Lamb Weston (LW, $66.32) beats Q4 earnings expectations; but misses revenue estimates
Lamb Weston Holdings, Inc. reported its fiscal third-quarter results, with earnings topping Zacks Consensus Estimate, even as revenue fell short of expectations.
The food processing company’s earnings climbed +62% from the year-ago quarter to 73 cents per share came, well above the Zacks Consensus Estimate of 44 cents. The bottom line was bolstered by higher income from operations and equity method investment earnings.
Net sales rose +7% year-over-year to $955 million, missing the Zacks Consensus Estimate of $962.4 million. Price/mix increased 12%, on gains from pricing strategies adopted by the company’s business segments to offset input, manufacturing and transportation cost inflation. Volume dropped -5% due to reduced export volume and shipments to retail channels.
Revenue in the Global segment rose +2% to $487.9 million. Foodservice sales climbed +34% to $294.5 million. In the Retail segment, sales fell -12% to $143.6 million.
Looking ahead, for fiscal full-year 2022, the company projects net sales growth to exceed its long-term goal of low-to-mid single digits. The company is expecting fourth-quarter fiscal 2022 net sales growth to be mainly boosted by price/mix, thanks to its pricing strategy to offset input and transportation cost inflation.
LW sees MACD Histogram just turned negative
LW saw its Moving Average Convergence Divergence Histogram (MACD) turn negative on September 10, 2025. This is a bearish signal that suggests the stock could decline going forward. Tickeron's A.I.dvisor looked at 46 instances where the indicator turned negative. In of the 46 cases the stock moved lower in the days that followed. This puts the odds of a downward move at .
Technical Analysis (Indicators)
Bearish Trend Analysis
The Stochastic Oscillator may be shifting from an upward trend to a downward trend. In of 62 cases where LW's Stochastic Oscillator exited the overbought zone, the price fell further within the following month. The odds of a continued downward trend are .
The Momentum Indicator moved below the 0 level on September 17, 2025. You may want to consider selling the stock, shorting the stock, or exploring put options on LW as a result. In of 80 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where LW declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
LW broke above its upper Bollinger Band on August 22, 2025. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
Bullish Trend Analysis
LW moved above its 50-day moving average on August 13, 2025 date and that indicates a change from a downward trend to an upward trend.
The 10-day moving average for LW crossed bullishly above the 50-day moving average on August 20, 2025. This indicates that the trend has shifted higher and could be considered a buy signal. In of 13 past instances when the 10-day crossed above the 50-day, the stock continued to move higher over the following month. The odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where LW advanced for three days, in of 313 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Aroon Indicator entered an Uptrend today. In of 283 cases where LW Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is fair valued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (4.462) is normal, around the industry mean (38.873). P/E Ratio (22.260) is within average values for comparable stocks, (33.756). Projected Growth (PEG Ratio) (2.495) is also within normal values, averaging (2.750). Dividend Yield (0.026) settles around the average of (0.034) among similar stocks. P/S Ratio (1.231) is also within normal values, averaging (134.438).
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. LW’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. LW’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 83, placing this stock worse than average.
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General Information
a producer of frozen potato products
Industry FoodMajorDiversified
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