NESTLE N

Nestlé operates as a food and beverage company with various segments. It offers baby foods under Cerelac, Gerber, Nido, and NaturNes brands. The company also provides bottled water, cereals, chocolate, and confectionery products. Coffee products are offered under Nescafé, Nespresso, and Starbucks brands. Culinary, chilled, and frozen foods are provided under Maggi, DiGiorno, and Buitoni brands. Dairy products include Carnation, Nido, Bear, and Coffee-Mate. The company was founded in 1866 and is headquartered in Switzerland.

Overview

Sector

Oil & Gas

Target Price

46.6 CHF

Current Price

72.2 CHF

Potential

-36%

Strengths

Current Price to Earnings Ratio (17.04) is lower than the sector mean (62.33).
The company has high returns. ROIC (16.76%) is higher than the sector mean (10.87%).
EV/EBIT (16.14) is lower than the sector mean.
Price to free cash flow (17.31) is lower than the sector mean.
Strong EBITDA Margin of 21.32%.

Weaknesses

With a depreciation Potential of -35.40%, based on our fundamental analysis, it suggests the stock may be overvalued.
The company has high debt. Net Debt to EBITDA Ratio (2.97) is higher than the sector mean.

Key Financial Data

Indicator	Value
PER	17.1
EV/EBITDA	12.5
Price/Free Cash Flow'	17.3
ROIC	16.8%
Net Debt/EBITDA	3.0