Rankings Food, drinks & restaurants Nestlé
Nestlé
65
15070100
A view of the same findings, not a new score. How it works
A good business with a real question mark: the price, a crack, or both.
Biggest deductions
- Governance and management−4
- Debt−4
- Quality of growth−3
Strengths
- Dividend from FCF+2
- Diversified customer base and pricing power+2
How the score is built
From 100 to 65, step by step: points off for the business, the price and the cracks, back for documented strengths, then three data adjustments.
Start
Score
Hover or select a step to see what drove it. Steps with findings open them below.
Key numbers
As of 3 Nov 2026. Analyst targets tend to be optimistic; read upside as a hint, not a forecast.
- Price
- 84.60 CHF
- Median analyst target
- 89.00 CHF
- Upside to median
- +5.2%
- Analysts
- 23
- Target range
- 72.00 – 100.00 CHF
- 52-week change
- +10%
- P/E (trailing)
- 29.3
- Forward P/E
- 18.0
- PEG
- 4.02
Findings
Every deduction and every plus, with its source. Open a step to read them.
Business
Is the company getting stronger, not just bigger? · 3 findings−8 of −30
- −3Quality of growthOrganic growth was 3.6% in H1 2026, but only 1.5% was volume (RIG); the rest was price (2.1%). Revenue in CHF has fallen four years in a row, from CHF 94.8bn (2022) to CHF 88.8bn TTM, and consensus expects +0.2% in 2026.
- −3MarginUnderlying operating margin (UTOP) was 16.4% in H1 2026 vs 16.5% a year earlier, and operating margin has fallen from about 17% (2023–24) to 15.5% TTM. Management now expects the H2 margin to be only in line with H1.
- −2ROICROIC has fallen from 15.7% (2021) and 14.8% (2023) to 12.3% TTM. The company is not getting stronger, but earns less on its capital.
Price
Today's multiples against the company's own history and its peers. · 1 finding−2 of −35
- −2Multiples vs own history and peersForward P/E 17.4 vs 16.4–27.1 in 2021–25 and P/FCF 16.7 vs 17.5–43.4, so the stock is at the cheap end of its five-year history. It is, however, a history with a quality premium that is no longer deserved, and the price is in line with peers such as Unilever and Danone.
Cracks
Cash flow, customers, debt, insiders, guidance and what sits behind the headline numbers. · 4 findings−12 of −35
- −4Governance and managementThree top executives in 13 months: Schneider was removed in 2024, and his successor Freixe was fired in September 2025 for a relationship with a subordinate. Chairman Paul Bulcke had to leave early after criticism of his handling of the matter, and Pablo Isla became chairman on 1/10/2025.
- −4DebtNet debt is CHF 56.7bn vs CHF 32.9bn in 2021, and debt/EBITDA is 3.7. The debt grew while shares worth CHF 27bn were bought back in 2021–24, and the dividend equals 107% of reported net profit.
- −3Earnings and guidanceNet profit fell 31.4% to CHF 3.47bn in H1 2026, and underlying operating profit fell 2.8%. The currency effect was −6.2% on sales, and the restructuring (Fuel for Growth, factory closures) is still costing money.
- −1Execution of portfolio clean-upWater (50% to Platinum Equity at an EV of EUR 4.9bn), mainstream vitamins and ice cream have been put up for sale or sold. That is sensible, but it ties up management's focus until 2027 and removes revenue.
Plus
Only documented strengths. · 2 findings+4 of +15
- +2Dividend from FCFFCF was CHF 12.5bn TTM vs dividends of CHF 8.0bn (dividend yield 3.8%), and guidance is FCF above CHF 9bn in 2026. The buyback has largely stopped (share count −0.1%), so no buyback bonus is given.
- +2Diversified customer base and pricing powerOrganic growth in Q1 2026 of 3.5% beat consensus of 2.4%, and RIG is accelerating (1.8% in Q2). Many brands across many categories and markets; emerging markets grew 7.1% organically.
Caveats
What the score does not capture, or where the data is weak.
The nine-month sales figures come at the end of October 2026. Trailing P/E of 28 is distorted by one-offs (net profit fell 31% in H1 2026 despite stable underlying profit), so T2 is based on forward and FCF. Raw material prices (coffee and cocoa) and insider trades are not examined (0 points). The water sale (50% to Platinum Equity) closes only in H1 2027.
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