Lamb Weston Near-Term Remains Pressured, but Long-Term Recovery Still Likely Down the Road

Lamb Weston is North America’s largest frozen potato producer (more than 40% share), followed by McCain Foods (30%), J.R. Simplot (20%), and Cavendish Farms (7%-8%), though it trails McCain globally. The firm primarily sells French fries to restaurants. Despite its niche focus, we view frozen potatoes as positioned for solid long-term demand growth.