In its upcoming report, McCormick (MKC) is predicted by Wall Street analysts to post quarterly earnings of $0.65 per share, reflecting a decline of 5.8% compared to the same period last year. Revenues are forecasted to be $1.66 billion, representing a year-over-year increase of 1.2%.
The current level reflects a downward revision of 0.1% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period.
Ahead of a company's earnings disclosure, it is crucial to give due consideration to changes in earnings estimates. These revisions serve as a noteworthy factor in predicting potential investor reactions to the stock. Numerous empirical studies consistently demonstrate a strong relationship between trends in earnings estimate revision and the short-term price performance of a stock.
While investors usually depend on consensus earnings and revenue estimates to assess the business performance for the quarter, delving into analysts' forecasts for certain key metrics often provides a more comprehensive understanding.
That said, let's delve into the average estimates of some McCormick metrics that Wall Street analysts commonly model and monitor.
It is projected by analysts that the 'Net Sales- Flavor Solutions' will reach $746.82 million. The estimate points to a change of +1.1% from the year-ago quarter.
The consensus among analysts is that 'Net Sales- Consumer' will reach $918.28 million. The estimate suggests a change of +1.5% year over year.
Analysts forecast 'Operating income excluding special charges and transaction and integration expenses- Flavor Solutions' to reach $92.07 million. Compared to the current estimate, the company reported $86.60 million in the same quarter of the previous year.
The combined assessment of analysts suggests that 'Operating income excluding special charges and transaction and integration expenses- Consumer' will likely reach $152.43 million. Compared to the current estimate, the company reported $149.30 million in the same quarter of the previous year.
View all Key Company Metrics for McCormick here>>>
Over the past month, shares of McCormick have returned +2.7% versus the Zacks S&P 500 composite's +0.5% change. Currently, MKC carries a Zacks Rank #4 (Sell), suggesting that it may underperform the overall market in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
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McCormick & Company, Incorporated (MKC): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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