McCormick & Company, Incorporated (NYSE:MKC) Shares Gap Up After Better-Than-Expected Earnings

McCormick & Company, Incorporated (NYSE:MKC) shares gapped up prior to trading on Thursday after the company announced better than expected quarterly earnings. The stock had previously closed at $73.64, but opened at $77.00. McCormick & Company, Incorporated shares last traded at $76.90, with a volume of 729,147 shares changing hands.

The company reported $0.69 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.65 by $0.04. The business had revenue of $1.66 billion during the quarter, compared to analysts’ expectations of $1.67 billion. McCormick & Company, Incorporated had a return on equity of 14.63% and a net margin of 11.67%. The business’s quarterly revenue was up 1.0% compared to the same quarter last year. During the same period in the prior year, the firm posted $0.69 EPS.

McCormick & Company, Incorporated Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Monday, July 21st. Investors of record on Monday, July 7th will be paid a dividend of $0.45 per share. The ex-dividend date is Monday, July 7th. This represents a $1.80 annualized dividend and a yield of 2.32%. McCormick & Company, Incorporated’s dividend payout ratio is currently 61.86%.

Analyst Upgrades and Downgrades

Several equities research analysts have recently weighed in on the company. Citigroup decreased their price objective on McCormick & Company, Incorporated from $80.00 to $77.00 and set a “neutral” rating for the company in a report on Tuesday, June 17th. Argus downgraded shares of McCormick & Company, Incorporated from a “buy” rating to a “hold” rating in a research report on Thursday, March 27th. Finally, UBS Group initiated coverage on shares of McCormick & Company, Incorporated in a research note on Monday, June 16th. They set a “neutral” rating and a $83.00 price target for the company. One equities research analyst has rated the stock with a sell rating, five have given a hold rating, three have given a buy rating and one has given a strong buy rating to the company. Based on data from MarketBeat, the stock currently has an average rating of “Hold” and a consensus target price of $84.13.

Insider Activity

In other news, Director Lawrence Erik Kurzius sold 50,000 shares of the firm’s stock in a transaction on Wednesday, April 2nd. The shares were sold at an average price of $81.81, for a total value of $4,090,500.00. Following the completion of the sale, the director now owns 247,437 shares in the company, valued at approximately $20,242,820.97. This trade represents a 16.81% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Katherine Jenkins sold 7,642 shares of the business’s stock in a transaction dated Monday, May 12th. The stock was sold at an average price of $76.38, for a total transaction of $583,695.96. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 60,392 shares of company stock valued at $4,898,101. Company insiders own 23.80% of the company’s stock.

Institutional Investors Weigh In On McCormick & Company, Incorporated

Institutional investors have recently added to or reduced their stakes in the business. EagleClaw Capital Managment LLC lifted its holdings in shares of McCormick & Company, Incorporated by 0.4% in the 1st quarter. EagleClaw Capital Managment LLC now owns 36,670 shares of the company’s stock valued at $3,018,000 after buying an additional 135 shares during the period. Hazlett Burt & Watson Inc. raised its position in McCormick & Company, Incorporated by 2.8% in the fourth quarter. Hazlett Burt & Watson Inc. now owns 5,040 shares of the company’s stock worth $382,000 after acquiring an additional 137 shares in the last quarter. Sage Capital Advisors llc lifted its holdings in McCormick & Company, Incorporated by 2.8% in the first quarter. Sage Capital Advisors llc now owns 5,017 shares of the company’s stock valued at $413,000 after acquiring an additional 137 shares during the period. Bessemer Group Inc. lifted its holdings in McCormick & Company, Incorporated by 0.3% in the fourth quarter. Bessemer Group Inc. now owns 43,002 shares of the company’s stock valued at $3,278,000 after acquiring an additional 139 shares during the period. Finally, ST Germain D J Co. Inc. boosted its position in shares of McCormick & Company, Incorporated by 1.8% during the 1st quarter. ST Germain D J Co. Inc. now owns 7,810 shares of the company’s stock worth $643,000 after purchasing an additional 140 shares in the last quarter. Hedge funds and other institutional investors own 79.74% of the company’s stock.

McCormick & Company, Incorporated Stock Performance

The company has a current ratio of 0.65, a quick ratio of 0.25 and a debt-to-equity ratio of 0.57. The firm has a market capitalization of $20.82 billion, a price-to-earnings ratio of 26.68, a PEG ratio of 3.70 and a beta of 0.68. The stock’s 50 day moving average price is $74.32 and its two-hundred day moving average price is $76.74.

McCormick & Company, Incorporated Company Profile

McCormick & Co, Inc engages in the manufacturing, marketing, 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 Flavor Solutions segments. The Consumer segment sells spices, seasonings, condiments, and sauces.