Market Cap
CHF296.0b
Last Updated
2019/10/23 20:43 UTC
Data Sources
Company Financials +
Executive Summary
Nestlé S.A., together with its subsidiaries, operates as a food and beverage company.
Snowflake
Fundamentals
Established dividend payer with acceptable track record.
Similar Companies
Share Price & News
How has Nestlé's share price performed over time and what events caused price changes?
Latest Share Price and Events
Market Performance
7 Day Return
-3.4%
NESN
-3.0%
CH Food
-0.6%
CH Market
1 Year Return
23.1%
NESN
18.2%
CH Food
10.7%
CH Market
Return vs Industry: NESN exceeded the Swiss Food industry which returned 18.2% over the past year.
Return vs Market: NESN exceeded the Swiss Market which returned 10.7% over the past year.
Shareholder returns
| NESN | Industry | Market | |
|---|---|---|---|
| 7 Day | -3.4% | -3.0% | -0.6% |
| 30 Day | -4.3% | -3.2% | -0.4% |
| 90 Day | 0.3% | -0.05% | 1.1% |
| 1 Year | 26.4%23.1% | 24.1%18.2% | 16.6%10.7% |
| 3 Year | 54.9%41.9% | 47.5%41.0% | 35.5%21.9% |
| 5 Year | 72.0%48.2% | 60.1%50.5% | 36.8%15.3% |
Price Volatility Vs. Market
How volatile is Nestlé's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 months ago | Simply Wall St
Nestlé (VTX:NESN) Has A Pretty Healthy Balance Sheet2 months ago | Simply Wall St
Do Institutions Own Nestlé S.A. (VTX:NESN) Shares?2 months ago | Simply Wall St
Calculating The Intrinsic Value Of Nestlé S.A. (VTX:NESN)Valuation
Is Nestlé undervalued compared to its fair value and its price relative to the market?
9.9%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: NESN (CHF102.5) is trading below our estimate of fair value (CHF113.72)
Significantly Below Fair Value: NESN is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: NESN is poor value based on its PE Ratio (32.8x) compared to the Food industry average (29.9x).
PE vs Market: NESN is poor value based on its PE Ratio (32.8x) compared to the Swiss market (18.7x).
Price to Earnings Growth Ratio
PEG Ratio: NESN is poor value based on its PEG Ratio (8.3x)
Price to Book Ratio
PB vs Industry: NESN is overvalued based on its PB Ratio (6x) compared to the CH Food industry average (2.7x).
Next Steps
Future Growth
How is Nestlé forecast to perform in the next 1 to 3 years based on estimates from 23 analysts?
4.0%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: NESN's forecast earnings growth (4% per year) is above the savings rate (3.3%).
Earnings vs Market: NESN's earnings (4% per year) are forecast to grow slower than the Swiss market (10.4% per year).
High Growth Earnings: NESN's earnings are forecast to grow, but not significantly.
Revenue vs Market: NESN's revenue (2.6% per year) is forecast to grow slower than the Swiss market (3.5% per year).
High Growth Revenue: NESN's revenue (2.6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: NESN's Return on Equity is forecast to be high in 3 years time (34.7%)
Next Steps
Past Performance
How has Nestlé performed over the past 5 years?
-8.4%
Historical annual earnings growth
Earnings and Revenue History
Past Earnings Growth Analysis
Earnings Trend: NESN's earnings have declined by -8.4% per year over the past 5 years.
Accelerating Growth: NESN's earnings growth over the past year (14.8%) exceeds its 5-year average (-8.4% per year).
Earnings vs Industry: NESN earnings growth over the past year (14.8%) underperformed the Food industry 14.8%.
Return on Equity
High ROE: NESN's Return on Equity (18.7%) is considered low.
Return on Assets
ROA vs Industry: NESN has a higher Return on Assets than the Food industry average last year.
Return on Capital Employed
ROCE Improving: NESN has improved its Return on Capital Employed over the past 3 years.
Next Steps
Financial Health
How is Nestlé's financial position?
Financial Position Analysis
Short Term Liabilities: NESN's short term assets (CHF37.5B) do not cover its short term liabilities (CHF47.1B)
Long Term Liabilities: NESN's short term assets (37.5B) exceeds its long term liabilities (34.1B)
Debt to Equity History and Analysis
Debt Level: NESN's debt to equity ratio (77.6%) is considered high
Reducing Debt: NESN's debt to equity ratio has increased from 38.2% to 77.6% over the past 5 years.
Debt Coverage: NESN's debt is well covered by operating cash flow (40.7%).
Interest Coverage: NESN's interest payments on its debt are well covered by EBIT (20.8x coverage).
Balance Sheet
Inventory Level: NESN has a high level of physical assets or inventory.
Debt Coverage by Assets: NESN's debt is not covered by short term assets (assets are 0.9x debt).
Next Steps
Dividend
What is Nestlé's current dividend yield, its reliability and sustainability?
2.39%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Stability and Growth of Payments
Notable Dividend: NESN's dividend (2.39%) is higher than the bottom 25% of dividend payers in the Swiss market (1.92%).
High Dividend: NESN's dividend (2.39%) is low compared to the top 25% of dividend payers in the Swiss market (3.71%).
Stable Dividend: NESN's dividends per share have been stable in the past 10 years.
Growing Dividend: NESN's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: At its current payout ratio (78.5%), NESN's payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: NESN's dividends in 3 years are forecast to be covered by earnings (56.3% payout ratio).
Next Steps
Management
What is the CEO of Nestlé's salary, the management and board of directors tenure and is there insider trading?
