Lamb Weston's volume gains and lower manufacturing costs support earnings, but pricing pressure and International weakness keep risks in view.
Review Lamb Weston's (LW) international revenue performance and how it affects the predictions of financial analysts on Wall Street and the future prospects for the stock.
Lamb Weston (LW) remains a Buy as its turnaround advances, with normalization and macro improvements supporting future re-rating potential. Q4 FY26 results beat expectations, with net sales of $6.612B and Adj. EBITDA of $1.147B, reflecting operational improvements and cost savings, albeit outweighed by previous pricing adjustments. FY27 guidance is cautious: net sales up 0–1%, Adj. EBITDA $1.1–1.2B, and FCF at a trough $380M, reflecting ongoing macro headwinds.
Lamb Weston has rebounded 27% since April but now trades at fair value with most upside realized. North American volume growth and margin stabilization offset ongoing international headwinds and elevated freight costs, supporting a secure 3.1% dividend yield. Fiscal 2027 guidance calls for 1%-2% sales growth and 2%-12% EPS growth, with free cash flow expected at $370-$390 million.
LW beats fiscal fourth-quarter earnings and sales estimates as higher volume drives sales growth, while earnings decline year over year.
Lamb Weston Holdings, Inc. (LW) Q4 2026 Earnings Call Transcript
Lamb Weston NYSE: LW reported higher fourth-quarter sales and continued volume growth in fiscal 2026, led by North America, while international operations faced pressure from weaker European demand, higher costs and disruption tied to the Middle East conflict.
Although the revenue and EPS for Lamb Weston (LW) give a sense of how its business performed in the quarter ended May 2026, it might be worth considering how some key metrics compare with Wall Street estimates and the year-ago numbers.
Lamb Weston (LW) came out with quarterly earnings of $0.87 per share, beating the Zacks Consensus Estimate of $0.62 per share. This compares to earnings of $0.87 per share a year ago.
From a technical perspective, Lamb Weston (LW) is looking like an interesting pick, as it just reached a key level of support. LW recently overtook the 200-day moving average, and this suggests a long-term bullish trend.
Lamb Weston is likely to deliver revenue growth as North America strength and cost savings help offset pricing pressure and margin challenges.
Lamb Weston (LW) has an impressive earnings surprise history and currently possesses the right combination of the two key ingredients for a likely beat in its next quarterly report.