a 12.82 % increase in their position. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, Director Charles A. Blixt purchased 1,200 shares of Lamb Weston stock in a transaction that occurred on Monday, December 23rd. The shares were bought at an average price of $63.25 per share, for a total transaction of $75,900.00. Following the transaction, the director now directly owns 22,982 shares of the company's stock, valued at $1,453,611.50. This trade represents a 5.51 % increase in their ownership of the stock. The disclosure for this purchase can be found here. Insiders own 0.72% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors have recently made changes to their positions in LW. West Oak Capital LLC grew its stake in shares of Lamb Weston by 155.7% in the fourth quarter. West Oak Capital LLC now owns 450 shares of the specialty retailer's stock worth $30,000 after acquiring an additional 274 shares during the last quarter. Putney Financial Group LLC purchased a new stake in Lamb Weston during the 4th quarter valued at about $34,000. Stonebridge Financial Group LLC bought a new stake in Lamb Weston during the 4th quarter valued at about $35,000. SBI Securities Co. Ltd. purchased a new position in Lamb Weston in the fourth quarter worth about $36,000. Finally, Kennebec Savings Bank bought a new stake in shares of Lamb Weston during the third quarter valued at approximately $39,000. Institutional investors own 89.56% of the company's stock.

Lamb Weston Company Profile

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.