Highlights
KLSE: NESTLE (4707)       NESTLE MALAYSIA BHD MAIN : Consumer
Last Price Today's Change   Day's Range   Trading Volume
146.00   +1.80 (1.25%)  143.50 - 149.90  293,900
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Financials


Market Cap: 34,237 Million

Market Cap 34,237 Million
NOSH 235 Million

Latest Audited Result:  31-Dec-2017

Latest Audited Result: 31-Dec-2017
Announcement Date 28-Mar-2018
Next Audited Result: 31-Dec-2018
Est. Ann. Date: 28-Mar-2019
Est. Ann. Due Date: 29-Jun-2019

Latest Quarter:  30-Sep-2019 [#3]

Latest Quarter: 30-Sep-2019 [#3]
Announcement Date 12-Nov-2019
Next Quarter: 31-Dec-2019
Est. Ann. Date: 26-Feb-2020
Est. Ann. Due Date: 29-Feb-2020
QoQ | YoY   -5.03%  |    8.21%

Annual (Unaudited) ( EPS: 280.97, P/E: 51.96 )

Revenue | NP to SH 5,519,045  |  658,882
RPS | P/RPS 2,353.54 Cent  |  6.20
EPS | P/E | EY 280.97 Cent  |  51.96  |  1.92%
DPS | DY | Payout % 280.00 Cent  |  1.92%  |  99.65%
NAPS | P/NAPS 2.79  |  52.33
YoY   2.03%
NP Margin | ROE 11.94%  |  100.71%
F.Y. | Ann. Date 31-Dec-2018  |  26-Feb-2019

T4Q Result ( EPS: 283.55, P/E: 51.49 )

Revenue | NP to SH 5,537,048  |  664,919
RPS | P/RPS 2,361.21 Cent  |  6.18
EPS | P/E | EY 283.55 Cent  |  51.49  |  1.94%
DPS | DY | Payout % 280.00 Cent  |  1.92%  |  98.75%
NAPS | P/NAPS 2.99  |  48.83
QoQ | YoY   1.73%  |    -0.55%
NP Margin | ROE 12.01%  |  94.83%
F.Y. | Ann. Date 30-Sep-2019  |  12-Nov-2019

Annualized Result ( EPS: 307.65, P/E: 47.46 )

Revenue | NP to SH 5,585,578  |  721,460
RPS | P/RPS 2,381.91 Cent  |  6.13
EPS | P/E | EY 307.65 Cent  |  47.46  |  2.11%
DPS | DY | Payout % -
NAPS | P/NAPS -
QoQ | YoY   -8.00%  |    1.13%
NP Margin | ROE 12.92%  |  102.90%
F.Y. | Ann. Date 30-Sep-2019  |  12-Nov-2019


Hints :
Click the QoQ or YoY on table to view the QoQ or YoY Financial Result page.

Click here to modify the Visible Columns.

