Nomad Foods (NOMD) AI Stock Analysis

• Market Cap: $1.86B
• Dividend Yield: 5.58%
• Average Volume (3M): 2.31M
• Price to Earnings (P/E): 8.4
• Beta (1Y): 0.02
• Revenue Growth: 1.44%
• EPS Growth: 8.29%
• Country: US
• Employees: 6,864
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Packaged Foods
• EPS (TTM): 0.57
• Shares Outstanding: 153,402,980
• 10 Day Avg. Volume: 2,430,535
• 30 Day Avg. Volume: 2,306,975
• PEG Ratio: 0.47
• Price to Book (P/B): 1.00
• Price to Sales (P/S): 0.86
• P/FCF Ratio: 7.52
• Enterprise Value/Market Cap: 2.25
• Enterprise Value/Revenue: 1.37
• Enterprise Value/Gross Profit: 4.92
• Enterprise Value/Ebitda: 8.94
• 1Y Price Target: $16.50
• Price Target Upside: 36.03% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 67 Neutral
• Price Target: $13.00 ▲(7.17% Upside)

Nomad Foods' overall stock score is driven by its stable financial performance and attractive valuation, despite recent challenges in revenue and cash flow growth. The technical analysis indicates a bearish trend, while the earnings call provides a cautiously optimistic outlook with strategic initiatives aimed at improving future performance.

Positive Factors

Operational Efficiency

The focus on operational efficiency and cost savings supports long-term margin sustainability and competitive positioning.

Leadership Change

A new CEO can bring fresh perspectives and strategies, potentially driving innovation and growth in the long term.

Financial Structure Optimization

Refinancing improves financial flexibility and reduces interest burden, supporting long-term strategic initiatives and stability.

Negative Factors

Revenue Decline

Declining revenue growth indicates challenges in maintaining sales momentum, potentially impacting future profitability.

Cash Flow Challenges

Reduced cash flow growth can limit the company's ability to invest in growth opportunities and manage financial obligations.

UK Market Challenges

Struggles in key market segments highlight potential competitive pressures and the need for strategic adjustments.

Nomad Foods Business Overview & Revenue Model

Company Description

Nomad Foods (NOMD) is a prominent European frozen food company, specializing in the production and distribution of high-quality frozen meals and snacks. The company operates in the consumer packaged goods sector, with a diverse portfolio that includes brands such as Birds Eye, Findus, and Iglo. Nomad Foods focuses on providing convenient and nutritious frozen food options across various categories, including fish, vegetables, and ready meals, catering to the evolving preferences of health-conscious consumers.

How the Company Makes Money

Nomad Foods generates revenue primarily through the sale of its frozen food products to retail and food service channels. The company employs a multi-channel distribution model, supplying products to supermarkets, grocery stores, and restaurants across Europe. Key revenue streams include direct sales from their branded products, as well as private label offerings. The company's growth is supported by strategic partnerships with retailers, promotional campaigns to increase brand visibility, and ongoing investments in product innovation to meet consumer trends. Additionally, strong operational efficiencies in sourcing and manufacturing help to maintain profit margins.

Nomad Foods Financial Statement Overview

Summary

Nomad Foods demonstrates stable profitability and operational efficiency, with healthy margins and a balanced capital structure. However, the recent decline in revenue growth and free cash flow growth highlights potential challenges in maintaining growth momentum.

Income Statement

Nomad Foods shows a stable gross profit margin of around 29% in TTM (Trailing-Twelve-Months), with a slight decline in net profit margin to 6.89% from 7.33% in the previous year. The revenue growth rate has turned negative at -0.56% in TTM, indicating a potential challenge in maintaining sales momentum. EBIT and EBITDA margins remain healthy, though slightly reduced compared to the previous year, reflecting stable operational efficiency.

Balance Sheet

The company's debt-to-equity ratio is relatively stable at 0.82, indicating a balanced approach to leveraging. Return on equity has slightly decreased to 8.04% in TTM, suggesting a modest decline in profitability from equity investments. The equity ratio remains strong, reflecting a solid capital structure with a good proportion of assets financed by equity.

