Lamb Weston (NYSE:LW) Sets New 1-Year Low - Should You Sell?

Shares of Lamb Weston Holdings, Inc. (NYSE:LW - Get Free Report) hit a new 52-week low during mid-day trading on Thursday . The company traded as low as $48.40 and last traded at $48.47, with a volume of 1182705 shares changing hands. The stock had previously closed at $51.31.

Analyst Ratings Changes

A number of equities research analysts have issued reports on the stock. Citigroup cut shares of Lamb Weston from a "buy" rating to a "neutral" rating and lowered their target price for the company from $90.00 to $68.00 in a report on Friday, December 20th. StockNews.com raised shares of Lamb Weston to a "sell" rating in a report on Monday, February 24th. Sanford C. Bernstein assumed coverage on shares of Lamb Weston in a report on Tuesday, December 3rd. They set a "market perform" rating and a $85.00 target price on the stock. Barclays lowered their target price on shares of Lamb Weston from $87.00 to $69.00 and set an "overweight" rating on the stock in a report on Monday, December 23rd. Finally, JPMorgan Chase & Co. boosted their price target on shares of Lamb Weston from $68.00 to $78.00 and gave the company a "neutral" rating in a research report on Monday, December 16th. One research analyst has rated the stock with a sell rating, eight have issued a hold rating and four have issued a buy rating to the company's stock. According to data from MarketBeat, the company presently has a consensus rating of "Hold" and a consensus price target of $76.73.

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Lamb Weston Price Performance

The firm's 50-day moving average is $57.19 and its 200-day moving average is $66.50. The company has a market capitalization of $7.61 billion, a PE ratio of 21.09, a price-to-earnings-growth ratio of 1.40 and a beta of 0.76. The company has a quick ratio of 0.53, a current ratio of 1.35 and a debt-to-equity ratio of 2.26.

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

Lamb Weston Increases Dividend

The firm 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. This represents a $1.48 annualized dividend and a yield of 2.77%. This is a positive change from Lamb Weston's previous quarterly dividend of $0.36. The ex-dividend date was Friday, January 31st. Lamb Weston's dividend payout ratio is presently 58.50%.

Insider Buying and Selling at Lamb Weston

In related news, Director Charles A. Blixt purchased 1,200 shares of the firm's stock in a transaction that occurred on Monday, December 23rd. The stock was bought at an average cost of $63.25 per share, with a total value of $75,900.00. Following the completion of the purchase, the director now directly owns 22,982 shares in the company, valued at approximately $1,453,611.50. This represents a 5.51 % increase in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, Director Robert A. Niblock purchased 3,000 shares of the firm's stock in a transaction that occurred on Monday, January 13th. The stock was bought at an average cost of $60.94 per share, with a total value of $182,820.00. Following the completion of the purchase, the director now owns 26,406 shares of the company's stock, valued at $1,609,181.64. This represents a 12.82 % increase in their ownership of the stock. The disclosure for this purchase can be found here. Company insiders own 0.72% of the company's stock.

Hedge Funds Weigh In On Lamb Weston

A number of institutional investors have recently bought and sold shares of the stock. West Oak Capital LLC grew its holdings in 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 purchasing an additional 274 shares during the period. Putney Financial Group LLC purchased a new stake in Lamb Weston in the fourth quarter worth about $34,000. Stonebridge Financial Group LLC purchased a new stake in Lamb Weston in the fourth quarter worth about $35,000. SBI Securities Co. Ltd. purchased a new stake in Lamb Weston in the fourth quarter worth about $36,000. Finally, Prospera Private Wealth LLC purchased a new stake in Lamb Weston in the third quarter worth about $39,000. 89.56% of the stock is owned by institutional investors.

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.