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Fundamentals for Nestlé India Limited
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Fundamentals for Nestlé India Limited
Business Operations:
Sector: Consumer DefensiveIndustry: Packaged Foods
Nestlé India Limited manufactures and sells food products in India and internationally. It provides milk products and nutrition, including dairy whitener, condensed and UHT milk, yoghurt, maternal and infant formula, baby food, and health care nutrition products; powdered and liquid beverages comprising instant coffee and tea, as well as ready to drink beverages; prepared dishes and cooking aids, such as noodles, sauces, seasonings, pasta, cereals, and pet foods; and confectionery products consisting of bar countlines, tablets, and sugar confectionery products. The company was incorporated in 1959 and is headquartered in Gurugram, India.
Revenue projections:
Investors are expected to be cautious with NESTLEIND, as its revenues are projected to fall compared to last year. A decline in revenue often results in a negative impact on profitability, prompting concerns about the company's financial stability and making investors more conservative in their approach.
Financial Ratios:
| currentRatio | 0.854000 |
|---|---|
| forwardPE | 66.282776 |
| debtToEquity | 10.753000 |
| earningsGrowth | -0.173000 |
| revenueGrowth | 0.106000 |
| grossMargins | 0.547050 |
| operatingMargins | 0.190180 |
| trailingEps | 15.270000 |
| forwardEps | 19.519400 |
NESTLEIND's forward PE ratio is too high, which may hinder future price growth and increase the risk of a price correction. Investors should carefully evaluate this metric along with other key financial indicators to get a full picture of the stock's potential.
NESTLEIND's low Debt-to-Equity ratio shows that the company avoids excessive reliance on debt, reducing financial risk. This suggests a more secure financial position with less vulnerability to debt-related risks, making NESTLEIND a stable and conservative investment.
Nestlé India Limited's low growth in both earnings and revenue indicates a likely decrease in profits. This suggests the company may be facing financial challenges, and investors should be cautious about its future performance.
Nestlé India Limited's negative gross and operating margins reflect unprofitability, suggesting the company is unable to generate revenue sufficient to cover its costs. This could indicate deeper financial challenges or declining efficiency.
NESTLEIND's forward EPS surpassing its trailing EPS signals projected growth in profitability, with the company expected to perform better this year. This forecast suggests that NESTLEIND's earnings will improve compared to the previous financial year, highlighting optimism in its financial outlook.
Price projections:
NESTLEIND's price has consistently hovered near the lower end of price projections. This trend suggests that the stock is underperforming relative to analyst expectations, indicating a potential lack of momentum for upward movement in the near future.
Recommendation changes over time:
Analysts have shown a buy bias for NESTLEIND, marking it as a favorable investment option. This could inspire investors to see NESTLEIND as a strong place to park their money, given the positive outlook and growth potential associated with the stock in recent evaluations.
DISCLAIMER: We provide information and our musings based on events, but nothing on this site can be considered professional advice of any kind.
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