Nestle SA

Nestlé SA is a nutrition, health, and wellness company, which engages in the business of manufacturing, supplying, and producing prepared dishes and cooking aids, milk-based products, pharmaceuticals and ophthalmic goods, baby foods, and cereals. It operates through the following segments: Zone North America; Zone Europe; Zone Asia, Oceania, and Africa; Zone Latin America; Zone Greater China; Nestlé Health Science; and Nespresso. The company was founded by Henri Nestlé in 1866 and is headquartered in Vevey, Switzerland.

Nestle's share price is at a six-year low, offering a 4% dividend yield, presenting a potential entry point for value investors. Nestle's extensive brand portfolio, strong market presence, and robust cash generation make it a stable, defensive investment with limited downside risks. New CEO Laurent Freixe's experience and realistic growth targets, combined with potential efficiency improvements, could drive future growth and profitability.

A Rare Entry Point Into Nestle Is Presented To Investors

Nestle has had a pretty woeful 2024, consistently missing consensus on organic sales growth while cutting guidance on several occasions. Management reset margin expectations at the company's recent Capital Markets Day. While fresh guidance looks underwhelming, the company should be free to push on from here. The ADSs are down roughly 30% year-to-date. Nestle only needs to deliver very modest free cash flow growth to justify the current price.

Nestle: Sluggish Business Leaves Shares Looking Cheap

Ingredion

Investors interested in stocks from the Food - Miscellaneous sector have probably already heard of Ingredion (INGR) and Nestle SA (NSRGY). But which of these two stocks presents investors with the better value opportunity right now?

INGR or NSRGY: Which Is the Better Value Stock Right Now?

Nestle has stepped up its response to the launch of weight-loss drugs with a range of protein shots and drinks that it says can have the same impact. Boost Pre-meal is a liquid shot that will “support people using GLP-1 receptor agonists or other weight-loss medications”, said the Kit Kat maker.

Nestle launches appetite suppressant shots to ride weight-loss boom

Nestle is launching protein shots in the United States which it says help suppress appetite for people looking to shed pounds, the latest effort by the world's biggest packaged food maker to tap the booming market for weight-loss products.

Nestle launches protein shots for US weight-loss drug users

Danone SA

A new, more powerful generation of weight-loss drugs could be about the change the landscape for weight-loss treatments, according to analysts at Barclays. Thus far, investors' focus on the GLP-1-based weight loss treatments has ebbed and flowed drugs has ebbed and flowed, but 2025 might be an inflection point in the narrative, suggests the bank.

Weight-loss drug landscape to change markedly in 2025, bank suggests

Starbucks

Coffee-related stocks were mixed as coffee prices were wafted to their highest since the 1970s on supply worries.  Coffee pod maker Keurig Dr Pepper Inc (NASDAQ:KDP) shares fell 1% but Nestle S.A.

Nestle and Starbucks shares rise as coffee prices surge to highest since 1970s

Nestle needs to take action on prices to encourage consumers to buy its goods, Chairman Paul Bulcke was quoted as saying on Tuesday following a challenging phase for the company that saw the departure of its CEO earlier this year.

Nestle chairman sees need for action on product prices

San Pellegrino and Perrier owner Nestle will spend the coming months carving out its 3.3 billion-Swiss-franc water business and is open to deals and partnerships, a top executive told Reuters.

Nestle open to partnerships for water business -exec

Nestle has played down concerns about anti-packaged food rhetoric from Robert F. Kennedy Jr., President-elect Donald Trump's pick to lead the United States' top health agency.

Nestle plays down RFK Jr's anti-packaged food rhetoric

Nestle, the world's largest food company, is embarking on a transformative journey under its new CEO, Laurent Freixe. After several quarters of lackluster sales growth under former CEO Mark Schneider, Freixe, a four-decade Nestle veteran, is steering the company towards a future focused on cost efficiency, amplified marketing, and strategic realignment.

Nestle's big gamble: will cost-cutting & marketing be enough?

