Is Lamb Weston Holdings, Inc. overvalued or undervalued?

As of 24 October 2025, the valuation grade for Lamb Weston Holdings, Inc. moved from expensive to fair. The company appears fairly valued based on its current metrics. Key ratios include a P/E ratio of 14, an EV to EBITDA of 9.46, and a Price to Book Value of 4.91. In comparison, The J. M. Smucker Co. has a higher P/E ratio of 23.79, while Conagra Brands, Inc. presents a more attractive valuation with a P/E of 8.91.
Despite its fair valuation, Lamb Weston has underperformed against the S&P 500, with a 1-year return of -14.22% compared to the index's 16.90%, and a 3-year return of -19.76% versus 78.85% for the S&P 500, indicating potential challenges ahead.