It's probably trite to make "spicy" quips about McCormick (NYSE:MKC) anymore, but if the shoe fits .... After all, its dominating presence in spices and seasonings is a major positive factor in the investment thesis, and the company does have some options that could significantly enhance the growth and returns of this business over time. To the extent that there can be defensive growth stories in packaged food, McCormick certainly looks like one.
Sweet and Sour Third Quarter Results
This was a pretty textbook example of a "mixed" quarter for McCormick. Reported revenue rose 16 and 11% on a local currency basis - strong even by the relatively lofty recent standards of this industry. Growth was balanced between improved pricing (up almost 5%) and better volume (up more than 6%), making McCormick one of the relatively rare companies to pass through significant price hikes without really paying for it in volume.
For the full article, click on the link:
http://stocks.investopedia.com/stock-analysis/2011/McCormick-A-Good-Mix-Of-Stable-And-Spicy-MKC-K-KFT-GIS-RAH-CAG-IFF1004.aspx
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