The food giant tempered its profit expectations for next year and for sales growth over the medium term, as it steps up spending to boost its top line and win market share in the face of a tough consumer environment.

Nestle to Step Up Spending in Push to Boost Sales Growth

Nestle is a fundamentally strong, AA-rated company with a $225B+ market cap, offering a 3.5% yield and a history of consistent dividend growth. Despite current headwinds like input cost inflation and softening consumer demand, Nestle's diversified segments, especially coffee, PetCare, and Confectionary, are driving growth. Nestle's valuation at sub-18x P/E is attractive, offering potential annualized returns of 12-20%, making it a "Buy" at current levels.

Nestle Is On Sale, And I'm Buying

Nestle S.A. (OTC:NSRGF, VTX:NESN) has unveiled a restructuring plan that will cut costs by an extra US$2.8 billion and see its waters and premium beverages spun out into a separate business.

Nestle to spin out Perrier and San Pellegrino in US$2.8 billion cost drive

Nestle will boost advertising and marketing, trim costs, carve out its water and premium drinks businesses into a standalone global unit, and implement other changes to drive growth under new chief Laurent Freixe, the company said on Tuesday.

Nestle to cut costs, boost marketing under CEO Freixe

Established consumer brand companies like Nestlé have seen large, "recession-type" stock price declines whilst the market has been rising. The market questions Nestlé's historical stable earning power, the primary pillar of its valuation model. Fundamental performance & investor confidence can be restored by improving the sales / invested capital ratio of the business, which will indicate greater product relevance and the reversal of volume losses.

Are Established Consumer Brands Dying? Part I: Nestlé

Nestle's KitKat brand has signed a global sponsorship deal with Formula 1 as new Chief Executive Laurent Freixe seeks to change the way the world's biggest food company markets its core, multi-billion-dollar brands.

Nestle's KitKat signs Formula 1 deal as CEO Freixe seeks broader appeal

Procter & Gamble

Consumer brands including Nestle and Procter & Gamble said they conducted investigations after an environmental group said palm oil sourced from an illegally cleared wildlife reserve in Indonesia may have found its way into their supply chains.

Nestle, P&G investigate palm oil sourcing after green group's Indonesia deforestation report

Nestle is in the early stages of a turnaround with a new CEO, but investor scepticism remains high due to inherent challenges. The company faces no growth, no margin improvements, rising debt, and a declining stock, with Q3 results showing minimal organic growth and revenue decline. The new CEO has cut near-term guidance and plans to focus on iconic brands, fewer new products, digitalization, and efficiencies, but execution is a big question.

Nestle: Don't Blindly Assume A Recovery

Nestle's plans under new CEO Laurent Freixe to restructure and sharpen its focus on its top brands were welcomed by investors, but executing a turnaround strategy against a backdrop of weak consumer demand will be a tough task.

Nestle CEO Freixe's turnaround plan faces challenge from weak consumer

Nestlé: 2024 Guidance Cut, But Still A Buy

Nestle on Thursday said shopper "concerns around the election" in the United States are putting further pressure on demand in its biggest market by creating consumer uncertainty.

Nestle flags shopper uncertainty around US election

Nestle, the Swiss multinational known for brands like Nescafe and KitKat, has reported a decline in sales this year, primarily due to boycotts linked to its association with Israel. The company has been a target of the boycott, divestment, and sanctions (BDS) movement because of its ownership of Israeli food giant Osem, acquired in 2016.

Nestle says its sales are taking a hit due to Israel-linked boycotts

Nestle S.A. (OTC:NSRGF, VTX:NESN) on Thursday cut its full-year sales guidance and signalled structural changes as demand woes continue to plague the KitKat maker.

Nestle climbs as trimmed sales outlook coupled with structural change

The Swiss conglomerate said its sales growth had slowed due to consumer hesitancy as it outlined a shakeup of its board of executives under new CEO Laurent Freixe

News for Nestle SA Stock (NSRGY)