Lamb Weston Holdings, Inc. (NYSE:LW - Get Free Report) gapped up prior to trading on Thursday following a stronger than expected earnings report. The stock had previously closed at $54.15, but opened at $59.94. Lamb Weston shares last traded at $58.76, with a volume of 1,305,322 shares traded.
The specialty retailer reported $1.10 earnings per share for the quarter, beating analysts' consensus estimates of $0.87 by $0.23. Lamb Weston had a return on equity of 27.82% and a net margin of 5.80%. The company had revenue of $1.52 billion for the quarter, compared to analysts' expectations of $1.50 billion. During the same period last year, the firm posted $1.20 EPS. Lamb Weston's revenue for the quarter was up 4.3% compared to the same quarter last year.
Lamb Weston Announces Dividend
The firm also recently announced a quarterly dividend, which will be paid on Friday, May 30th. Investors of record on Friday, May 2nd will be given a $0.37 dividend. This represents a $1.48 dividend on an annualized basis and a yield of 2.50%. The ex-dividend date of this dividend is Friday, May 2nd. Lamb Weston's payout ratio is presently 58.50%.
Analysts Set New Price Targets
A number of research analysts have recently issued reports on the company. Deutsche Bank Aktiengesellschaft reaffirmed a "hold" rating and set a $57.00 price objective on shares of Lamb Weston in a research note on Wednesday, March 19th. 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 research report on Tuesday, December 17th. Barclays dropped their price objective on Lamb Weston from $87.00 to $69.00 and set an "overweight" rating for the company in a research note on Monday, December 23rd. StockNews.com raised shares of Lamb Weston to a "sell" rating in a research note on Monday, February 24th. Finally, Stifel Nicolaus dropped their price target on shares of Lamb Weston from $68.00 to $63.00 and set a "hold" rating for the company in a research report on Friday. One investment analyst has rated the stock with a sell rating, eight have issued a hold rating and four have given a buy rating to the company's stock. According to MarketBeat.com, the company currently has a consensus rating of "Hold" and a consensus target price of $73.09.
Get Our Latest Analysis on Lamb Weston
Insider Activity at Lamb Weston
In related news, Director Robert A. Niblock acquired 3,000 shares of the stock in a transaction on Monday, January 13th. The stock was acquired at an average price of $60.94 per share, for a total transaction 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 transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. 0.72% of the stock is currently owned by corporate insiders.
Hedge Funds Weigh In On Lamb Weston
Large investors have recently modified their holdings of the stock. West Oak Capital LLC increased its stake in Lamb Weston by 155.7% during the 4th quarter. West Oak Capital LLC now owns 450 shares of the specialty retailer's stock valued at $30,000 after purchasing an additional 274 shares in the last quarter. Putney Financial Group LLC bought a new stake in shares of Lamb Weston during the fourth quarter valued at approximately $34,000. Stonebridge Financial Group LLC purchased a new position in Lamb Weston in the 4th quarter worth approximately $35,000. SBI Securities Co. Ltd. bought a new position in Lamb Weston in the 4th quarter valued at approximately $36,000. Finally, Wingate Wealth Advisors Inc. purchased a new stake in Lamb Weston during the 4th quarter valued at $47,000. Hedge funds and other institutional investors own 89.56% of the company's stock.
Lamb Weston Trading Down 0.8 %
The stock has a fifty day simple moving average of $55.22 and a 200 day simple moving average of $65.57. The company has a debt-to-equity ratio of 2.26, a quick ratio of 0.53 and a current ratio of 1.35. The firm has a market cap of $8.43 billion, a P/E ratio of 23.36, a price-to-earnings-growth ratio of 1.40 and a beta of 0.48.
About Lamb Weston
(
Get Free Report)
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.
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