Jefferies analyst Akshay Jagdale maintained a Buy rating on McCormick & Company (MKC) today and set a price target of $150. The company’s shares opened today at $121.78.
Jagdale wrote:
“4Q18 results were weaker than expected driven primarily by lower than expected organic sales growth. However, we view the factors that drove the majority of the sales weakness in 4Q as transitory. Consumption growth has accelerated and is expected to accelerate further in FY19, which gives us confidence in mgmt’s ability to deliver 3-5% organic sales growth in FY19 (vs. 2.8% in FY18). We maintain our Buy rating with a price target of $150. We expect top-line growth to re-accelerate. Management’s 3-5% (m/p 4%) constant currency sales growth guidance for FY19 points to an acceleration (4% vs. 2.8% in FY18).”
According to TipRanks.com, Jagdale is a 3-star analyst with an average return of 0.8% and a 50.2% success rate. Jagdale covers the Consumer Goods sector, focusing on stocks such as Lamb Weston Holdings, Conagra Brands Inc, and J & J Snack Foods.
The word on The Street in general, suggests a Hold analyst consensus rating for McCormick & Company with a $130.80 average price target.
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Based on McCormick & Company’s latest earnings release for the quarter ending November 30, the company reported a quarterly net profit of $214 million. In comparison, last year the company had a net profit of $176 million.
Based on the recent corporate insider activity of 76 insiders, corporate insider sentiment is negative on the stock. Most recently, in November 2018, Patricia Little, a Director at MKC sold 5,000 shares for a total of $730,600.
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.
