Zurich, Feb 19, 2026, 11:27 CET — Regular session
- Nestlé shares climbed in Zurich as the company reported a Q4 sales beat and said it’s in discussions to divest its last ice cream businesses.
- The group is looking for organic growth in the 3%-4% range by 2026 and sees margins picking up.
- Analysts point to execution and recall aftershocks as the main swing factors here.
Shares of Nestlé S.A. jumped 2.8% as of 0900 GMT on Thursday, after the company revealed it’s closing in on a deal to offload its last ice cream assets and posted fourth-quarter organic sales growth that beat forecasts. (Reuters)
The timing is tricky for a company still out to convince doubters its reset will last. Investors are pressing for a streamlined Nestlé, one that finds volume growth without so much reliance on price hikes, and keeps cash generation humming.
Nestlé posted full-year sales of 89.5 billion Swiss francs, reporting 2025 organic growth at 3.5%—a measure that excludes currency moves and acquisitions. Real internal growth (RIG), which tracks underlying volumes, landed at 0.8% for the year and ticked up to 1.3% in Q4. The company projected organic growth of about 3% to 4% for 2026, factoring in a roughly 20-basis-point impact from its infant formula recall. “We are accelerating our strategy,” CEO Philipp Navratil said. (Nestlé Global)
Nestlé hovered near 80.5 Swiss francs on the SIX Swiss Exchange, up from its prior close at 78.4 francs. The stock moved between 79.59 and 81.93 francs during the session, data from Investing.com show. (Investing)
RBC Capital Markets’ James Edwardes Jones sees things improving but isn’t ready to celebrate just yet. “Progress is being made, but it is too early to call it a success,” he wrote. Jefferies pointed out that headline volume growth got a temporary boost from factors like U.S. pet-food pre-buying and the timing of Ramadan in Asia. (Investing.com Australia)
The day before, Nestlé put forward P&G executive Ma. Fatima D. “Fama” Francisco and ex-Swiss National Bank chair Thomas Jordan as board nominees for its April 16 annual general meeting. “Strong corporate governance underpins Nestlé’s long-term success,” chairman Pablo Isla said. (Nestlé Global)
Investors eyeing quick portfolio shifts have zeroed in on Froneri. Bloomberg has reported that Nestlé is considering ways to dial back its ice cream business. Froneri, which produces brands like Häagen-Dazs, finds itself up against the Magnum Ice Cream Company—spun out from Unilever in the previous year, according to Reuters. (Reuters)
Nestlé shares outperformed while the broader European market edged lower, the STOXX 600 slipping 0.26% amid uneven earnings. Losses at Airbus and Rio Tinto weighed. (Reuters)
Still, deals sometimes stall or close at underwhelming prices, especially with consumers on uncertain footing. Should recall issues linger longer than Nestlé anticipates—or if demand slows as prices come down—the volume-driven rebound thesis faces an immediate challenge.
Investors want more specifics about when the ice cream unit could be sold, plus information on what a water partnership could mean for the business starting in 2027. All eyes on April 16: that’s when shareholders will weigh in on the dividend decision and proposed board shifts.