Date Financial Result Financial Ratio Per Share Item Performance Valuation (End of Quarter) Valuation (Ann. Date)
F.Y. Ann. Date Quarter # Revenue PBT NP NP to SH Div Net Worth Div Payout % NP Margin ROE NOSH RPS Adj. RPS EPS Adj. EPS DPS Adj. DPS NAPS Adj. NAPS QoQ YoY EOQ Date EOQ Price EOQ P/RPS EOQ P/EPS EOQ P/NAPS EOQ EY EOQ DY ANN Date ANN Price ANN P/RPS ANN P/EPS ANN P/NAPS ANN EY ANN DY
T4Q 12-Nov-2019 30-Sep-2019 3 5,537,048 883,491 664,919 664,919 656,600 701,155 98.75% 12.01% 94.83% 234,500 2,361.21 2,361.21 283.55 283.55 280.00 280.00 2.9900 2.99   0.92% 30-Sep-2019 145.70 6.17 51.38 48.73 1.95% 1.92% 145.40 6.16 51.28 48.63 1.95% 1.93%
31-Dec-2018 26-Feb-2019 31-Dec-2018 4 5,519,045 875,890 658,882 658,882 656,600 654,254 99.65% 11.94% 100.71% 234,500 2,353.54 2,353.54 280.97 280.97 280.00 280.00 2.7900 2.79   2.03% 31-Dec-2018 147.40 6.26 52.46 52.83 1.91% 1.90% 26-Feb-2019 149.00 6.33 53.03 53.41 1.89% 1.88%
31-Dec-2017 20-Feb-2018 31-Dec-2017 4 5,260,490 814,129 645,795 645,795 644,875 640,185 99.86% 12.28% 100.88% 234,500 2,243.28 2,243.28 275.39 275.39 275.00 275.00 2.7300 2.73   1.36% 29-Dec-2017 103.20 4.60 37.47 37.80 2.67% 2.66% 20-Feb-2018 121.50 5.42 44.12 44.51 2.27% 2.26%
31-Dec-2016 28-Feb-2017 31-Dec-2016 4 5,063,506 766,494 637,127 637,127 633,150 647,219 99.38% 12.58% 98.44% 234,500 2,159.28 2,159.28 271.70 271.70 270.00 270.00 2.7600 2.76   7.85% 30-Dec-2016 78.20 3.62 28.78 28.33 3.47% 3.45% 28-Feb-2017 75.70 3.51 27.86 27.43 3.59% 3.57%
31-Dec-2015 25-Feb-2016 31-Dec-2015 4 4,837,957 727,711 590,733 590,733 609,700 708,189 103.21% 12.21% 83.41% 234,500 2,063.09 2,063.09 251.91 251.91 260.00 260.00 3.0200 3.02   7.33% 31-Dec-2015 73.40 3.56 29.14 24.30 3.43% 3.54% 25-Feb-2016 74.56 3.61 29.60 24.69 3.38% 3.49%
31-Dec-2014 23-Feb-2015 31-Dec-2014 4 4,808,933 701,187 550,384 550,384 551,075 776,194 100.13% 11.45% 70.91% 234,500 2,050.72 2,050.72 234.71 234.71 235.00 235.00 3.3100 3.31   -2.01% 31-Dec-2014 68.50 3.34 29.19 20.69 3.43% 3.43% 23-Feb-2015 73.80 3.60 31.44 22.30 3.18% 3.18%
31-Dec-2013 24-Feb-2014 31-Dec-2013 4 4,787,925 719,054 561,701 561,701 394 584 0.07% 11.73% 96,174.93% 167 2,852,876.25 2,041.76 239.53 239.53 235.00 0.17 3.4800 0.00   11,234,120.00% 31-Dec-2013 68.00 0.00 0.02 19.54 4,921.89% 3.46% 24-Feb-2014 66.00 0.00 0.02 18.97 5,071.04% 3.56%
31-Dec-2012 21-Feb-2013 31-Dec-2012 4 4,556,423 637,668 505,352 -5 492,454 750,406 - % 11.09% 0.00% 234,502 1,943.02 1,943.04 215.50 0.00 210.00 210.00 3.2000 3.20   -100.00% 31-Dec-2012 62.84 3.23 -2,947,222.00 19.64 0.00% 3.34% 21-Feb-2013 58.70 3.02 -2,753,054.50 18.34 0.00% 3.58%
31-Dec-2011 23-Feb-2012 31-Dec-2011 4 4,246,744 558,809 427,128 427,128 422,110 651,925 98.83% 10.06% 65.52% 234,505 1,810.94 1,810.98 182.14 182.14 180.00 180.00 2.7800 2.78   9.13% 30-Dec-2011 56.20 3.10 30.86 20.22 3.24% 3.20% 23-Feb-2012 55.80 3.08 30.64 20.07 3.26% 3.23%
31-Dec-2010 24-Feb-2011 31-Dec-2010 4 4,026,319 465,744 391,398 391,398 386,919 614,380 98.86% 9.72% 63.71% 234,496 1,717.01 1,716.98 166.91 166.91 165.00 165.00 2.6200 2.62   11.26% 30-Dec-2010 43.34 2.52 25.97 16.54 3.85% 3.81% 24-Feb-2011 45.30 2.64 27.14 17.29 3.68% 3.64%
31-Dec-2009 25-Feb-2010 31-Dec-2009 4 3,744,233 440,261 351,793 351,793 351,746 567,483 99.99% 9.40% 61.99% 234,497 1,596.71 1,596.69 150.02 150.02 150.00 150.00 2.4200 2.42   3.20% 31-Dec-2009 33.10 2.07 22.06 13.68 4.53% 4.53% 25-Feb-2010 33.90 2.12 22.60 14.01 4.43% 4.42%

PBT = Profit before Tax, NP = Net Profit, NP to SH = Net Profit Attributable to Shareholder, Div = Dividend, NP Margin = Net Profit Margin, ROE = Return on Equity, NOSH = Number of Shares, RPS = Revenue per Share, EPS = Earning Per Share, DPS = Dividend Per Share, NAPS = Net Asset Per Share, EOQ = End of Quarter, ANN = Announcement, P/RPS = Price/Revenue per Share, P/EPS = Price/Earning per Share, P/NAPS = Price/Net Asset per Share, EY = Earning Yield, DY = Dividend Yield.


