Jefferies maintains a Buy rating on LW with a $55 target, citing expected volume growth in fiscal Q4 2026 despite weak US restaurant traffic.
Jefferies reiterated a Buy rating on Lamb Weston Holdings Inc (NYSE:LW) with a $55 price target, based on 10 times the company’s 24-month forward EBITDA. The brokerage anticipates solid North American volume growth in fiscal Q4 2026, driven by customer wins, retention, and an additional sales week.
While US restaurant foot traffic weakened in May, Jefferies expects Lamb Weston to navigate challenges in Europe through restructuring efforts. The company plans to close its Netherlands production facility to align manufacturing with market conditions under its “Focus to Win” strategy.
Lamb Weston, a global supplier of frozen potato products, serves restaurants, fast-food chains, and retail grocery stores. The company’s restructuring aims to improve operational efficiency and strengthen customer partnerships.