Nomad Foods (NOMD) Stock Forecast & Price Target

Nomad Foods Ltd has demonstrated a notable improvement in category volume growth and industry sales, transitioning to low-single-digit sales growth, which suggests a positive trend for the company. With a strengthened brand portfolio stemming from significant investment in previously under-resourced assets, Nomad Foods is now better positioned than at the time of its acquisition. Additionally, the company's focus on health-oriented food categories, coupled with recovering economic conditions across much of Europe, further supports a positive outlook for its market leadership in key regions.

Nomad Foods Ltd. has faced disappointing financial performance, with a decline in total revenue of (2.2%) in Q3 2025, surpassing previous estimates and attributed to unfavorable weather conditions and significant revenue drop in the UK market. The company's gross margin has also deteriorated, decreasing by 230 basis points to 27.3%, primarily driven by heightened cost inflation and subpar pricing strategies that have failed to keep pace with rising input costs. Furthermore, the expectation for full-year organic revenue suggests stagnation or a potential decline of up to (2.0%), indicating ongoing challenges in sales momentum and profitability.