NOSH is estimated based on the NP to SH and EPS. Div is an estimated figure based on the DPS and NOSH. Net Worth is an estimated figure based on the NAPS and NOSH.

Div Payout %, NP Margin, ROE, DY, QoQ Δ & YoY Δ figures in Percentage; RPS, EPS & DPS's figures in Cent; and NAPS's figures in Dollar.

All figures in '000 unless specified.


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  8 people like this.
 
Michael Kwok Nestlé is overbought for years in monthly chart.Look like BAT overbought for years(few years ago).1 to 2 years it's drop from rm rm 70 over to lowest rm 20 over.Please use common sense.Never be con.
08/07/2019 12:00 PM
3iii For the first quarter ended March 31, 2019, Nestle reported a 1.7% increase in net profit to
RM235.22 million — its highest ever quarterly net profi t — on the back of a 1.6% rise in revenue to
RM1.45 billion. Th is was driven by robust domestic sales which grew by 4.9% during the quarter, fuelled by strong sales momentum during the Chinese New Year period.

For the full year, the group has set aside a capital expenditure of RM220 million — its highest in fi ve
years — of which RM100 million is for the expansion of its Chembong plant, and the rest for its six oth-er manufacturing facilities across Malaysia.
08/07/2019 10:22 PM
stockraider 1.7% growth and PE above 50x is chehkai result loh...!!

Posted by 3iii > Jul 8, 2019 10:22 PM | Report Abuse

For the first quarter ended March 31, 2019, Nestle reported a 1.7% increase in net profit to
RM235.22 million — its highest ever quarterly net profi t — on the back of a 1.6% rise in revenue to
RM1.45 billion. Th is was driven by robust domestic sales which grew by 4.9% during the quarter, fuelled by strong sales momentum during the Chinese New Year period.

