Lamb Weston price target raised to $87 from $74 at Barclays

Barclays analyst Andrew Lazar raised the firm’s price target on Lamb Weston (LW) to $87 from $74 and keeps an Overweight rating on the shares after Jana Partners disclosed a 5% stake in the company and plans to urge the exploration of a sale. The firm said there is some “incremental pressure” placed on Lamb Weston management in light of shares being down 34% year-to-date before this announcement. Barclays says it is “somewhat unlikely” that there would be significant interest from any of the branded companies it follows. Lamb Weston is “highly exposed” to the foodservice channel and typically has more volatility in its results relative to a “fully mature center store” packaged food manufacturer, given the sizable impact that both macro trends and the quality of the annual potato harvest can have on its results.