Core Insights - Stocks typically face challenges in May, making it difficult to select top momentum stocks, but the Richard Driehaus strategy, which advocates "buy high and sell higher," can be applied to identify potential picks [1][2] Driehaus Strategy Overview - Richard Driehaus emphasized a preference for investing in stocks that are increasing in price rather than those in decline, which aligns with the philosophy of the American Association of Individual Investors (AAII) that uses the percentage 50-day moving average as a key criterion [2][4] - The strategy incorporates a calculation that compares the month-end price to the 50-day moving average, along with a positive relative strength indicator, to identify stocks in an uptrend [3][4] Screening Parameters - The strategy focuses on stocks with a Zacks Rank of 1 (Strong Buy) and a Momentum Score of A or B, which historically have shown better upside potential [5][6] - Key screening parameters include: - Last 5-year average EPS growth rates above 2% to ensure improving business performance [7] - Trailing 12-month EPS growth greater than 0 and above the industry median, indicating superior earnings performance [7] - Last four-quarter average EPS surprise greater than 5%, suggesting better price performance [7] - Positive percentage change in the 50-day moving average and relative strength over 4 weeks, signaling an uptrend [7][8] Selected Momentum Stocks - Nomad Foods Limited (NOMD) produces and distributes frozen food products globally, with a Momentum Score of A and an average trailing four-quarter earnings surprise of 5% [9] - Hawkins, Inc. (HWKN) is a U.S. specialty chemical and ingredients company, holding a Momentum Score of B and an average trailing four-quarter earnings surprise of 6.1% [10] - PCB Bancorp (PCB) provides banking services to small businesses and individuals, with a Momentum Score of A and an average trailing four-quarter earnings surprise of 7.4% [11]

Company Overview - Nomad Foods (NOMD) is expected to report flat earnings of $0.40 per share for the quarter ended March 2025, which represents no change from the year-ago quarter [3] - Revenues are anticipated to be $842.53 million, reflecting a 1% decrease from the previous year [3] Earnings Expectations - The earnings report is scheduled for release on May 8, 2025, and could influence stock movement depending on whether the results exceed or fall short of expectations [2] - The consensus EPS estimate has been revised 4.85% higher over the last 30 days, indicating a positive reassessment by analysts [4] Earnings Surprise Prediction - The Most Accurate Estimate for Nomad Foods is higher than the Zacks Consensus Estimate, resulting in a positive Earnings ESP of +3.80% [10][11] - The company currently holds a Zacks Rank of 1 (Strong Buy), suggesting a high likelihood of beating the consensus EPS estimate [11] Historical Performance - In the last reported quarter, Nomad Foods had an earnings surprise of +15.38%, posting earnings of $0.45 per share against an expectation of $0.39 [12] - Over the last four quarters, the company has surpassed consensus EPS estimates two times [13] Industry Context - Hain Celestial (HAIN), a competitor in the Zacks Food - Miscellaneous industry, is expected to report earnings of $0.12 per share, indicating a year-over-year decline of 7.7% [17] - Hain Celestial's revenues are projected to be $411.32 million, down 6.2% from the previous year [17]

Core Viewpoint - The article emphasizes the importance of identifying sustainable trends in short-term investing, highlighting that while price momentum can be profitable, it requires strong fundamentals to maintain that momentum [1][2]. Group 1: Stock Performance - Nomad Foods (NOMD) has shown a solid price increase of 13.9% over the past 12 weeks, indicating investor confidence in its potential upside [4]. - The stock has also increased by 1.7% over the last four weeks, suggesting that the upward trend is still intact [5]. - Currently, NOMD is trading at 84.8% of its 52-week high-low range, indicating a potential breakout opportunity [5]. Group 2: Fundamental Strength - NOMD holds a Zacks Rank 1 (Strong Buy), placing it in the top 5% of over 4,000 ranked stocks based on earnings estimate revisions and EPS surprises [6]. - The stock has an Average Broker Recommendation of 1 (Strong Buy), reflecting high optimism from the brokerage community regarding its near-term price performance [7]. - Historically, Zacks Rank 1 stocks have generated an average annual return of +25% since 1988, showcasing the effectiveness of this ranking system [7]. Group 3: Investment Strategy - The "Recent Price Strength" screen is a useful tool for identifying stocks like NOMD that have the fundamental strength to maintain their recent uptrend [3]. - In addition to NOMD, there are several other stocks that meet the criteria of the "Recent Price Strength" screen, providing additional investment opportunities [8].

Core Viewpoint - Nomad Foods Limited (NOMD) is currently considered a strong buy due to its attractive valuation metrics and positive earnings outlook [4][8]. Valuation Metrics - NOMD has a P/E ratio of 9.52, significantly lower than the industry average of 15.92, indicating potential undervaluation [4]. - The stock's P/B ratio stands at 1.03, compared to the industry's average of 1.98, suggesting it is undervalued relative to its book value [5]. - NOMD's P/S ratio is 0.89, which is lower than the industry average of 0.94, reinforcing the notion of undervaluation based on sales [6]. - The P/CF ratio for NOMD is 8.78, well below the industry average of 13.92, indicating strong cash flow relative to its market value [7]. Investment Outlook - The combination of NOMD's strong earnings outlook and favorable valuation metrics positions it as an impressive value stock in the current market [8].

