On January 23, 2026, Bernstein analysts set a price target of $85 for McCormick & Company, implying upside of approximately 38.9% from recent levels. This marks the most optimistic forecast among major brokerages and reflects Bernstein’s belief that ongoing investments in flavor innovation and targeted marketing initiatives will drive outsized volume gains in both North American and emerging-market channels over the next 12 months.

McCormick reported fourth-quarter net revenue of $1.85 billion, a 2.9% increase year-over-year and a modest beat on consensus estimates. Growth was led by the Consumer segment, where net sales rose 4.0% to $1.13 billion, driven by a 2% increase in pricing and a 1% gain in volume and product mix. Flavor Solutions sales grew 1.4% to $723 million. Adjusted EPS came in at $0.86, narrowly missing the $0.87 consensus, marking the company’s second earnings miss in three years. Currency translation contributed a favorable 1% to top-line results, while tariff-related pricing actions helped offset commodity cost inflation.

Gross profit margin contracted by 120 basis points in Q4 to 39.0%, reflecting higher costs for key spices and packaging materials as well as ongoing capacity expansion initiatives. McCormick’s Comprehensive Continuous Improvement program generated offsetting savings equivalent to roughly $25 million in the quarter. For fiscal 2026, management projects net sales growth in the mid-single digits but expects adjusted EPS to decline year-over-year due to elevated input costs and incremental investment in its newly acquired controlling interest in McCormick de Mexico. The company reiterated a commitment to a 7% dividend increase, extending its streak of annual hikes to 40 years.