Lamb Weston price target lowered to $113 from $138 at BofA

BofA analyst Peter Galbo lowered the firm’s price target on Lamb Weston to $113 from $138 and keeps a Buy rating on the shares. The company’s fiscal Q3 results disappointed on the North America enterprise resource planning system rollout and softer global restaurant traffic, the analyst tells investors in a research note. However, the firm expects a sequential sales rebound with Lamb’s gross margin intact. The company remains a compelling opportunity within packaged food, with ERP-related headwinds contained to Q3 and a view that global restaurant traffic trends will normalize over the next 12 months, contends BofA.