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Lamb Weston Holdings (MEX:LW) 5-Year ROIIC % : 8.22% (As of May. 2024)


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What is Lamb Weston Holdings 5-Year ROIIC %?

5-Year Return on Invested Incremental Capital (5-Year ROIIC %) measures the change in earnings as a percentage of change in investment over 5-year. Lamb Weston Holdings's 5-Year ROIIC % for the quarter that ended in May. 2024 was 8.22%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

The industry rank for Lamb Weston Holdings's 5-Year ROIIC % or its related term are showing as below:

MEX:LW's 5-Year ROIIC % is ranked better than
63.19% of 1736 companies
in the Consumer Packaged Goods industry
Industry Median: 2.115 vs MEX:LW: 8.22

Lamb Weston Holdings 5-Year ROIIC % Historical Data

The historical data trend for Lamb Weston Holdings's 5-Year ROIIC % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Lamb Weston Holdings 5-Year ROIIC % Chart

Lamb Weston Holdings Annual Data
Trend May15 May16 May17 May18 May19 May20 May21 May22 May23 May24
5-Year ROIIC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 13.43 11.24 0.62 6.45 8.22

Lamb Weston Holdings Quarterly Data
Nov19 Feb20 May20 Aug20 Nov20 Feb21 May21 Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24 Aug24
5-Year ROIIC % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only - - - 8.22 -

Competitive Comparison of Lamb Weston Holdings's 5-Year ROIIC %

For the Packaged Foods subindustry, Lamb Weston Holdings's 5-Year ROIIC %, along with its competitors' market caps and 5-Year ROIIC % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Lamb Weston Holdings's 5-Year ROIIC % Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Lamb Weston Holdings's 5-Year ROIIC % distribution charts can be found below:

* The bar in red indicates where Lamb Weston Holdings's 5-Year ROIIC % falls into.



Lamb Weston Holdings 5-Year ROIIC % Calculation

Lamb Weston Holdings's 5-Year ROIIC % for the quarter that ended in May. 2024 is calculated as:

5-Year ROIIC %=5-Year Incremental Net Operating Profit After Taxes (NOPAT)**/5-Year Incremental Invested Capital**
=( 13624.8506408 (May. 2024) - 10009.172514 (May. 2019) )/( 105038.214 (May. 2024) - 51525.579 (May. 2019) )
=3615.6781268/53512.635
=6.76%***

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

** Annual data of NOPAT and Invested Capital was used to calculate 5-Year ROIIC %.
*** Please be aware that the ROIIC (Return on Invested Capital) calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.


Lamb Weston Holdings  (MEX:LW) 5-Year ROIIC % Explanation

Return on Incremental Invested Capital (ROIIC) is an extension of Return on Investment Capital (ROIC). ROIC % tells investors how efficiently that profitability is earned per dollar of company capital. ROIIC narrows the focus even further and shows how profitable each additional unit of capital investment could be. ROIIC % is a more powerful metric than ROIC because it measures how much money the company can generate going forward on future capital investments.

High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

Be Aware

It's important to keep in mind that when tracking ROIIC, the metric is better suited to forecasting the trend of future returns rather than measuring current return on investment.


Lamb Weston Holdings 5-Year ROIIC % Related Terms

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Lamb Weston Holdings Business Description

Traded in Other Exchanges
Address
599 S. Rivershore Lane, Eagle, ID, USA, 83616
Lamb Weston is North America's largest and the world's second-largest producer of branded and private-label frozen potato products, both by volume and value. The company's portfolio is anchored by French fries, but it also sells sweet potato fries, tater tots, diced potatoes, mashed potatoes, hash browns, and chips. Roughly two-thirds of revenue comes from its home market of North America, with none of the other 100 countries the company sells into representing a significant share. McDonald's is Lamb Weston's single largest customer at 14% of fiscal 2024 sales, with no other company representing more than 10%. Lamb Weston became an independent company in 2016 when it was spun off from Conagra.