Lamb Weston Holdings Inc (LW) Stock Analysis — PE Ratio, PS Ratio, Intrinsic Value & 2030 Price Target
Lamb Weston Holdings Inc stock (LW) is currently trading at $41.79. Lamb Weston Holdings Inc PE ratio is 15.03. Lamb Weston Holdings Inc PS ratio (Price-to-Sales) is 0.89. Analyst consensus price target for LW is $52.55. WallStSmart rates LW as Hold.
- LW PE ratio analysis and historical PE chart
- LW PS ratio (Price-to-Sales) history and trend
- LW intrinsic value — DCF, Graham Number, EPV models
- LW stock price prediction 2025 2026 2027 2028 2029 2030
- LW fair value vs current price
- LW insider transactions and insider buying
- Is LW undervalued or overvalued?
- Lamb Weston Holdings Inc financial analysis — revenue, earnings, cash flow
- LW Piotroski F-Score and Altman Z-Score
- LW analyst price target and Smart Rating
Lamb Weston Holdings Inc
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LW Intrinsic Value Analysis for Value Investors
Benjamin Graham Formula · Lamb Weston Holdings Inc (LW)
LW trades 168% above its Graham fair value of $18.77, indicating the stock may be overvalued at current levels.
Based on Benjamin Graham Formula. Growth rate capped at 25%. For informational purposes only. Not financial advice.
Smart Analysis
Lamb Weston Holdings Inc (LW) · 10 metrics scored
Smart Score
Category Performance
WallStSmart pulls financial metrics like revenue growth, profit margins, and valuation ratios and scores each one from 0 to 10 based on how strong or weak it is. Those 10 scores are grouped into 4 categories: Growth, Profitability, Valuation, and Quality — which form the 4 axes of the spider chart you see. The categories are then combined into a final score out of 100, but not equally. Growth and Profitability together count for 60% of the total, because a fast-growing profitable business matters more than just a cheap one. That final number maps to a rating (Strong Buy, Buy, Hold, Avoid) and a letter grade, giving you one clear Stock Rating.
Investment Thesis
Strong fundamentals in peg ratio, return on equity, price/sales. Concerns around operating margin and revenue growth. Fundamentals are solid but monitor weak areas for improvement.
Lamb Weston Holdings Inc (LW) Key Strengths (5)
Growing significantly faster than its price suggests
Paying less than $1 for every $1 of annual revenue
94.27% of shares held by major funds and institutions
Every $100 of equity generates $23 in profit
Mid-cap company balancing growth potential with stability
Supporting Valuation Data
Lamb Weston Holdings Inc (LW) Areas to Watch (5)
Earnings declining -47.70%, profits shrinking
Very thin margins with limited operational efficiency
Revenue growing slowly at 1.10% annually
Premium pricing at 3.2x book value
Thin profit margins with limited profitability
Lamb Weston Holdings Inc (LW) Detailed Analysis Report
Overall Assessment
This company scores 57/100 in our Smart Analysis, earning a C grade. Out of 10 metrics analyzed, 5 register as strengths (avg 9.2/10) while 5 fall into concern territory (avg 2.4/10). The category breakdown reveals uneven performance, with some areas requiring attention.
The Bull Case
The strongest argument centers on PEG Ratio, Price/Sales, Institutional Own.. Valuation metrics including PEG Ratio (0.77), Price/Sales (0.89) suggest the stock is attractively priced. Profitability is solid with Return on Equity at 23.20%.
The Bear Case
The primary concerns are EPS Growth, Operating Margin, Revenue Growth. Some valuation metrics including Price/Book (3.17) suggest expensive pricing. Growth concerns include Revenue Growth at 1.10%, EPS Growth at -47.70%, which may limit upside. Profitability pressure is visible in Operating Margin at 9.47%, Profit Margin at 6.06%.
Key Dynamics to Monitor
Three factors to monitor going forward. First, whether EPS Growth improves, as this is the primary drag on the overall score. Second, margin trajectory, with Return on Equity at 23.20% currently healthy but needing to be sustained. Third, growth sustainability, with Revenue Growth at 1.10% needing to reaccelerate.
Risk Considerations
Based on the metric profile, this is a moderate-to-high risk investment. Strengths and concerns are roughly balanced. Investors should size positions according to their risk tolerance and maintain diversification.
Bottom Line
Mixed fundamentals with both positives (PEG Ratio, Price/Sales) and negatives (EPS Growth, Operating Margin). A cautious approach is warranted. Monitor for improvement in weak areas before increasing conviction.
Disclaimer: Smart Analysis is a scoring system developed by WallStSmart Team. Scores update daily using multi-model valuation framework. Always conduct your own research and consult with financial advisors before making investment decisions.
LW Price-to-Sales(PS) Ratio Chart
Historical valuation based on market cap ÷ trailing 12-month revenue
LW's Price-to-Sales ratio of 0.89x trades at a deep discount to its historical average of 2.26x (3th percentile). The current valuation is 76% below its historical high of 3.79x set in Apr 2023, and 4% above its historical low of 0.86x in Mar 2026. Over the past 12 months, the PS ratio has compressed from ~1.2x as trailing revenue scaled faster than the stock price.
WallStSmart Analysis Synopsis
Data-driven financial summary for Lamb Weston Holdings Inc (LW) · CONSUMER DEFENSIVE › PACKAGED FOODS
The Big Picture
Lamb Weston Holdings Inc is in a high-growth phase, prioritizing rapid expansion over margins. Revenue reached 6.5B with 110% growth year-over-year. Profit margins are thin at 6.1%, typical for companies in this phase that are reinvesting heavily in growth.
Key Findings
Revenue growing at 110% YoY, reaching 6.5B. This pace significantly outperforms most PACKAGED FOODS peers.
ROE of 2320.0% means the company generates strong returns on shareholder equity. Above 20% is considered top-tier.
Earnings fell 48% YoY while revenue grew 110%. This gap usually reflects one-time items (tax benefits, write-offs) in the prior period, not an operational decline.
Debt-to-equity ratio of 2.25 is elevated. High leverage amplifies both gains and losses and increases financial risk.
What to Watch Next
Margin expansion: can Lamb Weston Holdings Inc push profit margins above 15% as the business scales?
Growth sustainability: can Lamb Weston Holdings Inc maintain 110%+ revenue growth, or will competition slow it down?
Dividend sustainability with a current yield of 3.6%. Watch payout ratio and free cash flow coverage.
Debt management: total debt of 3.9B is significantly higher than cash (83M). Monitor refinancing risk.
Bottom Line
Lamb Weston Holdings Inc is a high-conviction growth story with revenue accelerating at 110% while profitability is still developing. For growth-oriented investors, the trajectory is compelling. For value investors, the thin 6.1% margins and premium valuation suggest patience until the unit economics mature further.
This synopsis is generated from publicly available financial data. It is not financial advice. Always conduct your own research and consult a qualified financial advisor before making investment decisions.
Insider Transactions
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About Lamb Weston Holdings Inc(LW)
NYSE
CONSUMER DEFENSIVE
PACKAGED FOODS
USA
Lamb Weston Holdings, Inc. is an American food processing company that is one of the world's largest producers and processors of frozen french fries and other frozen potato products. It is headquartered in Eagle, Idaho.