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The 1-Year Sharpe Ratio measures the additional return that an investor receives per unit of increase in risk over the past year. As of today (2026-08-12), Lamb Weston Holdings's 1-Year Sharpe Ratio is -0.08.
Lamb Weston Holdings (NYSE:LW) 1-Year Sharpe Ratio Explanation
The 1-Year Sharpe Ratio inidicates the risk-adjusted return of an investment over the past year. It is calculated as the annualized result of the average monthly excess return divided by its standard deviation over the past year. The monthly excess return is the monthly investment return minus the monthly risk-free rate (typically the 10-year Treasury Constant Maturity Rate). If the risk-free rate for a specific region is not available, U.S. data is used by default.
The greater a portfolio's Sharpe Ratio, the better its risk-adjusted performance. A negative Sharpe Ratio means the risk-free rate is greater than the portfolio’s historical or projected return, or else the portfolio's return is expected to be negative.
Lamb Weston Holdings 1-Year Sharpe Ratio Related Terms
LW vs PPC, CAG, CPB: 1-Year Sharpe Ratio Comparison
For the Packaged Foods subindustry, Lamb Weston Holdings's 1-Year Sharpe Ratio, along with its competitors' market caps and 1-Year Sharpe Ratio 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 1-Year Sharpe Ratio vs Consumer Packaged Goods Industry
For the Consumer Packaged Goods industry and Consumer Defensive sector, Lamb Weston Holdings's 1-Year Sharpe Ratio distribution charts can be found below:
* The bar in red indicates where Lamb Weston Holdings's 1-Year Sharpe Ratio falls into.
Lamb Weston Holdings 1-Year Sharpe Ratio Calculation
The 1-Year Sharpe Ratio measures the performance of an investment such as a stock or portfolio compared to a risk-free asset. A stock / portfolio's 1-Year Sharpe Ratio can be calculated by dividing the difference between the one-year returns of the investment and the risk-free rate, by the standard deviation of the investment returns over one year.
Lamb Weston Holdings (LW) has a 1-Year Sharpe Ratio of -0.08 as of Aug. 12, 2026. 1-Year Sharpe Ratio measures the additional return that an investor receives per unit of increase in risk. View historical data for Lamb Weston Holdings and its competitors.
Is Lamb Weston Holdings' 1-Year Sharpe Ratio too high?
Lamb Weston Holdings' current 1-Year Sharpe Ratio is -0.08. Overall, Lamb Weston Holdings has a GF Score™ of 88/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Lamb Weston Holdings' 1-Year Sharpe Ratio compare to PPC and CAG?
Lamb Weston Holdings' 1-Year Sharpe Ratio of -0.08 can be compared against companies in the Consumer Packaged Goods industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 1-Year Sharpe Ratio for a Consumer Packaged Goods company?
A good 1-Year Sharpe Ratio depends on the Consumer Packaged Goods industry context. However, 1-Year Sharpe Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 1-Year Sharpe Ratio mean?
A high 1-Year Sharpe Ratio can signal that a stock is expensive relative to its fundamentals. 1-Year Sharpe Ratio measures the additional return that an investor receives per unit of increase in risk. View historical data for Lamb Weston Holdings and its competitors. Lamb Weston Holdings's current 1-Year Sharpe Ratio is -0.08. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lamb Weston Holdings stock overvalued right now?
Based on GuruFocus' analysis, Lamb Weston Holdings (LW) is currently considered Modestly Undervalued. The stock's GF Value™ is $65.39, compared to a current price of $52.97 — trading 19% below its estimated fair value. The current 1-Year Sharpe Ratio is -0.08. Lamb Weston Holdings' overall GF Score™ is 88/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 1-Year Sharpe Ratio calculated?
1-Year Sharpe Ratio is calculated from a company's financial statements. For Lamb Weston Holdings (LW), the current 1-Year Sharpe Ratio is -0.08 as of Aug. 12, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Lamb Weston Holdings (LW) Overvalued in 2026?
Based on GuruFocus' analysis, Lamb Weston Holdings stock appears to be undervalued.
The current stock price of $52.97 is trading 19% below its estimated GF Value™ of $65.39.
GuruFocus considers Lamb Weston Holdings to be Modestly Undervalued.
Key valuation signals for LW:
1-Year Sharpe Ratio: -0.08
GF Value™: $65.39 vs. price of $52.97 (19% below fair value)
No single metric tells the full story. See the LW stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
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 15% of fiscal 2025 sales, with no other company representing more than 10%. Lamb Weston became an independent company in 2016 when it was spun off from Conagra.
88GF Score
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