Mizuho Reiterates Outperform Rating on Nomad Foods Ltd (NOMD)

Mizuho analyst John Baumgartner reiterated an Outperform rating and $24.00 price target on Nomad Foods Ltd (NYSE: NOMD).

The analyst commented: "We hosted investor meetings with CEO Stéfan Descheemaeker and CFO Ruben Baldew. Marketplace execution remains favorable into 2025, including 5 consecutive months of market-share growth, and off-shelf merchandising activities demonstrate impulse purchase activity. FY25 reinvestments include product quality, advertising, and merchandising which underscore high confidence in a second consecutive year of organic volume growth. Separately, preliminary FY25 guidance matched our in-line ests at the high ends (organic revenue +1-3% & adj. EBITDA +2-4% including "meaningful" yr/yr reinvestment); adj. EPS at €1.81-€1.85 includes larger y/yr D&A expense & FCF conversion is guided to 90%+. FY24 guidance was also reiterated. We are maintaining our EBITDA for FY25E (€557MM) and FY26E (€579MM) and our price target ($24) on ~9.5x our CY25E EBITDA (a ~10% discount vs. U.S. Food peers). We maintain our Outperform rating."

For an analyst ratings summary and ratings history on Nomad Foods Ltd click here. For more ratings news on Nomad Foods Ltd click here.

Shares of Nomad Foods Ltd closed at $16.63 yesterday.

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