Shares of Lamb Weston (LW) surged after the company exceeded analysts’ expectations for its fiscal first-quarter earnings and upgraded its fiscal 2024 guidance. With the stock up 9% at $98.60 in early trading, Lamb Weston’s shares are now in positive territory year-to-date.
The potato-products company has lifted its full-year sales forecast by $100 million, projecting a range of $6.8 billion to $7 billion. Moreover, adjusted earnings, which exclude one-time items, are now expected to be between $5.50 and $5.95 per share, surpassing the previous outlook of $4.95 to $5.40 per share.
In the fiscal first quarter, Lamb Weston recorded a profit of $234.8 million, exceeding the year-ago figures of $231.9 million. This remarkable result also surpassed analyst predictions of $169.6 million, according to FactSet. Additionally, adjusted earnings per share came in at $1.63, outperforming the consensus estimate of $1.08 per share from analysts surveyed by FactSet.
The strong performance and optimistic outlook of Lamb Weston indicate a favorable market response and potential growth opportunities for the company.