04:00 PM EDT, 03/20/2026 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

MKC and Unilever PLC (UL ****) have confirmed ongoing discussions regarding a potential acquisition by MKC of UL's food business, which includes brands Hellmann's and Knorr. These assets would be complementary to MKC's existing condiments and seasonings portfolio. In particular, Hellmann's aligns well with MKC's recent move to acquire a majority stake in its Mexico joint venture (McCormick ( MKC ) de Mexico), which has a strong presence in mayonnaise. That said, this deal seems risky, as Bloomberg reports the equity value of UL's food business could be $33B+, well above MKC's ~$15B market cap. Prior acquisitions by MKC include Frank's and Frank's Red Hot in 2017 and Cholula in 2020. We note MKC has a somewhat elevated leverage ratio (net debt/adj-EBITDA) of 2.9x, though this ratio has come down in recent years (was 3.1x a year ago and 3.3x two years ago). We cut our 12-month target by $6 to $50, about 16x our FY 26 EPS. We leave our EPS estimates unchanged for now as MKC will report Feb-Q results on March 31.