UBS Revises McCormick (MKC) Outlook Following Food Sector Update

With a net profit margin of 23.20%, McCormick & Company, Incorporated (NYSE:MKC) is included among the 10 Most Profitable Dividend Stocks to Invest In Now

UBS Revises McCormick (MKC) Outlook Following Food Sector Update

On June 2, UBS analyst Peter Grom lowered the price recommendation on McCormick & Company, Incorporated (NYSE:MKC) to $51 from $53. He reiterated a Neutral rating on the stock. In a research note, the analyst said the firm updated its expectations across the food sector to reflect current demand trends and inflation pressures.

On May 29, Reuters reported that Toms Capital Investment Management, an activist US hedge fund, had built a significant stake in McCormick, according to sources familiar with the matter. The investment comes as the food company works on a major acquisition deal.

The sources said Toms Capital, led by Benjamin Pass, invested in McCormick during the second quarter after the company announced plans to acquire Unilever’s food business. The sources were not authorized to discuss the matter publicly. The size of Toms Capital’s stake and the actions it may seek to pursue at McCormick could not immediately be determined.

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.

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