McCormick (MKC) Holds Equal Weight at Barclays as Unilever Talks Emerge

McCormick & Company, Incorporated (NYSE:MKC) is included among the Dividend Kings and Aristocrats List: 32 Biggest Stocks.

McCormick (MKC) Holds Equal Weight at Barclays as Unilever Talks Emerge

On March 20, Barclays kept an Equal Weight rating on McCormick & Company, Incorporated (NYSE:MKC). It maintained a $67 price target on the stock. The update followed the company’s confirmation that it is in discussions with Unilever (UL) about a potential strategic transaction involving Unilever’s Foods business. The firm said there is “significant strategic merit and likely compelling earnings accretion for McCormick from a potential transaction.” At the same time, the analyst noted that the deal value would likely be “hefty” and could carry execution risk.

Barclays also pointed out that majority ownership of the combined entity by Unilever shareholders “could dampen initial investor enthusiasm.” McCormick shares were up 31c to $54.36 in premarket trading that day.

McCormick & Company, Incorporated (NYSE:MKC) produces, markets, and distributes herbs, spices, seasonings, condiments, and flavors. Its products are sold across the food and beverage industry, including retailers, food manufacturers, and foodservice businesses. The company operates through two segments: consumer and flavor solutions.

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