Cash Flow

Free cash flow growth has declined by 13.66% in TTM, indicating potential cash generation challenges. The operating cash flow to net income ratio is stable at 0.38, suggesting consistent cash conversion efficiency. The free cash flow to net income ratio remains strong at 0.83, reflecting good cash flow management relative to net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.05B	3.10B	3.04B	2.94B	2.61B	2.52B
Gross Profit	851.20M	917.80M	858.70M	815.30M	744.30M	762.50M
EBITDA	469.00M	505.10M	480.50M	492.20M	369.80M	429.80M
Net Income	198.80M	227.10M	192.70M	249.80M	181.00M	225.20M
Balance Sheet
Total Assets	6.31B	6.43B	6.42B	6.33B	6.17B	5.58B
Cash, Cash Equivalents and Short-Term Investments	193.60M	403.00M	412.70M	369.40M	254.00M	418.10M
Total Debt	2.11B	2.18B	2.15B	2.17B	2.23B	1.77B
Total Liabilities	3.76B	3.77B	3.82B	3.72B	3.87B	3.45B
Stockholders Equity	2.55B	2.66B	2.59B	2.61B	2.30B	2.13B
Cash Flow
Free Cash Flow	316.70M	355.10M	348.40M	224.70M	227.10M	398.30M
Operating Cash Flow	400.70M	435.40M	430.80M	303.80M	306.30M	457.00M
Investing Cash Flow	-75.00M	-64.40M	-76.80M	-78.70M	-660.00M	-171.40M
Financing Cash Flow	-467.60M	-366.40M	-321.50M	-108.10M	214.40M	-714.80M

Nomad Foods Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 12.13
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NOMD, the sentiment is Neutral. The current price of 12.13 is above the 20-day moving average (MA) of 11.65, below the 50-day MA of 12.48, and below the 200-day MA of 16.20, indicating a neutral trend. The MACD of -0.15 indicates Negative momentum. The RSI at 55.40 is Neutral, neither overbought nor oversold. The STOCH value of 78.77 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for NOMD.

Nomad Foods Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PPC	72 Outperform	$9.01B	7.35	31.76%	―	1.81%	24.67%
NOMD	67 Neutral	$1.86B	8.37	7.39%	5.58%	1.44%	8.29%
CPB	67 Neutral	$9.28B	15.53	15.64%	5.00%	6.40%	6.17%
CAG	64 Neutral	$8.29B	9.78	9.65%	8.07%	-4.11%	72.17%
HRL	63 Neutral	$12.25B	16.24	9.46%	5.12%	0.65%	-3.76%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
SJM	49 Neutral	$11.72B	―	-21.32%	3.95%	2.54%	-293.39%

Nomad Foods Corporate Events

Nomad Foods Reports Q3 2025 Financial Results Amidst Challenges

On November 6, 2025, Nomad Foods announced its financial results for the third quarter of 2025, revealing a 2.2% decrease in revenue to €752 million compared to the same period in 2024. Despite facing challenges such as weather-related pressures and soft UK performance, the company is making progress with its innovation and efficiency initiatives. The company expects full-year results to be near the low end of its guidance, with plans for price increases and a new CEO, Dominic Brisby, set to drive future growth.

Nomad Foods Refinances Loans and Declares Dividend

On October 30, 2025, Nomad Foods Limited announced an amendment and restatement of its Senior Facilities Agreement, refinancing its existing loans with new term loans totaling USD 620 million and EUR 880 million due in 2032. The refinancing aims to optimize the company’s financial structure and support general corporate purposes. Additionally, the company declared a quarterly cash dividend of $0.17 per share, payable on November 26, 2025, to shareholders of record as of November 10, 2025, reflecting its commitment to returning value to shareholders.

Nomad Foods Launches Refinancing of Term Loans

On October 20, 2025, Nomad Foods Limited announced the launch of a refinancing initiative for its existing USD and EUR denominated Term Loan B and an extension of its Revolving Cash Facility. This strategic move aims to optimize the company’s financial structure, although the company cautions that the refinancing is not guaranteed and depends on future lender meetings. The announcement reflects Nomad Foods’ efforts to strengthen its financial positioning in the competitive frozen food industry.

Nomad Foods Announces CEO Transition with Dominic Brisby Succeeding Stefan Descheemaeker

Nomad Foods announced on October 10, 2025, that Stefan Descheemaeker will retire as CEO effective January 1, 2026, with Dominic Brisby set to succeed him. Brisby, who joins from Flora Food Group, will assume the role of Executive President on November 3, 2025, and will join the Board of Directors. Descheemaeker, who has led the company since its founding in 2015, will remain on the Board as a non-executive director. The transition marks a significant leadership change for Nomad Foods, which has seen consistent growth under Descheemaeker’s tenure, positioning the company as a leader in the savory frozen food industry.

Nomad Foods Unveils New Efficiency Program and Financial Targets at Barclays Conference

On September 3, 2025, Nomad Foods announced its participation in the Barclays Global Consumer Staples Conference, where it reiterated its 2025 guidance and unveiled a new efficiency program aimed at achieving €200 million in operational savings from 2026 to 2028. The company also set new medium-term financial targets, including a compound annual Adjusted EBITDA growth of 1-3% and a 15% increase in Free Cash Flow from 2026-2028. These initiatives are expected to enhance Nomad Foods’ market positioning by funding reinvestments, mitigating inflation, and supporting its growth goals. Additionally, the company plans to launch a new Masterbrand campaign in the UK and Ireland to promote its Birds Eye brand and introduce several new products across Europe.