McCormick & Company, Incorporated (NYSE:MKC) Reaches New 1-Year Low - Time to Sell?

Key Points

• McCormick & Company stock has reached a new 52-week low, hitting prices as low as $69.27 during trading.
• Analysts have varied ratings on the stock, with a consensus rating of "Hold" and a target price of $83.00.
• The company recently declared a quarterly dividend of $0.45, yielding approximately 2.6%.

McCormick & Company, Incorporated (NYSE:MKC - Get Free Report)'s stock price reached a new 52-week low during trading on Thursday . The company traded as low as $69.27 and last traded at $69.49, with a volume of 2003731 shares trading hands. The stock had previously closed at $69.75.

Wall Street Analyst Weigh In

A number of equities research analysts have recently commented on the stock. Wall Street Zen raised shares of McCormick & Company, Incorporated from a "sell" rating to a "hold" rating in a research note on Saturday, July 5th. UBS Group assumed coverage on shares of McCormick & Company, Incorporated in a report on Monday, June 16th. They set a "neutral" rating and a $83.00 price objective on the stock. Citigroup lowered their price objective on shares of McCormick & Company, Incorporated from $80.00 to $77.00 and set a "neutral" rating on the stock in a report on Tuesday, June 17th. Finally, Stifel Nicolaus reduced their target price on shares of McCormick & Company, Incorporated from $82.00 to $76.00 and set a "hold" rating for the company in a research note on Tuesday, July 29th. One analyst has rated the stock with a sell rating, six have assigned a hold rating, three have assigned a buy rating and one has given a strong buy rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of "Hold" and a consensus target price of $83.00.

McCormick & Company, Incorporated Stock Performance

The company has a market cap of $18.65 billion, a P/E ratio of 24.13, a price-to-earnings-growth ratio of 3.35 and a beta of 0.66. The company's 50-day moving average is $73.14 and its two-hundred day moving average is $75.91. The company has a quick ratio of 0.27, a current ratio of 0.68 and a debt-to-equity ratio of 0.55.

McCormick & Company, Incorporated (NYSE:MKC - Get Free Report) last issued its earnings results on Thursday, June 26th. The company reported $0.69 earnings per share for the quarter, topping analysts' consensus estimates of $0.65 by $0.04. McCormick & Company, Incorporated had a net margin of 11.50% and a return on equity of 14.43%. The firm had revenue of $1.66 billion during the quarter, compared to analyst estimates of $1.67 billion. During the same quarter last year, the business earned $0.69 earnings per share. The company's quarterly revenue was up 1.0% on a year-over-year basis. Equities analysts predict that McCormick & Company, Incorporated will post 3.07 EPS for the current year.

McCormick & Company, Incorporated Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Monday, July 21st. Stockholders of record on Monday, July 7th were issued a $0.45 dividend. This represents a $1.80 dividend on an annualized basis and a dividend yield of 2.6%. The ex-dividend date of this dividend was Monday, July 7th. McCormick & Company, Incorporated's dividend payout ratio is presently 62.50%.

Insider Activity

In other news, insider Katherine Jenkins sold 7,642 shares of the stock in a transaction dated Monday, May 12th. The shares were sold at an average price of $76.38, for a total value of $583,695.96. The sale was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Insiders own 23.80% of the company's stock.

Institutional Investors Weigh In On McCormick & Company, Incorporated

A number of institutional investors and hedge funds have recently modified their holdings of the company. Wellington Management Group LLP raised its stake in shares of McCormick & Company, Incorporated by 8.4% during the fourth quarter. Wellington Management Group LLP now owns 151,523 shares of the company's stock worth $11,552,000 after acquiring an additional 11,795 shares in the last quarter. Envestnet Asset Management Inc. raised its stake in shares of McCormick & Company, Incorporated by 2.0% during the fourth quarter. Envestnet Asset Management Inc. now owns 602,986 shares of the company's stock worth $45,972,000 after acquiring an additional 11,563 shares in the last quarter. Invesco Ltd. raised its stake in shares of McCormick & Company, Incorporated by 17.6% during the fourth quarter. Invesco Ltd. now owns 2,641,812 shares of the company's stock worth $201,412,000 after acquiring an additional 396,214 shares in the last quarter. FIL Ltd raised its stake in shares of McCormick & Company, Incorporated by 9.5% during the fourth quarter. FIL Ltd now owns 1,170,586 shares of the company's stock worth $89,245,000 after acquiring an additional 101,078 shares in the last quarter. Finally, APG Asset Management N.V. raised its stake in shares of McCormick & Company, Incorporated by 22.7% during the fourth quarter. APG Asset Management N.V. now owns 164,655 shares of the company's stock worth $12,123,000 after acquiring an additional 30,418 shares in the last quarter. 79.74% of the stock is owned by hedge funds and other institutional investors.

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.

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