Lamb Weston (LW)

• Market cap: $11B
• Sector: Consumer Staples
• Industry: Canned, Frozen & Preserved Fruits, Vegetables, and Food Specialties

About: Lamb Weston is North America's largest and the world's second-largest producer of branded and private-label frozen potato products, both by volume and value. The company's portfolio is anchored by French fries, but it also sells sweet potato fries, tater tots, diced potatoes, mashed potatoes, hash browns, and chips. Roughly two-thirds of revenue comes from its home market of North America, with none of the other 100 countries the company sells into representing a significant share. McDonald's is Lamb Weston's single largest customer at 14% of fiscal 2024 sales, with no other company representing more than 10%. Lamb Weston became an independent company in 2016 when it was spun off from Conagra.

Employees: 10,700

Fund manager confidence

Based on 2024 Q2 SEC filings by fund managers ($100M+ AUM)

20% more repeat investments, than reductions

Existing positions increased: 271 | Existing positions reduced: 226

8% more funds holding in top 10

Funds holding in top 10: 13 [Q1] → 14 (+1) [Q2]

6.66% more ownership

Funds ownership: 90.11% [Q1] → 96.77% (+6.66%) [Q2]

4% less funds holding

Funds holding: 774 [Q1] → 742 (-32) [Q2]

15% less capital invested

Capital invested by funds: $13.8B [Q1] → $11.7B (-$2.07B) [Q2]

21% less first-time investments, than exits

New positions opened: 122 | Existing positions closed: 154

42% less call options, than puts

Call options by funds: $214M | Put options by funds: $369M

Research analyst outlook

15 Wall Street Analysts provided 1 year price targets over the past 3 months

• Low target: $60 22% downside
• Avg. target: $70 9% downside
• High target: $80 4% upside

15 analyst ratings

• positive: 8 53%
• neutral: 7 47%
• negative: 0 0%

B of A Securities Peter Galbo 0% 1-year accuracy 0 / 5 met price target	4% upside $80	Neutral Maintained	21 Oct 2024
JP Morgan Thomas Palmer 50% 1-year accuracy 14 / 28 met price target	12% downside $68	Neutral Downgraded	7 Oct 2024
Barclays Andrew Lazar 64% 1-year accuracy 7 / 11 met price target	4% downside $74	Overweight Maintained	4 Oct 2024
Citigroup Thomas Palmer 50% 1-year accuracy 14 / 28 met price target	1% downside $76	Buy Maintained	3 Oct 2024
Wells Fargo Marc Torrente 67% 1-year accuracy 2 / 3 met price target	0% upside $77	Overweight Maintained	3 Oct 2024