McCormick & Company, Inc. MKC has introduced products to make classic fall meals more delicious. The 11 new products include slow cooker sauces, gluten-free recipe mixes, roasted vegetable stock cubes, and more to enhance the flavors of soups, stews and risottos.
The company has added three new cooking sauces, which include Smoky Bourbon BBQ Pulled Pork, Pot Roast with Caramelized Onion & Cracked Black Pepper and Hearty Beef Stew with Savory Herbs and Onion. The four new additions to the existing line of gluten-free recipe mixes are Gluten-Free Meat Loaf Seasoning, Gluten-Free Fajita Seasoning, Gluten-Free Thick & Zesty Spaghetti Sauce and Gluten-Free Beef Stew Seasoning. Other new products in the Kitchen Basics Flavored Stock Cubes category include Roasted Vegetable & Herb and Roasted Garlic & Chicken that can be readily used in popular fall dishes. McCormick has also introduced Pumpkin Pie Spice Extract, which can be added to baked goods and beverages to make them tastier. Thai Kitchen Coconut Cream is another innovation to bring richness to everything from cakes to curries.
McCormick regularly enhances its products through innovation in order to remain competitive and tap the rising demand for new flavors, spices and herbs, which are fast replacing demand for sugar, salt and fat.
We note that the company has witnessed a 20% rise in spice, herb and seasoning purchases in the last five years, owing to the rising demand for flavors. We believe the announcement of new products will surely lead consumers to explore more flavors at home. This will further help the company boost its sales.
McCormick also has been strategically increasing its presence through acquisitions in order to expand its spices and seasonings portfolio. Recently, McCormick announced the acquisition of Austin, TX – based One World Foods, Inc., the seller of Stubb's barbeque sauces (Stubb's), for approximately $100 million in cash. The acquisition is expected to be complete by the end of Jul 2015, subject to regulatory approval. This acquisition is McCormick’s third this year, after Drogheria & Alimentari (D&A) in May and Brand Aromatics in March.
McCormick has a Zacks Rank #2 (Buy). Investors interested in the space can also consider General Mills, Inc. GIS, Supervalu, Inc. SVU and Post Holdings, Inc. POST. All the three companies hold a Zacks Rank #2.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Be the first to comment