5.0yrs
Average management tenure
CEO
Mark Schneider (54yo)
2.8yrs
Tenure
CHF9,468,558
Compensation
Dr. Ulf Mark Schneider, also known as Mark, has been the Chief Executive Officer of Nestlé S.A. since January 1, 2017 and has been its Director since April 6, 2017. He serves as Member of Executive Board a ...
CEO Compensation Analysis
Compensation vs. Market: Mark's total compensation ($USD9.56M) is about average for companies of similar size in the Swiss market ($USD4.22M).
Compensation vs Earnings: Mark's compensation has increased by more than 20% in the past year.
Management Age and Tenure
5.0yrs
Average Tenure
57yo
Average Age
Experienced Management: NESN's management team is seasoned and experienced (5 years average tenure).
Board Age and Tenure
4.8yrs
Average Tenure
67yo
Average Age
Experienced Board: NESN's board of directors are considered experienced (4.8 years average tenure).
Insider Trading
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Ownership Breakdown
Management Team
Chris Johnson (58yo)
Executive VP
- Tenure: 8.8yrs
Mark Schneider (54yo)
CEO, Member of Executive Board & Director
- Tenure: 2.8yrs
- Compensation: CHF9.47m
Marco Settembri (60yo)
Executive VP
- Tenure: 5.8yrs
Magdi Batato (60yo)
Executive VP
- Tenure: 4yrs
François-Xavier Roger (57yo)
Executive VP
- Tenure: 4.3yrs
Maurizio Patarnello (53yo)
Deputy Executive VP & Member of Executive Board
- Tenure: 0yrs
Laurent Freixe (57yo)
Executive VP
- Tenure: 0yrs
Patrice Bula (63yo)
Executive VP
- Tenure: 8.4yrs
Greg Behar (50yo)
Member of Executive Board
- Tenure: 0yrs
Stefan Palzer
Executive VP
- Tenure: 0yrs
Board Members
Henri René Marie de la Croix de Castries (65yo)
Vice Chairman & Lead Independent Director
- Tenure: 1.5yrs
- Compensation: CHF714.69k
Peter Brabeck-Letmathe (75yo)
Chairman Emeritus
- Tenure: 2.5yrs
- Compensation: CHF407.05k
Helmut Maucher (92yo)
Honorary Chairman
- Tenure: 19.4yrs
Eva Cheng (67yo)
Non-Executive Director
- Tenure: 6.5yrs
- Compensation: CHF449.30k
Mark Schneider (54yo)
CEO, Member of Executive Board & Director
- Tenure: 2.8yrs
- Compensation: CHF9.47m
Renato Fassbind (64yo)
Non-Executive Director
- Tenure: 4.8yrs
- Compensation: CHF622.75k
Beat Hess (70yo)
Non-Executive Director
- Tenure: 11.4yrs
- Compensation: CHF622.75k
Paul Bulcke (65yo)
Chairman of the Board
- Tenure: 2.5yrs
- Compensation: CHF3.49m
Ann Veneman (70yo)
Non-Executive Director
- Tenure: 8.5yrs
- Compensation: CHF361.95k
Suresh Narayanan
Chairman & MD of Nestle India
- Tenure: 0yrs
Company Information
Nestlé S.A.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Nestlé S.A.
- Ticker: NESN
- Exchange: SWX
- Founded: 1866
- Industry: Packaged Foods and Meats
- Sector: Food, Beverage & Tobacco
- Market Cap: CHF295.967b
- Shares outstanding: 2.89b
- Website: https://www.nestle.com
Number of Employees
Location
- Nestlé S.A.
- Avenue Nestlé 55
- Vevey
- Vaud
- 1800
- Switzerland
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| NESR | XTRA (XETRA Trading Platform) | Yes | Registered Shares | DE | EUR | Jan 1975 |
| NESN | SEP (The Stock Exchange Prague Co. Ltd.) | Yes | Registered Shares | CZ | CZK | Jan 1975 |
| NESN N | BMV (Bolsa Mexicana de Valores) | Yes | Registered Shares | MX | MXN | Jan 1975 |
| NESN | SWX (SIX Swiss Exchange) | Yes | Registered Shares | CH | CHF | Jan 1975 |
| 0QR4 | LSE (London Stock Exchange) | Yes | Registered Shares | GB | CHF | Jan 1975 |
| NSRG.F | OTCPK (Pink Sheets LLC) | Yes | Registered Shares | US | USD | Jan 1975 |
| NESR | DB (Deutsche Boerse AG) | Yes | Registered Shares | DE | EUR | Jan 1975 |
| NESM | XTRA (XETRA Trading Platform) | SPON ADR EACH REPR 1 COM CHF0.10 | DE | EUR | Mar 1990 | |
| NESM | DB (Deutsche Boerse AG) | SPON ADR EACH REPR 1 COM CHF0.10 | DE | EUR | Mar 1990 | |
| NSRG.Y | OTCPK (Pink Sheets LLC) | SPON ADR EACH REPR 1 COM CHF0.10 | US | USD | Mar 1990 | |
| NESNE | SWX (SIX Swiss Exchange) | CHF0.10 (2ND BUYBACK LINE) | CH | CHF | Jul 2017 |
Biography
Nestlé S.A., together with its subsidiaries, operates as a food and beverage company. The company operates through Zone Europe, Middle East and North Africa; Zone Americas; Zone Asia, Oceania and sub-Sahar ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/10/23 20:43 |
| End of Day Share Price | 2019/10/23 00:00 |
| Earnings | 2019/06/30 |
| Annual Earnings | 2018/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.