LW
Consumer Defensive · Packaged Foods
Performance
LW (LW) Stock Analysis 2026
Rule-based · Updated daily · Not financial advice
LW (LW) operates in the Packaged Foods space within the Consumer Defensive sector. With a market cap of $6.2B, it qualifies as a small-cap company. Growth is moderate and the business remains profitable, offering a balanced risk/reward profile compared to high-multiple peers.
- Forward P/E (15.0×) is lower than trailing P/E (21.1×) — analysts expect earnings to improve
- ROE of 17.4% shows management efficiently converts equity into profit
- Dividend yield of 3.35% provides consistent income on top of price appreciation
- Price is near its 52-week low — potential entry point with asymmetric upside
- Low beta of 0.46 — less volatile than the market, suitable for conservative portfolios
- Earnings fell 62% YoY — profitability is under pressure
- Thin profit margin of 4.6% — little buffer against cost increases
- High debt-to-equity of 220.06× increases financial risk, especially with elevated interest rates
Verdict
Buy / Hold
More positives than negatives. Fundamentals support holding while monitoring key risks.
AI Insight
Powered by ClaudeAI-generated analysis for informational purposes only. Not financial advice.
Related Articles
Revenue & Results
Dividends
Current DY
3.35%
5Y Avg Annual
$1.1560
Last Payment
$0.3800
Ex-Date
05/08/2026
Annual dividends paid per share
| Ex-Date | Payment | Amount | Est. DY |
|---|---|---|---|
Latest05/08/2026 | 06/05/2026 | $0.3800 | 3.38% |
01/30/2026 | 02/27/2026 | $0.3800 | 3.38% |
10/31/2025 | 11/28/2025 | $0.3700 | 3.29% |
08/01/2025 | 08/29/2025 | $0.3700 | 3.29% |
05/02/2025 | 05/30/2025 | $0.3700 | 3.29% |
01/31/2025 | 02/28/2025 | $0.3700 | 3.29% |
11/01/2024 | 11/29/2024 | $0.3600 | 3.20% |
08/02/2024 | 08/30/2024 | $0.3600 | 3.20% |
Magic Number
Shares needed to self-fund your next purchase
$44.97
Price
$0.3800
Last div. (quarterly)
119
shares
Own 119 LW shares ($5,351.43) and each quarterly dividend pays for 1 new share — the snowball runs on its own.
Investment target
$5,351.43
New shares / year
+4 shares
If You Had Invested…
Hypothetical return based on historical prices
* Dividend reinvestment calculated at ex-date price. For informational purposes only.
Earnings
EPS (TTM)
$2.13
P/E (TTM)
21.1
Fwd P/E
15.0
Earnings History
SEC EDGAR · official filings
SEC Filings
Official EDGAR documents
Key Statistics
Valuation
Trading
Dividends
Profitability
Balance Sheet
Fair Value Estimates
Current price: $44.97
Graham Number
√(22.5 × EPS × Book Value)
$25.10
Benjamin Graham's intrinsic value formula. Assumes a fair stock trades at no more than 22.5× the product of EPS and book value per share.
Bazin Ceiling Price
Avg. Annual DPS (5Y) ÷ 6%
$19.87
Décio Bazin's dividend-based ceiling. The max price you should pay so that dividends alone deliver at least 6% annual yield on your cost basis.
These are simplified estimates. Not financial advice.
Buy & Hold Checklist
Quality criteria for long-term holding
8/10
80% score
Pays dividends
9Y hist.9+ years of dividend history
Dividend consistency (5Y+)
9 yrsUninterrupted dividend payments for at least 5 years
ROE above 10%
17.4%Return on equity — measures how efficiently capital is used
Positive profit margin
4.6%Net profit margin must be positive — company earns more than it spends
Revenue growth (annual)
+2.9%Annual revenue must be growing compared to the prior year
Earnings growth (annual)
-62.2%Annual earnings must be growing compared to the prior year
Debt/Equity below 2×
220.06×Low financial leverage reduces risk of distress
Current ratio above 1
1.46×Short-term assets must cover short-term liabilities
Daily liquidity above $5M
$112M/dayHigh trading volume ensures easy entry and exit
Dividend yield above 0%
3.35%Stock must distribute income to shareholders
Related Assets
Consumer Defensive
About LW
Lamb Weston Holdings, Inc. engages in the production, distribution, and marketing of frozen potato products in the United States, Canada, Mexico, and internationally. It offers frozen potatoes, commercial ingredients, and appetizers under the Lamb Weston brand, as well as under various customer labels. The company also provides its products under its owned or licensed brands, such as Grown in Idaho and Alexia, and other licensed brands, as well as under retailers' own brands. It sells its products through a network of internal sales personnel and independent brokers, agents, and distributors to quick service and full-service restaurants and chains, wholesale, grocery, mass merchants, club retailers, and specialty retailers, as well as foodservice distributors and institutions, including businesses, educational institutions, independent restaurants, regional chain restaurants, and convenience stores. Lamb Weston Holdings, Inc. was incorporated in 1950 and is headquartered in Eagle, Idaho.
Sector
Consumer Defensive
Industry
Packaged Foods
Location
Eagle, United States
Employees
10,100