Lamb Weston (NYSE:LW) Downgraded to “Neutral” Rating by Citigroup

Citigroup downgraded shares of Lamb Weston (NYSE:LW) from a buy rating to a neutral rating in a research report report published on Friday, MarketBeat Ratings reports. The brokerage currently has $68.00 price objective on the specialty retailer’s stock, down from their previous price objective of $90.00.

LW has been the topic of a number of other research reports. TD Cowen increased their price target on shares of Lamb Weston from $61.00 to $65.00 and gave the stock a “hold” rating in a report on Tuesday, September 24th. Barclays upped their price objective on Lamb Weston from $70.00 to $74.00 and gave the stock an “overweight” rating in a report on Friday, October 4th. Stifel Nicolaus raised their price objective on Lamb Weston from $65.00 to $80.00 and gave the company a “hold” rating in a report on Friday, October 25th. Sanford C. Bernstein started coverage on shares of Lamb Weston in a research report on Tuesday, December 3rd. They set a “market perform” rating and a $85.00 price target on the stock. Finally, Deutsche Bank Aktiengesellschaft initiated coverage on shares of Lamb Weston in a research note on Thursday, December 12th. They issued a “hold” rating and a $81.00 price objective for the company. One equities research analyst has rated the stock with a sell rating, eight have issued a hold rating and five have issued a buy rating to the company. Based on data from MarketBeat.com, the company presently has an average rating of “Hold” and an average price target of $81.42.

Lamb Weston Stock Down 0.7 %

LW opened at $62.09 on Friday. The company has a debt-to-equity ratio of 1.87, a current ratio of 1.19 and a quick ratio of 0.54. Lamb Weston has a one year low of $52.99 and a one year high of $111.88. The firm has a market capitalization of $8.85 billion, a P/E ratio of 14.58, a price-to-earnings-growth ratio of 1.34 and a beta of 0.70. The company has a fifty day moving average price of $76.76 and a 200-day moving average price of $72.58.

Lamb Weston (NYSE:LW) last announced its earnings results on Thursday, December 19th. The specialty retailer reported $0.66 earnings per share for the quarter, missing analysts’ consensus estimates of $1.01 by ($0.35). Lamb Weston had a return on equity of 34.33% and a net margin of 9.57%. 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 company earned $1.45 earnings per share. Lamb Weston’s revenue was down 7.5% compared to the same quarter last year. Equities research analysts expect that Lamb Weston will post 4.26 earnings per share for the current fiscal year.

Lamb Weston Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, February 28th. Investors of record on Friday, January 31st will be paid a $0.37 dividend. This represents a $1.48 annualized dividend and a yield of 2.38%. This is a boost from Lamb Weston’s previous quarterly dividend of $0.36. The ex-dividend date is Friday, January 31st. Lamb Weston’s dividend payout ratio is presently 56.92%.

Hedge Funds Weigh In On Lamb Weston

Institutional investors and hedge funds have recently made changes to their positions in the business. Nicola Wealth Management LTD. bought a new stake in Lamb Weston during the 3rd quarter valued at about $6,474,000. Susquehanna Fundamental Investments LLC bought a new position in Lamb Weston in the 2nd quarter valued at approximately $3,279,000. Clarkston Capital Partners LLC boosted its stake in Lamb Weston by 108.7% during the 3rd quarter. Clarkston Capital Partners LLC now owns 3,107,929 shares of the specialty retailer’s stock valued at $201,207,000 after purchasing an additional 1,618,570 shares during the last quarter. Citigroup Inc. increased its holdings in shares of Lamb Weston by 39.3% in the 3rd quarter. Citigroup Inc. now owns 156,242 shares of the specialty retailer’s stock worth $10,115,000 after purchasing an additional 44,057 shares in the last quarter. Finally, First Financial Bankshares Inc purchased a new position in shares of Lamb Weston in the third quarter worth $6,506,000. 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.