For the full year, the group has set aside a capital expenditure of RM220 million — its highest in fi ve
years — of which RM100 million is for the expansion of its Chembong plant, and the rest for its six oth-er manufacturing facilities across Malaysia.
08/07/2019 10:30 PM
James Ng https://klse.i3investor.com/blogs/general/214194.jsp
[转贴] [NESTLE MALAYSIA BHD:看到马来西亚对其品牌的需求强劲,他们制定了强有力的计划,以继续实现可持续和有利可图的增长] - James的股票投资James Share Investing
09/07/2019 9:40 AM
7300 no more better news, and the risks waiting
30/07/2019 9:18 AM
BatNewbie Why PE 52.57 DY 1.88% is cheap?
T4Q P/E | EY: 52.57 | 1.90%
T4Q DY | Payout %: 1.88%
https://klse.i3investor.com/quoteservlet.jsp?sa=ss&q=NESTLE
30/07/2019 3:34 PM
7300 coca cola from usd100++ today only 50++, run for your life!
30/07/2019 3:49 PM
masterus Psiptek 7145
NTA : 0.57
Current prices : 0.145 - 0.17
01/08/2019 11:13 AM
Michael Kwok Dump Nestle.Overbought monthly and weekly.Its dangerously.
02/08/2019 12:07 PM
Michael Kwok Never buy stocks that overbought weekly and daily.buy something that soon to be start.AT(0072).the news:https://www.theedgemarkets.com/article/systematization-signs-direct-su....
Me ask people buy when engine near started or at best near midway.Already 4th month old I wait.Possible at bests will be 100 million +++ company.Contract secure directly involve.AT(0072) monthly chart oversold for 1 year ++++.Why not put 10k for this counter.
Suspect people is buying in small quantity for being detect ranging from rm 500-rm 100k for the past 4 month.If no good why are there buying.Its a mind game before a big shot up.
02/08/2019 12:08 PM
zulmuiz In that case ..will reduce my stake in by 50% next week.
04/08/2019 8:29 PM
BN_better If good share can buy cheap is good then BN is better govn? Why not Nestle <RM 50 is good? Under BN only possible?
16/08/2019 10:17 AM
thanaraj Comments that Nestle under BN < Rm 50 is good but appears false hope. I will say no one including Nestle Management and Board of Directors have any clue on the future price of Nestle. I have almost forgotten about its future price but enjoying its DY at 2.0 because even at the low of DY < 2.0, you still enjoy a good dividend quoted in Ringgit since the dividend payment is calculated based on the market share price of Nestle which is the highest in Bursa. So don't take the face values of DY at < 2.0%. Comments welcome please. Thanaraj
26/08/2019 5:36 PM
4444 Profit drop QOQ why good?
27/08/2019 4:25 PM
James Ng https://klse.i3investor.com/blogs/general/221912.jsp
[转贴] [Facebook live video:浅谈Nestle Malaysia bhd (Nestle)] - James的股票投资James Share Investing
27/08/2019 9:16 PM
poorkid <50 I support PH.
28/08/2019 10:18 AM
DickyMe Post removed. Why?
03/09/2019 4:44 PM
MACC_jangan_tidur QR lousy even up? Bribe using products to push ctr?
10/09/2019 3:57 PM
3iii Recent Prices
Date Open Range Close Change Volume
11/09/2019 146.80 146.00 - 146.90 146.90 +0.20 (0.14%) 81,200
10/09/2019 146.80 146.00 - 146.90 146.90 +0.20 (0.14%) 81,200
06/09/2019 147.70 146.20 - 147.80 146.70 -1.10 (0.74%) 164,800
05/09/2019 146.80 146.80 - 148.40 147.80 -0.20 (0.14%) 42,800
04/09/2019 147.00 146.70 - 148.50 148.00 +1.00 (0.68%) 48,700
03/09/2019 147.90 145.50 - 147.90 147.00 -0.50 (0.34%) 94,300
30/08/2019 147.90 145.10 - 148.00 147.50 +0.50 (0.34%) 125,500
29/08/2019 147.80 144.00 - 148.00 147.00 0.00 (0.00%) 90,800
28/08/2019 149.00 146.50 - 149.00 147.00 -1.60 (1.08%) 49,500
27/08/2019 149.30 148.00 - 149.70 148.60 +0.30 (0.20%) 167,700
26/08/2019 149.30 147.40 - 149.30 148.30 -0.70 (0.47%) 152,400
23/08/2019 147.40 147.40 - 149.00 149.00 0.00 (0.00%) 87,200
22/08/2019 147.70 147.70 - 149.00 149.00 +0.60 (0.40%) 56,900
21/08/2019 147.60 147.60 - 148.50 148.40 +0.80 (0.54%) 74,400
20/08/2019 148.30 147.30 - 148.30 147.60 -0.70 (0.47%) 51,800
19/08/2019 149.00 147.90 - 149.00 148.30 -0.70 (0.47%) 45,800
16/08/2019 147.00 146.70 - 149.00 149.00 +1.30 (0.88%) 44,200
15/08/2019 146.60 146.60 - 147.90 147.70 +0.40 (0.27%) 58,100
14/08/2019 146.90 146.90 - 147.70 147.30 -0.40 (0.27%) 41,200
11/09/2019 11:41 AM
stockraider Overvalue lari kuat kuat loh...!!

Posted by 3iii > Sep 11, 2019 11:41 AM | Report Abuse

Recent Prices
Date Open Range Close Change Volume
11/09/2019 146.80 146.00 - 146.90 146.90 +0.20 (0.14%) 81,200
10/09/2019 146.80 146.00 - 146.90 146.90 +0.20 (0.14%) 81,200
06/09/2019 147.70 146.20 - 147.80 146.70 -1.10 (0.74%) 164,800
05/09/2019 146.80 146.80 - 148.40 147.80 -0.20 (0.14%) 42,800
04/09/2019 147.00 146.70 - 148.50 148.00 +1.00 (0.68%) 48,700
03/09/2019 147.90 145.50 - 147.90 147.00 -0.50 (0.34%) 94,300
30/08/2019 147.90 145.10 - 148.00 147.50 +0.50 (0.34%) 125,500
29/08/2019 147.80 144.00 - 148.00 147.00 0.00 (0.00%) 90,800
28/08/2019 149.00 146.50 - 149.00 147.00 -1.60 (1.08%) 49,500
27/08/2019 149.30 148.00 - 149.70 148.60 +0.30 (0.20%) 167,700
26/08/2019 149.30 147.40 - 149.30 148.30 -0.70 (0.47%) 152,400
23/08/2019 147.40 147.40 - 149.00 149.00 0.00 (0.00%) 87,200
22/08/2019 147.70 147.70 - 149.00 149.00 +0.60 (0.40%) 56,900
21/08/2019 147.60 147.60 - 148.50 148.40 +0.80 (0.54%) 74,400
20/08/2019 148.30 147.30 - 148.30 147.60 -0.70 (0.47%) 51,800
19/08/2019 149.00 147.90 - 149.00 148.30 -0.70 (0.47%) 45,800
16/08/2019 147.00 146.70 - 149.00 149.00 +1.30 (0.88%) 44,200
15/08/2019 146.60 146.60 - 147.90 147.70 +0.40 (0.27%) 58,100
14/08/2019 146.90 146.90 - 147.70 147.30 -0.40 (0.27%) 41,200
11/09/2019 11:43 AM
deMusangking stockraider, really sohai!!!
overvalue? .....yes insas lah!!!

