Lamb Weston HoldingsBSP:L1WH34 79 Altman Z-Score is 2.52 as of Jul. 05, 2026, which is 30% below its 10-year median of 3.59. GuruFocus rates BSP:L1WH34 with a GF Score™ of 79/100 and a GF Value™ of R$177.56. The stock has 4 warning signs investors should review. Among 1,931 Consumer Packaged Goods companies, Lamb Weston Holdings ranks worse than 57.02% on this metric.
The Altman Z-Score is a model designed to predict the likelihood of a company going bankrupt within the next two years. Created by American finance professor Edward Altman in 1968, the model is specifically designed for publicly traded manufacturing companies with assets greater than $1 million.
Warning Sign:
Altman Z-score of 2.49 is in the grey area. This implies that the company is under some kind of financial stress. If it is below 1.8, the company may face bankruptcy risk.
Lamb Weston Holdings has a Altman Z-Score of 2.52, indicating it is in Grey Zones. This implies that Lamb Weston Holdings is in some kind of financial stress. If it is below 1.81, the company may face bankrupcy risk.
The zones of discrimination were as such:
When Altman Z-Score <= 1.8, it is in Distress Zones.
When Altman Z-Score >= 3, it is in Safe Zones.
When Altman Z-Score is between 1.8 and 3, it is in Grey Zones.
The historical rank and industry rank for Lamb Weston Holdings's Altman Z-Score or its related term are showing as below:
BSP:L1WH34'
s Altman Z-Score Range Over the Past 10 Years
Min: 1.52 Med: 3.59 Max: 4.78
Current: 2.49
During the past 12 years, Lamb Weston Holdings's highest Altman Z-Score was 4.78. The lowest was 1.52. And the median was 3.59.
X1: The Working Capital/Total Assets (WC/TA) ratio is a measure of the net liquid assets of the firm relative to the total capitalization. Working capital is defined as the difference between current assets and current liabilities. Ordinarily, a firm experiencing consistent operating losses will have shrinking current assets in relation to total assets. Altman found this one proved to be the most valuable liquidity ratio comparing with the current ratio and the quick ratio. This is however the least significant of the five factors.
X2: Retained Earnings/Total Assets: the RE/TA ratio measures the leverage of a firm. Retained earnings is the account which reports the total amount of reinvested earnings and/or losses of a firm over its entire life. Those firms with high RE, relative to TA, have financed their assets through retention of profits and have not utilized as much debt.
X3, Earnings Before Interest and Taxes/Total Assets (EBIT/TA): This ratio is a measure of the true productivity of the firm's assets, independent of any tax or leverage factors. Since a firm's ultimate existence is based on the earning power of its assets, this ratio appears to be particularly appropriate for studies dealing with corporate failure. This ratio continually outperforms other profitability measures, including cash flow.
X4, Market Value of Equity/Book Value of Total Liabilities (MVE/TL): The measure shows how much the firm's assets can decline in value (measured by market value of equity plus debt) before the liabilities exceed the assets and the firm becomes insolvent.
X5, Revenue/Total Assets (S/TA): The capital-turnover ratio is a standard financial ratio illustrating the sales generating ability of the firm's assets.
Altman Z-Score does not apply to financial companies.
Lamb Weston Holdings Altman Z-Score Related Terms
Lamb Weston Holdings Altman Z-Score Historical Data
* Premium members only.
The historical data trend for Lamb Weston Holdings's Altman Z-Score 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.
BSP:L1WH34 vs INGR, CAG, CPB: Altman Z-Score Comparison
For the Packaged Foods subindustry, Lamb Weston Holdings's Altman Z-Score, along with its competitors' market caps and Altman Z-Score 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 Altman Z-Score vs Consumer Packaged Goods Industry
For the Consumer Packaged Goods industry and Consumer Defensive sector, Lamb Weston Holdings's Altman Z-Score distribution charts can be found below:
* The bar in red indicates where Lamb Weston Holdings's Altman Z-Score falls into.
Altman Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.
Lamb Weston Holdings's Altman Z-Score for today is calculated with this formula:
Z
=
1.2
*
X1
+
1.4
*
X2
+
3.3
*
X3
+
0.6
*
X4
+
1.0
*
X5
=
1.2
*
0.088
+
1.4
*
0.3886
+
3.3
*
0.086
+
0.6
*
1.1051
+
1.0
*
0.9186
=
2.52
* 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. GuruFocus does not calculate Altman Z-Score when X4 or X5 value is 0.
