Are Wall Street Analysts Predicting Lamb Weston Stock Will Climb or Sink?
Eagle, Idaho-based Lamb Weston Holdings, Inc. (LW) engages in the production, distribution, and marketing of frozen potato products. It offers frozen potatoes, commercial ingredients, and appetizers under the Lamb Weston brand, as well as under various customer labels. With a market cap of $7.5 billion, Lamb Weston’s operations span North America and internationally.
The company has significantly underperformed the broader market over the past year. LW stock has plunged 11.4% over the past 52 weeks and nearly 19% on a YTD basis, compared to the S&P 500 Index’s ($SPX) 16.4% gains over the past year and 9.7% returns on a YTD basis.
Narrowing the focus, Lamb Weston has also underperformed the sector-focused Consumer Staples Select Sector SPDR Fund’s (XLP) 2.2% uptick over the past 52 weeks and 4.3% gains in 2025.
Lamb Weston Holdings’ stock prices inched up 1.1% following the release of its impressive Q4 results on Jul. 23. In the second half of the fiscal 2025, the company gained a solid momentum of customer wins and retention, which boosted its topline performance. The company’s net sales for the quarter grew nearly 4% year-over-year to $1.7 billion, surpassing the Street expectations. Furthermore, the company reported a notable 8% growth in adjusted net income to $122.8 million and 11.5% growth in adjusted EPS to $0.87, exceeding the consensus estimates by 35.9%.
For the full fiscal 2026, ending in May 2026, analysts expect LW to deliver an adjusted EPS of $3, down 10.5% year-over-year. The company has a mixed earnings surprise history. While it surpassed or matched the Street’s bottom-line estimates in three of the past four quarters, it missed the projections on one other occasion.
The stock has a consensus “Moderate Buy” rating overall. Of the 12 analysts covering the LW stock, opinions include four “Strong Buys” and eight “Holds.”
This configuration has remained stable in recent months.
On Jul. 25, Barclays (BCS) analyst Andrew Lazar reiterated an “Overweight” rating on LW stock and raised the price target from $61 to $68, suggesting a 25.6% premium to current price levels.
As of writing, Lamb Weston’s mean price target of $62.82 suggests a 16% upside potential.
On the date of publication, Aditya Sarawgi did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.