Lamb Weston Holdings Inc (LW)vsTarget Corporation (TGT)
LW
Lamb Weston Holdings Inc
$47.85
+1.12%
CONSUMER DEFENSIVE · Cap: $6.79B
TGT
Target Corporation
$155.83
+0.06%
CONSUMER DEFENSIVE · Cap: $70.79B
Smart Verdict
WallStSmart Research — data-driven comparison
Target Corporation generates 1529% more annual revenue ($107.70B vs $6.61B). LW leads profitability with a 4.4% profit margin vs 4.1%. LW appears more attractively valued with a PEG of 0.82. TGT earns a higher WallStSmart Score of 66/100 (B-).
LW
Buy53
out of 100
Grade: C-
TGT
Strong Buy66
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+27.6%
Fair Value
$69.34
Current Price
$47.85
$21.49 discount
Margin of Safety
+5.3%
Fair Value
$120.98
Current Price
$155.83
$34.85 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Growing faster than its price suggests
Earnings expanding 100.5% YoY
Large-cap with strong market position
Every $100 of equity generates 25 in profit
Attractively priced relative to earnings
Generating 2.4B in free cash flow
Areas to Watch
4.4% margin — thin
Earnings declined 6.2%
Elevated debt levels
Expensive relative to growth rate
4.1% margin — thin
Elevated debt levels
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : LW
The strongest argument for LW centers on PEG Ratio. PEG of 0.82 suggests the stock is reasonably priced for its growth.
Bull Case : TGT
The strongest argument for TGT centers on EPS Growth, Market Cap, Return on Equity.
Bear Case : LW
The primary concerns for LW are Profit Margin, EPS Growth, Debt/Equity. Debt-to-equity of 2.16 is elevated, increasing financial risk. Thin 4.4% margins leave little buffer for downturns.
Bear Case : TGT
The primary concerns for TGT are PEG Ratio, Profit Margin, Debt/Equity. Thin 4.1% margins leave little buffer for downturns.
Key Dynamics to Monitor
TGT carries more volatility with a beta of 0.99 — expect wider price swings.
LW is growing revenue faster at 5.6% — sustainability is the question.
TGT generates stronger free cash flow (2.4B), providing more financial flexibility.
Monitor PACKAGED FOODS industry trends, competitive dynamics, and regulatory changes.
Bottom Line
TGT scores higher overall (66/100 vs 53/100). LW offers better value entry with a 27.6% margin of safety. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Lamb Weston Holdings Inc
CONSUMER DEFENSIVE · PACKAGED FOODS · USA
Lamb Weston Holdings, Inc. is an American food processing company that is one of the world's largest producers and processors of frozen french fries and other frozen potato products. It is headquartered in Eagle, Idaho.
Visit Website →Target Corporation
CONSUMER DEFENSIVE · DISCOUNT STORES · USA
Target Corporation is an American retail corporation. Their retail formats include the discount store Target, the hypermarket SuperTarget, and small-format stores previously named CityTarget and TargetExpress before being consolidated under the Target branding.
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