Zacks Research Downgrades Nomad Foods (NYSE:NOMD) to Strong Sell

Key Points

• Zacks Research has downgraded Nomad Foods (NYSE:NOMD) from a "hold" rating to a "strong sell" rating, indicating a negative outlook for the stock.
• Other brokerages have also reduced target prices on NOMD, with Mizuho lowering it from $23.00 to $20.00 and BTIG reducing theirs from $20.00 to $18.00.
• Despite the downgrade, analysts currently hold a consensus rating of "Moderate Buy" for the stock, with an average price target of $19.75.

Nomad Foods (NYSE:NOMD - Get Free Report) was downgraded by investment analysts at Zacks Research from a "hold" rating to a "strong sell" rating in a report released on Monday,Zacks.com reports.

Several other brokerages have also recently issued reports on NOMD. Mizuho reduced their target price on Nomad Foods from $23.00 to $20.00 and set an "outperform" rating on the stock in a report on Tuesday, August 12th. BTIG Research reduced their price objective on Nomad Foods from $20.00 to $18.00 and set a "buy" rating on the stock in a research note on Wednesday, September 17th. Finally, Barclays reduced their price objective on Nomad Foods from $20.00 to $18.00 and set an "overweight" rating on the stock in a research note on Friday, August 8th. Four analysts have rated the stock with a Buy rating and one has issued a Sell rating to the company's stock. According to MarketBeat, Nomad Foods presently has a consensus rating of "Moderate Buy" and an average price target of $19.75.

Nomad Foods Trading Up 1.4%

Shares of NOMD stock opened at $13.15 on Monday. Nomad Foods has a 12-month low of $12.89 and a 12-month high of $20.81. The company has a current ratio of 1.02, a quick ratio of 0.63 and a debt-to-equity ratio of 0.81. The stock's 50-day moving average price is $15.15 and its 200-day moving average price is $17.23. The stock has a market capitalization of $2.02 billion, a price-to-earnings ratio of 9.01 and a beta of 0.70.

Nomad Foods (NYSE:NOMD - Get Free Report) last issued its earnings results on Wednesday, August 6th. The company reported $0.45 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.44 by $0.01. Nomad Foods had a return on equity of 10.26% and a net margin of 6.93%.The firm had revenue of $879.27 million for the quarter, compared to analysts' expectations of $762.81 million. During the same period in the previous year, the firm posted $0.44 earnings per share. The business's revenue was down .8% compared to the same quarter last year. Equities research analysts predict that Nomad Foods will post 1.82 EPS for the current fiscal year.

Institutional Trading of Nomad Foods

A number of large investors have recently modified their holdings of NOMD. Summit Securities Group LLC purchased a new stake in shares of Nomad Foods in the first quarter valued at approximately $32,000. Osaic Holdings Inc. boosted its holdings in shares of Nomad Foods by 87.4% in the second quarter. Osaic Holdings Inc. now owns 2,658 shares of the company's stock valued at $45,000 after purchasing an additional 1,240 shares during the period. State of Wyoming boosted its holdings in shares of Nomad Foods by 56.6% in the first quarter. State of Wyoming now owns 9,466 shares of the company's stock valued at $186,000 after purchasing an additional 3,421 shares during the period. Sequoia Financial Advisors LLC purchased a new stake in shares of Nomad Foods in the first quarter valued at approximately $196,000. Finally, Sciencast Management LP purchased a new stake in Nomad Foods during the first quarter worth $196,000. Hedge funds and other institutional investors own 75.26% of the company's stock.

Nomad Foods Company Profile

Nomad Foods Limited, together with its subsidiaries, manufactures, markets, and distributes a range of frozen food products in the United Kingdom and internationally. The company offers frozen fish products, including fish fingers, coated fish, and natural fish; ready-to-cook vegetable products, such as peas and spinach; and frozen poultry and meat products comprising nuggets, grills, and burgers.

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