haha
11/09/2019 11:45 AM
SpectacularAngel lari lari lari
12/09/2019 11:18 AM
VennesA Got to admit..nestle is a good brand but so many competition now.. I prefer things that is organic..huhu
24/09/2019 4:27 PM
Up_down Nestle seems like over goreng in Malaysia. Nestle is in fact relatively high after benchmarking with world class consumer companies in term of PER.

Nestle - 52x
The Coca Cola - 33x
Pepsi - 25x
McDonald - 29x
J&J - 22x
P&G - 28x
Starbucks - 34x
Mondelez - 27x
24/09/2019 4:42 PM
VennesA Today up because my milo taste better today :)
03/10/2019 8:32 AM
VennesA Aiyoo..I think to others it didn't taste that good..perhaps :(
03/10/2019 4:47 PM
VennesA Change my buscuit to other brand now..see can up today or not:(
04/10/2019 8:53 AM
VennesA Haha.. As expected
04/10/2019 11:29 AM
lck1300 local institution no point holding this PE50 overvalue stock and let other bluechip drop into the shithole , soon or later they will dump this overvalue stock to buy in other bluechip with fair and undervalue price, good luck who buy at 14X , bye
04/10/2019 11:56 AM
speakup sell nestle lah & buy small caps
14/10/2019 10:17 PM
apolloang epf wanna sell but nobody gonna buy from epf at so high price
14/10/2019 10:51 PM
techlee229 Revenue came in 2% higher y-o-y at RM1.34bil and with the divestment of the chilled dairy business factored in, it was a 3.4% increase in growth.tp 150
18/10/2019 4:39 PM
techlee229 Nestle to spend RM220mil on capital expenditure
18/10/2019 4:50 PM
azeera milo memang best sedap...
23/10/2019 11:15 AM
thanaraj Last eight months price of Nestle Malaysia has been in the range of RM140/ to RM 165/
Will the Company consider to give a bonus 0f 1:1 to bring price down to the price range of RM 95/to RM100/. Investor.
27/10/2019 12:50 PM
thanaraj As an investor in Nestle Malaysia (NM), I am still waiting to know when NM will announce its next dividend, bonus and rights issue. Please let me know, without prejudice to NM or me before I decide to invest more money into this great company. TKS. Investor
31/10/2019 12:18 PM
enigmatic ¯\_(ツ)_/¯ Why do you need that bonus issue? Bonus doesn't add value to shares. DIvidends is usually end Oct or early Nov, they'll announce sooner or later.
04/11/2019 5:53 PM
factslim1 Milo of the future: Nestle Malaysia’s Global Centre of Excellence plugs into Industry 4.0 trends
06/11/2019 5:11 PM
3iii Valuation

Maintain Hold with unchanged target price of RM159.60/share based on DDM valuation (g: 3.0%, k: 6.0%).
Source: TA Research - 13 Nov 2019
13/11/2019 10:12 PM
3iii Nestle

Date Price Target Source News
14/11/2019 159.60 TA Price Target News
14/11/2019 102.00 HLG Price Target News
14/11/2019 111.09 AmInvest Price Target News
13/11/2019 159.60 TA Price Target News
13/11/2019 149.50 MIDF Price Target News
13/11/2019 128.00 KENANGA Price Target News
13/11/2019 111.09 AmInvest Price Target News
29/08/2019 159.60 TA Price Target News
29/08/2019 111.00 HLG Price Target News
29/08/2019 111.09 AmInvest Price Target News
14/11/2019 8:53 PM
Kevin Tam With target price of RM102- 128, the most expensive blue chip may face correction soon... Only TA giving unrealistic TP of above RM150...
14/11/2019 11:39 PM
3iii >>>


