Nestle SA banner

Nestle SA
SIX:NESN

Watchlist Manager
Nestle SA Logo
Nestle SA
SIX:NESN
Watchlist
Price: 79.05 CHF -0.32% Market Closed
Market Cap: CHf203.7B

P/FCFE

28.5
Current
51%
More Expensive
vs 3-y average of 18.9

Price to Free Cash Flow to Equity (P/FCFE) ratio compares a company`s market value to the free cash flow available to its shareholders. It`s similar to the P/OCF ratio but more precise, since it accounts for capital expenditures deducted from operating cash flow.

P/FCFE
28.5
=
Market Cap
CHf201.6B
/
Free Cash Flow to Equity
CHf7.1B

Price to Free Cash Flow to Equity (P/FCFE) ratio compares a company`s market value to the free cash flow available to its shareholders. It`s similar to the P/OCF ratio but more precise, since it accounts for capital expenditures deducted from operating cash flow.

P/FCFE
28.5
=
Market Cap
CHf201.6B
/
Free Cash Flow to Equity
CHf7.1B

Valuation Scenarios

Nestle SA is trading above its 3-year average

If P/FCFE returns to its 3-Year Average (18.9), the stock would be worth CHf52.35 (34% downside from current price).

Statistics
Positive Scenarios
0/4
Maximum Downside
-38%
Maximum Upside
No Upside Scenarios
Average Downside
33%
Scenario P/FCFE Value Implied Price Upside/Downside
Current Multiple 28.5 CHf79.05
0%
3-Year Average 18.9 CHf52.35
-34%
5-Year Average 19.8 CHf54.76
-31%
Industry Average 17.7 CHf49.2
-38%
Country Average 20.4 CHf56.53
-28%

Forward P/FCFE
Today’s price vs future free cash flow to equity

Not enough data available to calculate forward P/FCFE

Peer Comparison

All Multiples
P/FCFE
P/E
All Countries
Close
Market Cap P/FCFE P/E
CH
Nestle SA
SIX:NESN
203.3B CHF 28.5 22.5
JP
Goyo Foods Industry Co Ltd
TSE:2230
53.2T JPY -621 880.5 540 752.8
US
Mondelez International Inc
NASDAQ:MDLZ
78.7B USD 15.9 32.1
FR
Danone SA
PAR:BN
42.7B EUR 15.3 23.5
ZA
Tiger Brands Ltd
JSE:TBS
47.6B ZAR 347.5 12.5
US
Hershey Co
NYSE:HSY
37B USD 19.6 41.9
CN
Muyuan Foods Co Ltd
SZSE:002714
244.2B CNY -46.5 25
ZA
Avi Ltd
JSE:AVI
33.1B ZAR 16.6 12.8
CN
Foshan Haitian Flavouring and Food Co Ltd
SSE:603288
225.7B CNY 35.9 32.1
CH
Chocoladefabriken Lindt & Spruengli AG
SIX:LISN
23.2B CHF 198.9 31.9
IN
Nestle India Ltd
NSE:NESTLEIND
2.8T INR 83.3 80.1

Market Distribution

In line with most companies in Switzerland
Percentile
67th
Based on 862 companies
67th percentile
28.5
Low
0.1 — 13.4
Typical Range
13.4 — 31.1
High
31.1 —
Distribution Statistics
Switzerland
Min 0.1
30th Percentile 13.4
Median 20.4
70th Percentile 31.1
Max 931.4

Nestle SA
Glance View

Nestlé SA, an iconic behemoth in the global food and beverage industry, weaves a vast tapestry that stretches across continents, touching millions of lives every day. Founded in 1866 by the enterpreniating German-born pharmacist Henri Nestlé, the company began with the creation of a breakthrough infant food that combined cow's milk, wheat flour, and sugar. This innovative product not only saved the lives of many infants but also laid the foundation for a legacy built on nutrition, health, and wellness. Over the decades, Nestlé expanded its portfolio substantially, making strategic acquisitions and diversifying into multiple categories such as dairy, confectionery, beverages, and even pet care. Today, it boasts a stable of well-known brands like Nescafé, KitKat, Purina, and Gerber among its wide-ranging offerings, and operates in nearly every country around the world. Nestlé's business model is as dynamic as the products it champions, operating an intricate supply chain with tentacles that reach from farmlands to factory floors, ensuring both the quality and consistency that its consumers trust. The company's ability to innovate in product development, invest in technology, and adapt to consumer demands for healthier, more sustainable options plays a crucial role in maintaining its competitive edge. It generates revenue primarily through the sale of its diverse product range to retailers, which then reaches end consumers across a multitude of channels. Additionally, Nestlé strategically invests in local operations—customizing products to meet regional tastes while leveraging scale efficiencies. Through constant reinvention and a keen awareness of evolving global food trends, Nestlé continues to solidify its position at the forefront of consumer goods industries, consistently delivering value to its shareholders.

NESN Intrinsic Value
104.81 CHF
Undervaluation 25%
Intrinsic Value
Price CHf79.05
Get AI-powered insights for any company or topic.
Open AI Assistant

Intrinsic Value is all-important and is the only logical way to evaluate the relative attractiveness of investments and businesses.

Warren Buffett