Albertsons vs Lamb Weston

Albertsons Companies, Inc. and Lamb Weston Holdings Inc. This page compares their business models, financial performance, and market context in a neutral, accessible manner, highlighting how each organisation creates value, operates its portfolio, and engages with markets. Educational content, not financial advice.

Comparison Snapshot

Key Financial Metrics

ACI

Metric

$8.81B

Market Cap

$6.04B

N/A

Potential Profit

33.94%

N/A

Analyst Rating

Hold

Investment Analysis

Albertsons

ACI

Pros

Albertsons recently reported stronger-than-expected quarterly earnings and raised full-year guidance, signalling robust operational momentum.
E-commerce sales grew 23% year-over-year, reflecting successful digital transformation and investment in technology.
The company offers a stable dividend and trades at a modest valuation multiple compared to sector peers.

Considerations

Grocery retail faces intense competition and thin margins, limiting Albertsons' ability to sustainably expand profitability.
Revenue growth remains modest, with recent identical sales increases in the low single digits.
The company operates in a highly regulated sector with exposure to labour cost pressures and potential unionisation risks.

Lamb Weston

Pros

Lamb Weston is the largest North American producer of frozen potato products, benefiting from strong brand recognition and customer loyalty in foodservice.
The company's products command premium pricing and high margins due to consistent quality and reliability for restaurant partners.
Global demand for frozen potato products continues to rise, supporting long-term volume growth and international expansion opportunities.

Considerations

Lamb Weston's stock currently trades at a significant premium to analyst-assessed fair value, raising near-term valuation concerns.
The business is exposed to commodity price volatility, particularly in potatoes and oil, which can pressure margins.
High reliance on the foodservice channel makes performance sensitive to changes in restaurant traffic and consumer dining habits.

About The Companies

Albertsons (ACI)

Albertsons Companies, Inc. is one of the largest food and drug retailers in the United States. With a vast network of around 2,257 stores, it operates under well-known banners including Safeway, Vons, and Jewel-Osco. The company offers a wide range of products, from everyday groceries and pharmacy services to fuel and own-brand goods like Signature SELECT and Open Nature. For investors, its scale is a key feature, providing significant reach across 35 states. Its financial health is generally considered solid, with indicators like Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) suggesting healthy operational profitability. However, like any investment, its value can go down as well as up, and past performance is not a reliable indicator of future results. It's a key player in the defensive consumer non-cyclicals sector, which can be of interest to those looking at less volatile industries.

Lamb Weston (LW)

Lamb Weston Holdings Inc. is a major player in the global food industry, focusing on producing and distributing value-added frozen potato products. An investor might be interested to know that it's a key supplier of frozen fries, sweet potato items, and various appetisers to restaurants and retailers across the globe. The company operates through two primary segments: North America and International, serving a wide range of customers from global fast-food chains to local foodservice distributors. Under its well-known Lamb Weston brand and various private labels, it offers a broad portfolio that includes everything from classic fries to innovative vegetable products. As a significant link in the global food supply chain, its performance can be linked to consumer dining habits and trends. As with any investment, the value can go down as well as up and returns are not guaranteed.

Buy ACI or LW in Nemo

🆓

Zero Commission

Trade stocks, ETFs, and more with zero commission. Keep more of your returns.

🔒

Trusted & Regulated

Part of Exinity Group 2015, serving over a million customers globally.

💰

6% Interest on Cash

Earn 6% AER on uninvested cash with daily interest payments.

Discover More Comparisons

Albertsons vs Conagra Brands

Albertsons vs Conagra Brands: a stock comparison

Albertsons vs Campbell's

Albertsons vs Campbell's: stock comparison

Albertsons vs Pilgrim's Pride

Albertsons vs Pilgrim's Pride: a quick comparison

Albertsons vs Lamb Weston

Comparison Snapshot

Investment Analysis

Albertsons

Pros

Considerations

Lamb Weston

Pros

Considerations

About The Companies

Buy ACI or LW in Nemo

Zero Commission

Trusted & Regulated

6% Interest on Cash

Discover More Comparisons

Albertsons vs Conagra Brands

Albertsons vs Campbell's

Albertsons vs Pilgrim's Pride

Frequently asked questions

What is the purpose of this STOCK vs STOCK comparison page between Albertsons and Lamb Weston?

How should I read the pros and cons provided for each stock?

What does valuation tell me when comparing these two stocks?

How should I interpret growth versus profitability signals in this comparison?

Why is channel dependence (e.g., grocery vs. foodservice) important for these stocks?

What market factors most influence Albertsons versus Lamb Weston?

How do macro factors like commodity prices and labour costs impact these stocks?

What should I check when using this page to compare the stocks?

What data sources underpin this comparison and how should I interpret them?

Educational disclaimer: is this material financial advice?

Comparison Snapshot

About The Companies