Topic: How To Invest

Wall Street Stock Forecaster Hotline – Friday, October 4, 2019

Article Excerpt

LAMB WESTON HOLDINGS INC., $77.77, New York symbol LW, sells frozen potatoes and other vegetable products to restaurants and prepared-food makers. Until November 9, 2016, the company was a wholly owned subsidiary of Conagra Brands Inc. (New York symbol CAG). That’s when Conagra spun off Lamb Weston and handed its investors one Lamb Weston share for every three Conagra shares they held. In its fiscal 2020 first quarter, ended August 25, 2019, Lamb Weston’s sales rose 8.1%, to $989.0 million from $914.9 million a year earlier. The latest sales beat the consensus forecast of $971.5 million. The improved results are due to both higher selling prices (up 2%) and volumes (up 6%). Lamb Weston earned $0.79 a share in the latest quarter, up 8.2% from $0.73 a year earlier. That matched the consensus estimate. The company now expects its fiscal 2020 gross earnings to total $950 million to $970 million. The midpoint of that range—$960 million—is up 6.2% from $904.3 million in 2019. The stock…