NOMD

The author is adding to their position in Nomad Foods, believing the food sector is currently undervalued due to several negative narratives. The author counters the bear case by pointing out that: the impact of weight-loss drugs like Ozempic is overestimated; SNAP benefit reductions are spread out over a long period; private label competition is not a new threat; and a potential recession could drive investors back to defensive sectors like food. The author sees the underperformance of 'big food' companies as a compelling opportunity, as these companies' products remain consumer staples.

The author is adding to their position in Nomad Foods, believing the food sector is currently undervalued due to several negative narratives. The author counters the bear case by pointing out that: the impact of weight-loss drugs like Ozempic is overestimated; SNAP benefit reductions are spread out over a long period; private label competition is not a new threat; and a potential recession could drive investors back to defensive sectors like food. The author sees the underperformance of 'big food' companies as a compelling opportunity, as these companies' products remain consumer staples.