Lamb Weston Holdings (BSP:L1WH34) has a Altman Z-Score of 2.52 as of Jul. 05, 2026. The Altman Z-score measures a company's bankruptcy risk. View historical data on Lamb Weston Holdings and its competitors. This is 30% below median its historical median of 3.59. Over the past decade, Lamb Weston Holdings' Altman Z-Score has ranged from 1.52 to 4.78. According to the industry distribution chart, Lamb Weston Holdings ranks #1101 out of 1931 companies in the Consumer Packaged Goods industry, placing it in the top 57%.
Is Lamb Weston Holdings' Altman Z-Score too high?
Lamb Weston Holdings' current Altman Z-Score of 2.52 is 30% below median its 10-year median of 3.59. Over the past 10 years, this metric has ranged from a low of 1.52 to a high of 4.78. The Consumer Packaged Goods industry median Altman Z-Score is 2.86. Lamb Weston Holdings' value of 2.52 is 11.9% below this industry median. Based on the distribution chart, Lamb Weston Holdings ranks #1101 out of 1931 companies in the Consumer Packaged Goods industry, which is below the industry midpoint. Overall, Lamb Weston Holdings has a GF Score™ of 79/100, reflecting its overall financial health beyond just this single metric.
How does Lamb Weston Holdings' Altman Z-Score compare to INGR and CAG?
According to the Consumer Packaged Goods industry distribution chart, Lamb Weston Holdings ranks #1101 out of 1931 companies for Altman Z-Score. This places Lamb Weston Holdings in the lower half of its industry. The industry median Altman Z-Score is 2.86. Lamb Weston Holdings' value of 2.52 is 11.9% below this benchmark. Historically, Lamb Weston Holdings' own Altman Z-Score has ranged from 1.52 to 4.78 over the past decade. While the company's 10-year median is 3.59 vs. the industry median of 2.86, Lamb Weston Holdings has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Altman Z-Score for a Consumer Packaged Goods company?
The median Altman Z-Score among Consumer Packaged Goods companies is 2.86, based on 1,931 companies in the industry. Companies in the top quartile (top 25%) have a Altman Z-Score significantly above this median, while those in the bottom quartile fall well below. However, Altman Z-Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Lamb Weston Holdings's current Altman Z-Score of 2.52 is 11.9% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Altman Z-Score mean?
A high Altman Z-Score can signal that a stock is expensive relative to its fundamentals. The Altman Z-score measures a company's bankruptcy risk. View historical data on Lamb Weston Holdings and its competitors. For the Consumer Packaged Goods industry, the median Altman Z-Score is 2.86 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lamb Weston Holdings's current Altman Z-Score is 2.52, which is 30% below median its own 10-year median of 3.59. 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?
Lamb Weston Holdings (BSP:L1WH34) has a current Altman Z-Score of 2.52. The stock's GF Value™ is R$177.56, compared to a current price of R$115.81 — trading 34.8% below its estimated fair value. The current Altman Z-Score is 2.52, which is 30% below median its 10-year median of 3.59 and 11.9% below the Consumer Packaged Goods industry median of 2.86. Lamb Weston Holdings' overall GF Score™ is 79/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Altman Z-Score calculated?
Altman Z-Score is calculated from a company's financial statements. For Lamb Weston Holdings (BSP:L1WH34), the current Altman Z-Score is 2.52 as of Jul. 05, 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 (BSP:L1WH34) Overvalued in 2026?
Based on GuruFocus' analysis, Lamb Weston Holdings stock appears to be undervalued.
The current stock price of R$115.81 is trading 34.8% below its estimated GF Value™ of R$177.56.
Key valuation signals for BSP:L1WH34:
Altman Z-Score: 2.52 (30% below median its 10-year median of 3.59)
GF Value™: R$177.56 vs. price of R$115.81 (34.8% below fair value)
Industry Position: 11.9% below the Consumer Packaged Goods median (#1101 of 1931)
No single metric tells the full story. See the BSP:L1WH34 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.
79GF Score
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