NOMAD FOODS LTD (NOMD)
VGG6564A1057 - Common Stock
Taking everything into account, NOMD scores 5 out of 10 in our fundamental rating. NOMD was compared to 93 industry peers in the Food Products industry. NOMD has a medium profitability rating, but doesn't score so well on its financial health evaluation. A decent growth rate in combination with a cheap valuation! Better keep an eye on NOMD.
1. Profitability
1.1 Basic Checks
In the past year NOMD was profitable.
NOMD had a positive operating cash flow in the past year.
NOMD had positive earnings in each of the past 5 years.
In the past 5 years NOMD always reported a positive cash flow from operatings.
1.2 Ratios
NOMD has a Return On Assets (3.00%) which is in line with its industry peers.
NOMD's Return On Equity of 7.43% is in line compared to the rest of the industry. NOMD outperforms 58.70% of its industry peers.
The Return On Invested Capital of NOMD (5.89%) is better than 69.57% of its industry peers.
The Average Return On Invested Capital over the past 3 years for NOMD is in line with the industry average of 7.80%.
The last Return On Invested Capital (5.89%) for NOMD is above the 3 year average (5.89%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3% | ||
| ROE | 7.43% | ||
| ROIC | 5.89% |
ROA(3y)3.3%
ROA(5y)3.31%
ROE(3y)8.3%
ROE(5y)8.3%
ROIC(3y)5.89%
ROIC(5y)5.81%
1.3 Margins
NOMD has a better Profit Margin (6.33%) than 71.74% of its industry peers.
NOMD's Profit Margin has declined in the last couple of years.
NOMD has a Operating Margin of 13.56%. This is amongst the best in the industry. NOMD outperforms 85.87% of its industry peers.
In the last couple of years the Operating Margin of NOMD has remained more or less at the same level.
NOMD's Gross Margin of 28.20% is fine compared to the rest of the industry. NOMD outperforms 68.48% of its industry peers.
NOMD's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.56% | ||
| PM (TTM) | 6.33% | ||
| GM | 28.21% |
OM growth 3Y-3.51%
OM growth 5Y-0.41%
PM growth 3Y-10.91%
PM growth 5Y-4.29%
GM growth 3Y-2.37%
GM growth 5Y-1.28%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so NOMD is destroying value.
The number of shares outstanding for NOMD has been reduced compared to 1 year ago.
The number of shares outstanding for NOMD has been reduced compared to 5 years ago.
The debt/assets ratio for NOMD has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.71, we must say that NOMD is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of NOMD (1.71) is comparable to the rest of the industry.
The Debt to FCF ratio of NOMD is 6.13, which is on the high side as it means it would take NOMD, 6.13 years of fcf income to pay off all of its debts.
NOMD's Debt to FCF ratio of 6.13 is fine compared to the rest of the industry. NOMD outperforms 65.22% of its industry peers.
NOMD has a Debt/Equity ratio of 0.82. This is a neutral value indicating NOMD is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.82, NOMD is doing worse than 63.04% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.82 | ||
| Debt/FCF | 6.13 | ||
| Altman-Z | 1.71 |
ROIC/WACC0.92
WACC6.39%
2.3 Liquidity
NOMD has a Current Ratio of 1.13. This is a normal value and indicates that NOMD is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.13, NOMD is doing worse than 69.57% of the companies in the same industry.
NOMD has a Quick Ratio of 1.13. This is a bad value and indicates that NOMD is not financially healthy enough and could expect problems in meeting its short term obligations.
NOMD has a Quick ratio of 0.70. This is in the lower half of the industry: NOMD underperforms 63.04% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.13 | ||
| Quick Ratio | 0.7 |
3. Growth
3.1 Past
NOMD shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -4.17%.
Measured over the past 5 years, NOMD shows a small growth in Earnings Per Share. The EPS has been growing by 6.41% on average per year.
Looking at the last year, NOMD shows a small growth in Revenue. The Revenue has grown by 3.56% in the last year.
The Revenue has been growing slightly by 6.98% on average over the past years.
EPS 1Y (TTM)-4.17%
EPS 3Y6.05%
EPS 5Y6.41%
EPS growth Q2Q-3.03%
Revenue 1Y (TTM)3.56%
Revenue growth 3Y6.56%
Revenue growth 5Y6.98%
Revenue growth Q2Q1.41%
3.2 Future
NOMD is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.32% yearly.
The Revenue is expected to grow by 2.16% on average over the next years.
EPS Next Y12.5%
EPS Next 2Y10.82%
EPS Next 3Y10.55%
EPS Next 5Y8.32%
Revenue Next Year3.18%
Revenue Next 2Y3.15%
Revenue Next 3Y3.09%
Revenue Next 5Y2.16%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 10.97, the valuation of NOMD can be described as very reasonable.
Based on the Price/Earnings ratio, NOMD is valued cheaper than 91.30% of the companies in the same industry.
NOMD is valuated cheaply when we compare the Price/Earnings ratio to 28.38, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 9.77 indicates a reasonable valuation of NOMD.
Based on the Price/Forward Earnings ratio, NOMD is valued cheaper than 93.48% of the companies in the same industry.
NOMD's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 20.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.97 | ||
| Fwd PE | 9.77 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of NOMD indicates a rather cheap valuation: NOMD is cheaper than 81.52% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of NOMD indicates a rather cheap valuation: NOMD is cheaper than 85.87% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.27 | ||
| EV/EBITDA | 9.06 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
NOMD has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)0.88
PEG (5Y)1.71
EPS Next 2Y10.82%
EPS Next 3Y10.55%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.17%, NOMD has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.56, NOMD pays a bit more dividend than its industry peers.
NOMD's Dividend Yield is a higher than the S&P500 average which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.17% |
5.2 History
NOMD is new to the dividend game and has less than 3 years of track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DPN/A
EPS Next 2Y10.82%
EPS Next 3Y10.55%
NOMAD FOODS LTD
NYSE:NOMD (5/10/2024, 7:09:31 PM)
After market: 19.08 0 (0%)19.08
+0.16 (+0.85%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap3.10B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.17% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.97 | ||
| Fwd PE | 9.77 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.88
PEG (5Y)1.71
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3% | ||
| ROE | 7.43% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 13.56% | ||
| PM (TTM) | 6.33% | ||
| GM | 28.21% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.47
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.82 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.13 | ||
| Quick Ratio | 0.7 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-4.17%
EPS 3Y6.05%
EPS 5Y
EPS growth Q2Q
EPS Next Y12.5%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)3.56%
Revenue growth 3Y6.56%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y