McCormick & Co. (NYSE:MKC) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a report issued on Monday.
According to Zacks, “Estimates have remained unchanged McCormick delivered better-than-expected results in the third quarter of fiscal 2016. In fact, the company has been delivering better-than-expected earnings in the last four consecutive quarters. McCormick has been witnessing rising demand for spices, herbs and seasonings over the last few years, which is boosting its sales. Product innovation, brand marketing support and expanded distribution, as well as pricing actions also led to sales growth, offsetting the negative impact of material costs and currency. It is encouraging that McCormick is focusing on building sales through acquisitions, and expects strong sales momentum to continue in fiscal 2016. Its cost savings initiatives are also appealing. The company has thus raised its financial guidance for fiscal 2016 driven by strong year-to-date performance and current projections for the fourth quarter.”
A number of other research firms have also recently weighed in on MKC. Sanford C. Bernstein cut McCormick & Co. from an “outperform” rating to a “market perform” rating and reduced their price target for the stock from $113.00 to $104.00 in a report on Friday, September 16th. They noted that the move was a valuation call. Deutsche Bank AG reduced their price target on McCormick & Co. from $113.00 to $112.00 and set a “buy” rating for the company in a report on Friday, September 23rd. Jefferies Group reduced their price target on McCormick & Co. from $100.00 to $95.00 and set a “hold” rating for the company in a report on Wednesday, October 12th. Finally, Credit Suisse Group AG raised McCormick & Co. from a “neutral” rating to an “outperform” rating and set a $111.00 price target for the company in a report on Tuesday, October 25th. One equities research analyst has rated the stock with a sell rating, five have assigned a hold rating and three have given a buy rating to the stock. The stock presently has a consensus rating of “Hold” and an average price target of $100.11.
McCormick & Co. (NYSE:MKC) traded up 0.37% during trading on Monday, reaching $92.64. The company’s stock had a trading volume of 235,631 shares. The firm has a market capitalization of $11.68 billion, a P/E ratio of 25.58 and a beta of 0.50. The stock has a 50-day moving average of $93.77 and a 200 day moving average of $98.66. McCormick & Co. has a one year low of $78.45 and a one year high of $107.84.
McCormick & Co. (NYSE:MKC) last issued its quarterly earnings data on Friday, September 30th. The company reported $1.03 earnings per share (EPS) for the quarter, beating the Thomson Reuters’ consensus estimate of $0.94 by $0.09. The business earned $1.09 billion during the quarter. McCormick & Co. had a return on equity of 27.26% and a net margin of 10.58%. The business’s quarterly revenue was up 2.9% compared to the same quarter last year. During the same period last year, the firm earned $0.85 EPS. On average, equities research analysts predict that McCormick & Co. will post $3.79 EPS for the current fiscal year.
In other McCormick & Co. news, Director Freeman A. Hrabowski III sold 2,000 shares of the business’s stock in a transaction that occurred on Tuesday, October 11th. The stock was sold at an average price of $94.15, for a total transaction of $188,300.00. Following the completion of the sale, the director now directly owns 38,442 shares in the company, valued at approximately $3,619,314.30. The transaction was disclosed in a document filed with the SEC, which is available through this link. Company insiders own 13.70% of the company’s stock.
Several large investors have recently bought and sold shares of MKC. Van ECK Associates Corp raised its stake in McCormick & Co. by 29.3% in the second quarter. Van ECK Associates Corp now owns 1,045 shares of the company’s stock worth $111,000 after buying an additional 237 shares during the period. FineMark National Bank & Trust raised its stake in McCormick & Co. by 3,142.9% in the third quarter. FineMark National Bank & Trust now owns 1,135 shares of the company’s stock worth $113,000 after buying an additional 1,100 shares during the period. Coconut Grove Bank raised its stake in McCormick & Co. by 5.7% in the third quarter. Coconut Grove Bank now owns 1,210 shares of the company’s stock worth $121,000 after buying an additional 65 shares during the period. Washington Trust Bank raised its stake in McCormick & Co. by 986.4% in the third quarter. Washington Trust Bank now owns 1,358 shares of the company’s stock worth $136,000 after buying an additional 1,233 shares during the period. Finally, Mizuho Asset Management Co. Ltd. raised its stake in McCormick & Co. by 90.4% in the second quarter. Mizuho Asset Management Co. Ltd. now owns 1,331 shares of the company’s stock worth $142,000 after buying an additional 632 shares during the period. Institutional investors and hedge funds own 72.26% of the company’s stock.
McCormick & Co. Company Profile
McCormick & Company, Incorporated manufactures, markets and distributes spices, seasoning mixes, condiments and other flavorful products to the food industry, including retailers, food manufacturers and foodservice businesses. The Company operates in two segments: consumer and industrial. Its brands in the Americas include McCormick, Lawry’s, Stubb’s, Club House, Zatarain’s, Thai Kitchen and Simply Asia.