Nomad Foods (NYSE:NOMD) Announces Quarterly Earnings Results, Beats Estimates By $0.08 EPS

Nomad Foods (NYSE:NOMD) released its earnings results on Thursday. The company reported $0.45 EPS for the quarter, beating the consensus estimate of $0.37 by $0.08, Zacks reports. The company had revenue of $825.94 million during the quarter, compared to analysts’ expectations of $822.17 million. Nomad Foods had a return on equity of 9.05% and a net margin of 4.43%.The business’s revenue for the quarter was down 3.1% on a year-over-year basis. During the same period last year, the firm earned $0.40 EPS. 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 Up 2.9%

Shares of Nomad Foods stock traded up $0.33 during midday trading on Thursday, hitting $11.72. The company’s stock had a trading volume of 2,687,192 shares, compared to its average volume of 1,612,537. The stock has a 50-day simple moving average of $11.19 and a 200-day simple moving average of $10.83. The firm has a market capitalization of $1.64 billion, a P/E ratio of 11.36 and a beta of 0.69. The company has a quick ratio of 0.66, a current ratio of 1.06 and a debt-to-equity ratio of 0.91. Nomad Foods has a 1-year low of $8.99 and a 1-year high of $15.91.

Nomad Foods Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Thursday, August 27th. Stockholders of record on Tuesday, August 11th will be given a $0.17 dividend. This represents a $0.68 annualized dividend and a dividend yield of 5.8%. The ex-dividend date of this dividend is Tuesday, August 11th. Nomad Foods’s dividend payout ratio (DPR) is 66.02%.

Insiders Place Their Bets

In other news, CEO Dominic Brisby acquired 150,000 shares of Nomad Foods stock in a transaction that occurred on Friday, May 15th. The stock was purchased at an average price of $9.79 per share, with a total value of $1,468,500.00. Following the completion of the transaction, the chief executive officer owned 676,794 shares in the company, valued at approximately $6,625,813.26. This trade represents a 28.47% increase in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Corporate insiders own 17.27% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the business. BTG Pactual Asset Management US LLC bought a new stake in Nomad Foods during the fourth quarter worth approximately $224,000. Aigen Investment Management LP bought a new position in shares of Nomad Foods in the fourth quarter valued at approximately $140,000. Virtu Financial LLC bought a new position in shares of Nomad Foods in the third quarter valued at approximately $144,000. Entropy Technologies LP lifted its stake in shares of Nomad Foods by 59.1% in the third quarter. Entropy Technologies LP now owns 18,083 shares of the company’s stock worth $238,000 after buying an additional 6,719 shares during the last quarter. Finally, Aristides Capital LLC lifted its stake in shares of Nomad Foods by 34.0% in the third quarter. Aristides Capital LLC now owns 17,894 shares of the company’s stock worth $235,000 after buying an additional 4,536 shares during the last quarter. Institutional investors and hedge funds own 75.26% of the company’s stock.

Wall Street Analyst Weigh In

Several equities research analysts have commented on the stock. Barclays boosted their price target on shares of Nomad Foods from $12.00 to $14.00 and gave the stock an “overweight” rating in a research report on Monday, July 20th. BTIG Research reissued a “buy” rating and set a $15.00 target price on shares of Nomad Foods in a research note 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. Deutsche Bank Aktiengesellschaft restated a “hold” rating and issued a $11.00 price target on shares of Nomad Foods in a research report on Tuesday, July 21st. Finally, Zacks Research upgraded Nomad Foods from a “strong sell” rating to a “hold” rating in a research report on Wednesday, May 13th. Three investment analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company. According to data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average price target of $13.25.

About Nomad Foods

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.