Lamb Weston's Plunge Doesn't Mean Shares Are Tasty Now (Rating Downgrade)
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Daniel JonesInvesting Group LeaderFollow5ShareSavePlay(13min)CommentsSummaryLamb Weston Holdings, Inc. faces margin pressure from rising input costs and competitive pricing, prompting a Hold rating despite reasonable valuation.LW's international segment growth was acquisition-driven; organic sales declined 9% due to weak demand and strategic exits from low-margin businesses.North America revenue is flat as price cuts to defend market share offset only modest volume gains, reflecting a challenging environment.LW management's "Focus to Win" plan targets $250M in cost savings by 2028, but near-term profitability remains under pressure, and analyst sentiment is cautious. junce/iStock Editorial via Getty Images Hopefully, you won't judge me, but I don't exactly have the healthiest diet. On my busy days, such as the day that I am writing this article, I tend to order food for delivery. And today, I ordered none other thanThis article was written byDaniel Jones36.02K FollowersFollowDaniel is an avid and active professional investor. He runs Crude Value Insights, a value-oriented newsletter aimed at analyzing the cash flows and assessing the value of companies in the oil and gas space. His primary focus is on finding businesses that are trading at a significant discount to their intrinsic value by employing a combination of Benjamin Graham's investment philosophy and a contrarian approach to the market and the securities therein. Learn more.Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.