13 Best Consumer Staples Dividend Stocks to Invest In Now

Page 4 of 11

8. Lamb Weston Holdings, Inc. (NYSE:LW)

Number of Hedge Fund Holders: 47

Dividend Yield as of January 7: 3.77%

Lamb Weston Holdings, Inc. (NYSE:LW) is among the best dividend stocks to invest in.

On December 23, Barclays cut its price target on Lamb Weston Holdings, Inc. (NYSE:LW) to $55 from $68 and kept an Overweight rating on the shares. The firm acknowledged investor frustration after the company posted a first-half fiscal 2026 EBITDA beat without raising guidance. Even so, Barclays said the broader french fry industry backdrop remains “bright,” and the 26% selloff in the stock that followed was overdone.

A few days earlier, on December 18, Lamb Weston Holdings, Inc. (NYSE:LW) said it was holding its full-year sales outlook steady for the second time this year. That came despite the company easily beating quarterly expectations. Analysts at Jefferies noted that reaffirming guidance after such a beat points to a softer second half than the market had anticipated.

Consumer behavior is part of the story. Ongoing inflation and trade uncertainty have pushed people to cut back on non-essential spending, including eating out. That has reduced traffic at restaurants, a key demand driver for frozen potato products. International sales rose 4% year over year in the second quarter. In North America, which generates most of the company’s revenue, sales were flat at $1.07 billion. The company also faces tariff risk tied to imported inputs such as palm oil, even as prices for other raw materials, including potatoes, have eased.

Lamb Weston kept its annual revenue forecast at $6.35 billion to $6.55 billion. The midpoint of that range sits below the $6.52 billion consensus estimate, based on LSEG data. For the quarter ended November 23, the company reported revenue of $1.62 billion, topping expectations of $1.59 billion. Adjusted earnings came in at 69 cents per share, ahead of the 65-cent estimate.

Lamb Weston Holdings, Inc. (NYSE:LW) operates as a global producer, distributor, and marketer of value-added frozen potato products.

Page 4 of 11