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Lamb Weston Holdings Inc. (LW) logo

Lamb Weston Holdings Inc.

S&P 500
LW|Consumer Defensive|Packaged Foods|$42.01|P/E 20.2|MCap 5.8B|NYSE

Last update: May 9, 2026 at 09:32

Dividend Safety Rating

69/ 100Safe

LW's dividend appears safe and well-supported. Strengths include a 70.0% earnings payout ratio & 32.6% fcf payout ratio. Areas of concern: 55.3% net debt / total assets & Volatile profit margin stability. The dividend has been growing at a 9.98% 5-year CAGR.

Based on 15 of 15 metrics

Strengths

  • FCF Payout Ratio: 32.6%Free cash flow comfortably covers the dividend.
  • CFO Payout Ratio: 23.5%Operating cash flow strongly supports the payout.
  • Dividend Cut: NoneNo dividend cut in recent history.

Risks

  • Net Debt / Total Assets: 55.3%Net debt is high relative to total assets.
  • Profit Margin Stability: VolatileProfit margins have been volatile.

Payout & Coverage

Safe
Earnings Payout Ratio
70.0%Safe
FCF Payout Ratio
32.6%Very Safe
CFO Payout Ratio
23.5%Very Safe
Interest Coverage
3.7xCaution

Balance Sheet

Caution
Net Debt / Total Assets
55.3%Warning
Current Ratio
1.5xCaution
Debt-to-Equity
220.1Caution

Profitability

Caution
Return on Equity
17.4%Safe
Operating Margin
10.9%Caution
Gross Margin
21.2%Caution
Profit Margin Stability
VolatileWarning

Dividend Track Record

Very Safe
Dividend Streak
9+ yrsSafe
Dividend Cut
NoneVery Safe
5-Year Dividend CAGR
10.0%Safe
Earnings Stability
GrowingVery Safe

About Lamb Weston Holdings Inc.

Lamb Weston Holdings Inc. is a leading producer of branded and private-label frozen potato products, serving as North America's largest and one of the world's largest suppliers by volume and value. The company manufactures, distributes, and markets a diverse portfolio of value-added items, including french fries, sweet potato fries, tater tots, diced potatoes, mashed potatoes, hash browns, and chips, along with commercial ingredients and appetizers. These products are sold under the Lamb Weston brand, owned or licensed brands like Grown in Idaho and Alexia, and various retailer labels to foodservice operators such as restaurant chains, regional customers, and retailers worldwide. Lamb Weston Holdings Inc. operates through two primary segments: North America, covering the U.S., Canada, and Mexico, and International, spanning regions like Asia and Latin America. It maintains a global manufacturing network to support demand in foodservice and retail channels, emphasizing product innovation and customer partnerships. Founded in 2016 and headquartered in Eagle, Idaho, Lamb Weston Holdings Inc. plays a key role in the frozen potato category within the food manufacturing sector.

Dividend Overview

Dividend Yield

3.55%

Annual Dividend

$1.49

Frequency

Quarterly

Payout Ratio

69.95%

FCF Payout Ratio

32.62%

Stock Price

$42.01

52-Week Range

$37.62 $67.07

Dividend History (2016–2025)

LW annual dividend per share and yield history

Earnings & Profitability

LW earnings per share and net profit margin

Key Dates

Last Ex-Dividend Date

May 8, 2026

Next Payment Date

June 5, 2026

Dividend Growth

3-Year Dividend CAGR

14.73%

5-Year Dividend CAGR

9.98%

10-Year Dividend CAGR

0.00%

3-Year Total Growth

51.02%

5-Year Total Growth

60.87%

10-Year Total Growth

0.00%

Income Calculator

LW Dividend Calculator

Total Investment

$4,201.00

Annual Income

$149.00

Quarterly Income

$37.25

Monthly Income

$12.42

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Frequently Asked Questions

What is LW's current dividend yield?
Lamb Weston Holdings Inc. (LW) currently has a dividend yield of 3.55%, based on a stock price of $42.01 and an annual dividend of $1.49.
When is LW's next dividend payment date?
LW's next ex-dividend date is 2026-05-08 and the next payment date is 2026-06-05. You must own the stock before the ex-dividend date to receive the upcoming payment.
How much does LW pay in dividends per year?
Lamb Weston Holdings Inc. paid $1.48 per share in annual dividends in 2025. The dividends are paid quarterly.
Has LW been increasing its dividend?
Lamb Weston Holdings Inc. has grown its dividend at a 5-year CAGR of 9.98% and a 10-year CAGR of 0.00%.
Is LW's dividend safe?
Lamb Weston Holdings Inc. has a payout ratio of 69.95%. Its free cash flow payout ratio is 32.62%. The payout ratio is moderate. Monitor earnings to ensure sustainability.
How is LW's Dividend Safety Rating calculated?
The Dividend Safety Rating evaluates Lamb Weston Holdings Inc.'s dividend sustainability across four categories: Payout & Coverage (30%), Balance Sheet (20%), Profitability (20%), and Dividend Track Record (30%). Each metric is rated from "Very Safe" to "Danger" based on industry-standard thresholds, with sector-specific adjustments for consumer defensive companies. The overall score ranges from 0 to 100.

Want to understand how we rate dividend safety? Read our full methodology

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This page is not investment advice. The content is for informational purposes only and should not be construed as a recommendation to buy, sell, or hold any security. Always do your own research and consult a qualified financial advisor before making investment decisions.

Financial data, including dividend history, earnings, balance sheet metrics, and the Dividend Safety Rating, is provided for informational purposes only. Data may be delayed or differ from official filings. Past performance does not guarantee future results. Always verify with official sources before making investment decisions.

Market data provided by Twelve Data.