Nomad Foods (NYSE:NOMD) Issues Earnings Results

Nomad Foods (NYSE:NOMD) issued its quarterly earnings results on Thursday. The company reported $0.45 EPS for the quarter, topping the consensus estimate of $0.37 by $0.08, Zacks reports. Nomad Foods had a return on equity of 9.05% and a net margin of 4.43%.The company had revenue of $825.94 million for the quarter, compared to the consensus estimate of $822.17 million. During the same period in the previous year, the business posted $0.40 EPS. The company’s revenue for the quarter was down 3.1% on a year-over-year basis. Nomad Foods updated its FY 2026 guidance to 1.604-1.779 EPS.

Here are the key takeaways from Nomad Foods’ conference call:

• Retailer disruptions in Germany and France are largely resolved, and Nomad expects improved sales and market-share performance in the third and fourth quarters. Management cautioned that returning to market-share neutrality will take more time.
• Private-label competitors have begun taking significant price increases, particularly in fish categories, but Nomad said it is still too early to assess the resulting elasticity and consumer sellout data.
• The company said its €200 million productivity program remains on track, supporting competitive pricing, a lower price index, and gross-margin improvement. Some quarterly overhead and marketing benefits were attributed to phasing and may reverse later in the year.
• Nomad has suspended share buybacks and is prioritizing deleveraging and lower interest costs, while continuing to pay dividends; management did not provide a target leverage ratio or timeline.
• Management plans to present a broad value-creation strategy at its October analyst and investor day, covering innovation, marketing, sales execution, productivity, and organizational changes aimed at improving long-term competitiveness.

Nomad Foods Stock Performance

Shares of NYSE NOMD traded up $0.33 during trading hours on Thursday, reaching $11.72. The stock had a trading volume of 2,687,192 shares, compared to its average volume of 1,612,537. The company has a market cap of $1.64 billion, a price-to-earnings ratio of 11.36 and a beta of 0.69. Nomad Foods has a twelve month low of $8.99 and a twelve month high of $15.91. The business’s fifty day moving average is $11.19 and its two-hundred day moving average is $10.83. The company has a debt-to-equity ratio of 0.91, a current ratio of 1.06 and a quick ratio of 0.66.

Nomad Foods Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, August 27th. Investors of record on Tuesday, August 11th will be paid a $0.17 dividend. This represents a $0.68 dividend on an annualized basis and a dividend yield of 5.8%. The ex-dividend date is Tuesday, August 11th. Nomad Foods’s dividend payout ratio is presently 66.02%.

Insiders Place Their Bets

In other Nomad Foods news, CEO Dominic Brisby purchased 150,000 shares of the stock in a transaction on Friday, May 15th. The shares were purchased at an average price of $9.79 per share, with a total value of $1,468,500.00. Following the acquisition, the chief executive officer directly owned 676,794 shares of the company’s stock, valued at $6,625,813.26. This represents a 28.47% increase in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this link. 17.27% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Nomad Foods

Several large investors have recently modified their holdings of the stock. Royal Bank of Canada boosted its stake in Nomad Foods by 9.2% in the 1st quarter. Royal Bank of Canada now owns 143,968 shares of the company’s stock valued at $2,829,000 after buying an additional 12,131 shares in the last quarter. Millennium Management LLC raised its stake in Nomad Foods by 81.3% during the first quarter. Millennium Management LLC now owns 656,686 shares of the company’s stock worth $12,904,000 after acquiring an additional 294,386 shares in the last quarter. Jane Street Group LLC raised its stake in Nomad Foods by 50.2% during the first quarter. Jane Street Group LLC now owns 75,847 shares of the company’s stock worth $1,490,000 after acquiring an additional 25,358 shares in the last quarter. Cetera Investment Advisers bought a new position in shares of Nomad Foods during the second quarter valued at $221,000. Finally, JPMorgan Chase & Co. boosted its stake in shares of Nomad Foods by 427.3% in the 2nd quarter. JPMorgan Chase & Co. now owns 105,871 shares of the company’s stock valued at $1,799,000 after purchasing an additional 85,793 shares in the last quarter. 75.26% of the stock is currently owned by institutional investors.

Wall Street Analyst Weigh In

Several equities research analysts have recently issued reports on NOMD shares. Barclays raised their price objective on shares of Nomad Foods from $12.00 to $14.00 and gave the stock an “overweight” rating in a research note on Monday, July 20th. BTIG Research reissued a “buy” rating and issued a $15.00 price target on shares of Nomad Foods in a report on Wednesday, May 13th. Zacks Research upgraded shares of Nomad Foods from a “strong sell” rating to a “hold” rating in a research report on Wednesday, May 13th. Weiss Ratings upgraded shares of Nomad Foods from a “sell (d+)” rating to a “hold (c-)” rating in a report on Thursday, July 2nd. Finally, Deutsche Bank Aktiengesellschaft reaffirmed a “hold” rating and set a $11.00 price objective on shares of Nomad Foods in a research report on Tuesday, July 21st. Three analysts have rated the stock with a Buy rating and three have given a Hold rating to the stock. According to data from MarketBeat.com, Nomad Foods has a consensus rating of “Moderate Buy” and a consensus price target of $13.25.

Nomad Foods Company Profile

Nomad Foods Limited is a leading frozen foods company headquartered in the United Kingdom, operating under the ticker symbol NOMD on the New York Stock Exchange. The company’s portfolio comprises well-known consumer brands such as Birds Eye, iglo, Findus, Goodfella’s and Aunt Bessie’s, covering a wide range of categories including vegetables, seafood, ready meals, pizzas and desserts. Nomad Foods focuses on delivering convenient, high-quality frozen products designed to meet evolving consumer preferences for taste, nutrition and ease of preparation.

Formed in 2015 through the acquisition of Iglo Group by investment firms Permira and Goldman Sachs Asset Management, Nomad Foods was created with the strategy of building Europe’s largest frozen foods platform.