Lamb Weston Holdings Inc
LW: XNYS (USA)
Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
---|---|---|---|
$38.00 | Wjqplc | Kdvrwjt |
Lamb Weston's Restructuring Should Help Restore Margins Faster As Utilization Recovers Slowly
Business Strategy and Outlook
Lamb Weston offers investors pure-play exposure to the frozen potato market as North America’s largest producer (more than 40% share), followed by McCain (30%), Simplot (20%), and Cavendish (7%-8%) though it trails McCain globally. The firm primarily sells French fries to restaurants. Despite its niche focus, we view frozen potatoes as boasting robust demand growth.