3iii Nestle

Date Price Target Source News
14/11/2019 159.60 TA Price Target News
14/11/2019 102.00 HLG Price Target News
14/11/2019 111.09 AmInvest Price Target News
13/11/2019 149.50 MIDF Price Target News
13/11/2019 128.00 KENANGA Price Target News

>>>>


Lowest Price Target 102
Highest Price Target 159.60

EPS (cent): 283.55 * (ttm-EPS)
DPS (cent): 280.00

At Price Target of 102, its PE is 36x and DY is 2.75%
At Price Target of 159.60, its PE is 56x and DY is 1.75%

Price target of 159.60 is 56% above price target of 102.
Price target of 102.60 is 36% below price target of 159.60.



What can we infer?

Price targets by investment analysts can vary by a huge margin; presumably on the assumptions they made in their valuations of the stock.

In the above examples, at the lowest price target of 102.60 and given the present price of 145.70, there is a potential downside of 29.6%.

In the above examples, at the highest price target of 159.60 and given the present price of 145.70, there is a potential upside of 9.5%.

Risk management is part and parcel of investing.

You should have your strategies in place not to be harmed by market fluctuations short term and to benefit from these market price fluctuations long term.
15/11/2019 10:07 AM
3iii Making investing enjoyable, understandable and profitable…

Is it not true, that the really big fortunes from common stocks have been garnered by those
who made a substantial commitment in the early years of a company in whose future they had great confidence and
who held their original shares unwaveringly while they increased 10-fold or 100-fold or more in value?

The answer is "Yes."
15/11/2019 10:16 AM
3iii WHAT IS RISK?

The major RISK facing you is the possibility of not reaching your long-term investment goal through the growth of your funds in real terms. And the greatest enemy of reaching those goals is INFLATION. Nothing is safe from inflation.

Short-term price volatility is NOT risk for investors who have time horizons 5, 10, 15 or 30 years away. Volatility is the friend of the long term investor. The most important friends of your investment goal are COMPOUNDING and TIME.
15/11/2019 10:17 AM
3iii BENJAMIN GRAHAM'S 113 WISE WORDS

The true investor scarcely ever is forced to sell his shares, and at all times he is free to disregard the current price quotation. He need pay attention to it and act upon it only to the extent that it suits his book, and no more. Thus the investor who permits himself to be stampeded or unduly worried by unjustified market declines in his holdings is perversely transforming his basic advantage into a basic disadvantage. That man would be better off if his stocks had no market quotation at all, for he would then be spared the mental anguish caused him by other persons' mistakes of judgement."
15/11/2019 10:18 AM
3iii MARKET FLUCTUATIONS OF INVESTOR'S PORTFOLIO

Note carefully what Graham is saying here.

It is not just possible, but probable, that most of the stocks you own will gain at least 50% from their lowest price and lose at least 33% ("equivalent one-third") from their highest price -regardless of which stocks you own or whether the market as a whole goes up or down.

If you can't live with that - or you think your portfolio is somehow magically exempt from it - then you are not yet entitled to call yourself an investor.
15/11/2019 10:20 AM
ubaL taM Nestle
17/11/2019 6:49 PM
James Ng https://klse.i3investor.com/blogs/general/237468.jsp
[转贴] [Facebook live video:浅谈Nestle Malaysia bhd (Nestle)] - James的股票投资James Share Investing
18/11/2019 9:20 PM
3iii Outlook. Nestle will continue to drive sales growth with the introduction of innovative new products, which we estimate to make up approximately 10% of total sales. Despite higher commodity costs and tepid export sales, we do not expect Nestle to raise shelf prices, particularly given the current rising cost of living.

Forecast. We lower our FY19/20/21 earnings forecasts by 6.0%/5.7%/2.8% to account for lower export sales and high commodity cost.

Maintain SELL. After factoring in our new forecasts, our TP falls from RM111.00 to RM102.00 pegged to an unchanged DDM valuation methodology (r: 6.8%, TG: 3.5%). At current price, Nestle is trading at 48.7x FY19 P/E and yielding an unattractive 2.1%. In comparison, its holding-co in Switzerland trades at a cheaper 23.7x FY19 P/E while its sister-co in Nigeria trades at 17.5x FY19 P/E.


Source: Hong Leong Investment Bank Research - 19 Nov 2019
19/11/2019 6:51 PM
Syndicates i'm here to see who made profit from this counter today
20/11/2019 3:14 PM