2Q Beat But Lacked Quality, Long-Term Upside Contingent On Unilever Synergies

研报英文原文证据摘录

2Q Beat But Lacked Quality, Long-Term Upside Contingent On Unilever Synergies

Food: Food Producers

McCormick & Company

TD SECURITIES (USA) LLC EARNINGS UPDATE

June 26, 2026

Price: $48.35 (06/25/2026) 2Q Beat But Lacked Quality, Long-Term

Price Target: $60.00 (Prior $64.00) Upside Contingent On Unilever Synergies

BUY (1)

ESG SCORE: 59/100

Robert Moskow THE TD COWEN INSIGHT

646 562 1474

McCormick 2Q EPS of $0.80 beat consensus by $0.11, but quality was middling given $0.08

robert.moskow@tdsecurities.com

from tariff refunds and a shift in brand support into 3Q. Org sales of 1.7% was in-line, but

Sergio Matsumoto included declines in U.S. spices and seasonings due to widening price gaps and competition.

646 562 1339 Mgmt maintained guidance and said Americas Consumer volume will flip positive in 4Q in

sergio.matsumoto@tdsecurities.com

response to marketing interventions.

Jacob Henry, CFA

646 562 1380 Acknowledging and Addressing U.S. Retail Weakness.

jacob.henry@tdsecurities.com

Consumer division sales growth of 0.8% missed our estimate owing to a -0.2% decline in

Victor Ma Americas Consumer with volume down -3.6%. Despite expanding distribution, management

646 562 1306

acknowledged that they have not kept pace with the U.S. spice and seasonings category

victor.ma2@tdsecurities.com

growth due to price sensitivity and increased competition. They will respond with revised

Seamus Cassidy promotional strategies, revenue growth management, "management actions," and targeted

646 562 1319 investments.

seamus.cassidy@tdsecurities.com

Our Take.

Key Data

Symbol NYSE: MKC The company's vow to return Americas Consumer to positive volume by 4Q sounds a bit

Beta: 0.64 optimistic. Recall that it took more than a year for the company to achieve this goal the last