- McCormick’s adjusted earnings per share for the first quarter were 60 cents, missing the estimated 64 cents and falling from 63 cents year-over-year.
- Net sales for McCormick in the first quarter were $1.61 billion, reflecting a slight increase of 0.2% year-over-year, in line with estimates.
- The company’s gross profit margin was recorded at 37.6%, slightly above the previous year’s 37.4% and just above the estimated 37.5%.
- Cash and cash equivalents were reported at $102.8 million, marking a significant decrease of 42% compared to the previous year and falling short of the estimated $139.5 million.
- McCormick reaffirmed its positive outlook for sales, operating profit, and earnings per share for the fiscal year 2025.
- The company cites successful investment in high-value areas as a key factor in sustaining momentum for the rest of 2025 and beyond.
- Analyst recommendations for McCormick stock include 7 buy ratings, 6 hold ratings, and 2 sell ratings.
McCormick & Company on Smartkarma
Analysts on Smartkarma, like Baptista Research, have been closely following McCormick & Company‘s financial performance. In a recent report titled “McCormick & Company’s Massive Tech Overhaul: The Game-Changing Investment Powering Explosive Growth! – Major Drivers,” Baptista Research highlighted the positive growth in McCormick’s organic sales during the fourth quarter of fiscal year 2024. Despite facing pricing pressures, the company saw a commendable 2% increase in organic sales driven by volume and product mix growth. The report lauds McCormick’s achievement amidst global demand challenges, particularly in the Asia Pacific region.
Another insightful report by Baptista Research, “McCormick & Company: An Insight Into Its Digital Transformation,” examined the company’s third-quarter earnings. The analysis pointed out a balanced performance across regions with flat sales in constant currency. Despite no significant pricing changes, there was a slight improvement in volume and product mix, indicating steady progress. The report also factored in the effects of a recent divestiture, highlighting modest but positive total volume growth for McCormick & Company.
A look at McCormick & Company Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 3 | |
| Growth | 3 | |
| Resilience | 2 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 2.8 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Analysts view McCormick & Company‘s long-term outlook positively, with a high Smart Score in Momentum at 4, indicating strong market performance. This suggests that the company is gaining traction and may continue to do well in the future. Additionally, the company receives above-average scores in Dividend and Growth at 3, showcasing potential for steady income and expansion over time.
While the Value and Resilience scores are not as high at 2, McCormick & Company‘s focus on flavor products and specialty foods has positioned it well within the food industry. Overall, given its solid scores in various key factors, investors may find McCormick & Company to be a promising option for long-term investment opportunities.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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