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NYSE:MKC

McCormick & Co (MKC)

47.70
-1.25 (2.55%)
as of Jun 15, 2026, 4:03:56 pm Market Open.
45 watching
0
Investor Insights
star iconJun 14, 2026, 12:00 am

This summary was created by AI, based on 3 opinions in the last 12 months.

McCormick & Co (MKC) is currently in a critical position as it anticipates earnings reports and speculation regarding potential acquisitions, specifically with Unilever's food division. The potential deal is viewed as a strategic move that could significantly enhance MKC's market presence and growth trajectory by dominating supermarket shelves. Despite these opportunities, there are concerns about overall growth in the food sector, which has faced considerable challenges this year. The company enjoys a premium valuation due to robust overseas growth, but experts voice skepticism about its ability to maintain this momentum. While spices are seen as a cost-effective option for consumers looking to save on food expenses, expert sentiments suggest wariness about the potential for a rebound, given the tough landscape of the packaged goods market.

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Consensus
Cautious
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Valuation
Overvalued
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COMMENT
MKC sells spices, so it's widely viewed as a lockdown stock. And yet, restaurants will fully reopen and restos make up 20% of their business. This is a hybrid stock, benefiting from the reopening but also lingering stay-at-home habits as people will continue to cook at home but also dine out.
COMMENT
It reports Tuesday. It's controversial. A big spicemaker including a huge food-service business that supplies restaurants, but of course that got hit badly during the pandemic, though its consumer business thrived during lockdowns as people cooked more. However, when society reopens there will be less cooking.
BUY
The market thinks packaged foods have no post-Covid future, that cooking from home will no staying power. They're wrong. This spice-maker isn't getting its due for its Frank's Hot Sauce acquisition. MKC beat its top and bottom lines in its Q3 report.
COMMENT
They make spices. Their last quarter was a blow-out and the stock shot up...too high, and has since pulled back sharply. Now, the stock is only slightly above that last report. Will people still cook at home after the pandemic? Yes--people develop new habits and some will keep cooking because they like it. That said, analysts may fail to back this stock.
TOP PICK
They bought Reckitt Benckiser which propelled from the 10th-largest to the 2nd biggest condiment company in the world. It's recession-proof and has been rising slowly during this current downtrend. They do a lot of partnerships with restaurants. A low-volatile, sleeping name that meets a consistent demand: cooking. (Analysts’ price target is $153.22)
DON'T BUY

A great company and a great business. They purchase in US$ for most of their inputs even though they are Canadian. Their input costs should be rising, but they should be able to pass that through into their end prices.

COMMENT

Hasn’t looked at this recently. A global spice maker, and really plays into the whole ethnicity and how diversified everyone is getting. A consumers’ product company, and typically there is a steadier defensive earnings stream associated with these companies. Trading at a fairly high multiple.

TOP PICK
Spices. Has been around for over 100 years and has paid a dividend for over 85 years. Have grown their dividend over the last 10 years at a rate of 194%. About 65% of sales are to grocery stores were they make big margins. 40% to industrials and food manufacturers.
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