McCormick (MKC) Target Trimmed by Barclays on Earnings and Deal Focus

McCormick & Company, Incorporated (NYSE:MKC) is included among the 14 Safest Stocks with Highest Dividends.

On March 30, Barclays lowered its price recommendation on McCormick & Company, Incorporated (NYSE:MKC) to $58 from $67. It maintained an Equal Weight rating on the shares. The analyst said Q1 earnings will matter for gauging the company’s underlying momentum. At the same time, attention is likely to center on any updates around the proposed combination with Unilever’s food division. Early estimates of potential financial impact from the Iran conflict and related commodity cost pressures are also expected to be a key focus, according to the research note.

A March 30 Reuters report said that Unilever is in advanced talks to combine its food business with McCormick. The deal is said to include a cash component of about $16 billion, citing a report from The Wall Street Journal and people familiar with the matter. The report added that a cash-and-stock transaction could be announced as soon as Tuesday, March 31, when McCormick is scheduled to report its first-quarter results.

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

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