Jefferies Believes McCormick & Company (NYSE: MKC) Won’t Stop Here

By Carrie Williams

In a report released today, Akshay Jagdale from Jefferies maintained a Buy rating on McCormick & Company (NYSE: MKC), with a price target of $135. The company’s shares opened today at $117.62, close to its 52-week high of $120.23.

Jagdale observed:

“When we upgraded MKC to a Buy a year ago (7/28/17), we believed the RB Foods deal would accelerate earnings growth. In the past 11 months, MKC has topped estimates for 4 consecutive quarters on the back of accelerating sales and EPS growth. We continue to see upside driven by synergies from the RB deal and believe MKC’s underlying base business trends are better than optics suggest.”

According to TipRanks.com, Jagdale is a 4-star analyst with an average return of 5.7% and a 55.3% success rate. Jagdale covers the Consumer Goods sector, focusing on stocks such as Lamb Weston Holdings, J & J Snack Foods, and Pilgrim’s Pride.

Currently, the analyst consensus on McCormick & Company is a Moderate Buy with an average price target of $135.

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McCormick & Company’s market cap is currently $15.49B and has a P/E ratio of 18.80. The company has a Price to Book ratio of 5.12.

Based on the recent corporate insider activity of 64 insiders, corporate insider sentiment is negative on the stock. Earlier this month, Michael R. Smith, the EVP & CFO of MKC sold 8,000 shares for a total of $959,200.

TipRanks has tracked 36,000 company insiders and found that a few of them are better than others when it comes to timing their transactions. See which 3 stocks are most likely to make moves following their insider activities.

McCormick & Co., Inc. engages in the manufacture, market, and distribution of spices, seasoning mixes, condiments, and other flavorful products to retail outlets, food manufacturers, and foodservice businesses. It operates through the Consumer and Industrial business segments.