WOKING, England, April 24, 2025 /PRNewswire/ -- Nomad Foods Limited (NYSE: NOMD) today announced it will report results for the first quarter ended March 31, 2025 before New York Stock Exchange market open on Thursday, May 8, 2025. A conference call with members of the executive management team will be held to discuss the results with additional comments and details. The conference call is scheduled to begin at 8:30 AM Eastern Daylight Time on Thursday, May 8, 2025. To participate on the live call listeners ...

Looking for a stock that has been consistently beating earnings estimates and might be well positioned to keep the streak alive in its next quarterly report? Nomad Foods (NOMD) , which belongs to the Zacks Food - Miscellaneous industry, could be a great candidate to consider.When looking at the last two reports, this frozen foods company has recorded a strong streak of surpassing earnings estimates. The company has topped estimates by 11.26%, on average, in the last two quarters.For the last reported quarte ...

In my initial review of Nomad Foods (NYSE: NOMD ) in November of last year, I rated the largest frozen food company in Europe a buy given the attractive valuation of just 9x earnings back then. Over thePhilipp is a seasoned value investor with nearly 20 years of experience in the field. He takes a global approach to investment opportunities, seeking out undervalued companies that offer a significant margin of safety, leading to attractive dividend yields and returns. While he does not limit his investments ...

Group 1 - The core investment strategy focuses on long-only investment, evaluating companies from an operational and buy-and-hold perspective, rather than market-driven dynamics [1] - The articles emphasize understanding the long-term earnings power of companies and the competitive dynamics within their industries [1] - The majority of recommendations will be holds, indicating a cautious approach to investment opportunities [1] Group 2 - A very small fraction of companies are expected to be a buy at any given time, highlighting a selective investment strategy [1] - Hold articles are intended to provide valuable information for future investors and introduce skepticism in a generally bullish market [1]

Group 1 - Nomad Foods Limited announced the filing of its annual report on Form 20-F, including audited financial statements for the fiscal year ended December 31, 2024 [1] - The annual report can be accessed through the company's website and the SEC's website [1] - Shareholders can request a hard copy of the annual report free of charge by contacting the company [2] Group 2 - Nomad Foods is recognized as Europe's leading frozen food company, with a portfolio of iconic brands including Birds Eye, Findus, iglo, Ledo, and Frikom [3] - The company emphasizes its commitment to providing great tasting, convenient, high-quality, and nutritious food [3] - Nomad Foods is headquartered in the United Kingdom [3]

Financial Data and Key Metrics Changes - For Q4 2024, reported net revenues increased by 4.3% to EUR 793 million, with organic growth at 3.1%, marking the 10th consecutive quarter of organic growth [35][38] - Gross margin rose to 29.6%, nearly reaching the pre-COVID peak of 30% achieved in 2019, with a 9% increase in gross profit [39][40] - Adjusted EBITDA increased by 17.6%, while adjusted profit rose by 28% year-on-year, and adjusted EPS increased by 31% to EUR 0.42 [37][38] Business Line Data and Key Metrics Changes - The company achieved market share growth in key categories, with organic sales for growth platforms rising by 16% in 2024 and 40% in Q4 [22] - Retail sales for prepared poultry in Italy rose 98% year-on-year, with market share growing from 8% in Q4 2023 to 50% in Q4 2024 [25] - In Germany, retail sales for prepared poultry rose 35% year-on-year, reaching a market share of 2.7% [27] Market Data and Key Metrics Changes - The company reported a 420 basis point increase in market share for potatoes in Belgium, becoming the category leader [28] - In France, market share grew by 550 basis points to 16.1% in the quarter, while in the UK, market share increased by 70 basis points to 8.9% [29] - The overall consumer environment in Western Europe is gradually improving, with private label losing market share [118] Company Strategy and Development Direction - The company is focused on maintaining its core portfolio while exploring potential acquisitions in subcategories where synergies exist [90] - The strategy includes significant investments in advertising, innovation, and renovation to drive sustainable growth [30][31] - The company aims to continue its streak of top and bottom line growth for the 10th consecutive year in 2025 [121] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving another year of organic growth in 2025, despite a challenging operating environment [10][15] - The company anticipates a modest decline in organic sales in Q1 2025 due to timing dynamics, but expects the underlying trend of improvement to hold throughout the year [49][51] - Management noted that inflation is easing, and while it remains higher than pre-crisis levels, it is not as severe as in 2022 [117] Other Important Information - The company returned EUR 208 million to shareholders in 2024, a more than 20% increase from EUR 171 million in 2023 [43][44] - The Board of Directors approved a 13% increase in the first quarter 2025 cash dividend to $0.07 per share [48] Q&A Session Summary Question: What is the basis for the 1% to 3% organic sales growth forecast for 2025? - The forecast is based on low inflation and expected category growth, with market share performance contributing to the growth [54] Question: How do you expect the price/mix piece to evolve in Q1? - There is an expectation of pressure on price, but volume remains important for driving efficiencies [62] Question: How much of the innovation will focus on existing must-win battles versus new growth platforms? - The majority of innovation will focus on must-win battles, which represent around 50% of the business [66] Question: What is the status of the enterprise-wide transformation program? - The company is taking a slower approach to implementation, focusing on efficiency gains and simplification [99] Question: How do you view the impact of potential tariffs from the US? - The company does not foresee a major impact from tariffs, as it does not export to the US and has diversified sourcing strategies [110][112] Question: What is the current consumer environment in Western Europe? - The environment is gradually improving, with private label losing market share, indicating a return to branded products [118]