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McCormick's Q3 Volumes Gain Traction: What to Expect in 2026?
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Key Takeaways
McCormick posted 2% organic growth in Q3, led by 3% consumer growth and strong volume momentum.
Spices and seasonings gained share globally, with U.S. volumes beating private label for five quarters.
MKC enters 2026 with solid momentum from innovation, marketing investment, and healthy consumption trends.
McCormick & Company, Inc.’s (MKC - Free Report) recent performance highlights continued volume momentum, led by the consumer segment. In the third quarter of fiscal 2025, organic net sales grew 2% year over year, driven by volumes. The company witnessed strength in the consumer segment, which grew 3% organically.
Across the Global Consumer segment, execution remains strong, with market share steady or improved in many core categories in key markets. In the United States, McCormick’s branded unit consumption continues to outpace the broader edible category, while in EMEA, both unit and dollar consumption surpassed the performance of branded and private-label FMCG foods.
The Spices and Seasonings segment within Global Consumer delivered broad-based volume growth across regions, with U.S. volumes outperforming private label for five consecutive quarters and continued share gains in Canada. France and Poland contributed meaningfully to EMEA performance. Strength in the grilling portfolio was supported by new Grill Mates packaging and increased Frank’s RedHot promotions and innovation.
In the Consumer segment, sustained investments in brand marketing, innovation, and revenue management have driven differentiated performance for six quarters. Healthy consumption trends, expanding distribution, and elevated holiday merchandising and marketing support expectations for continued fourth-quarter volume growth and a strong holiday season.
The company is maintaining its net sales outlook at flat to 2% growth. Organic net sales growth is still expected in the 1% to 3% range, with performance at least at the midpoint, driven by volume-led growth in the Consumer segment, while Flavor Solutions is expected to remain nearly flat for the full year.
With sustained volume-led growth, steady share gains, and strong brand execution across regions, McCormick enters 2026 with solid momentum. Continued innovation, marketing investment, and healthy consumption trends should support growth, even amid a cautious consumer environment.
The Zacks Rundown for MKC
MKC’s shares have lost 9.6% in the past six months compared with the industry’s decline of 10.9%. MKC carries a Zacks Rank #3 (Hold).
Image Source: Zacks Investment Research
From a valuation standpoint, MKC trades at a forward price-to-earnings ratio of 21.96, higher than the industry’s average of 14.87.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for MKC’s fiscal 2025 and 2026 earnings implies a year-over-year rise of 2.4% and 6.5%, respectively.
Image Source: Zacks Investment Research
Stocks to Consider
United Natural Foods, Inc. (UNFI - Free Report) distributes natural, organic, specialty, produce and conventional grocery and non-food products in the United States and Canada. At present, United Natural sports a Zacks Rank of 1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for United Natural’s current fiscal-year sales and earnings implies growth of 1% and 187.3%, respectively, from the year-ago figures. UNFI delivered a trailing four-quarter earnings surprise of 52.1%, on average.
The Vita Coco Company, Inc. (COCO - Free Report) develops, markets, and distributes coconut water products under the Vita Coco brand name in the United States, Canada, Europe, the Middle East, Africa, and the Asia Pacific. COCO currently flaunts a Zacks Rank #1.
The Zacks Consensus Estimate for Vita Coco's current fiscal-year sales and earnings implies growth of 18% and 15%, respectively, from the year-ago figures. Vita Coco delivered a trailing four-quarter earnings surprise of 30.4%, on average.
Monster Beverage Corporation (MNST - Free Report) engages in the development, marketing, sale, and distribution of energy drink beverages and concentrates in the United States and internationally. MNST currently carries a Zacks Rank #1.
The Zacks Consensus Estimate for Monster Beverage's current fiscal-year sales and earnings implies growth of 9.6% and 22.2%, respectively, from the year-ago figures. MNST delivered a trailing four-quarter earnings surprise of 5.5%, on average.
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McCormick's Q3 Volumes Gain Traction: What to Expect in 2026?
Key Takeaways
McCormick & Company, Inc.’s (MKC - Free Report) recent performance highlights continued volume momentum, led by the consumer segment. In the third quarter of fiscal 2025, organic net sales grew 2% year over year, driven by volumes. The company witnessed strength in the consumer segment, which grew 3% organically.
Across the Global Consumer segment, execution remains strong, with market share steady or improved in many core categories in key markets. In the United States, McCormick’s branded unit consumption continues to outpace the broader edible category, while in EMEA, both unit and dollar consumption surpassed the performance of branded and private-label FMCG foods.
The Spices and Seasonings segment within Global Consumer delivered broad-based volume growth across regions, with U.S. volumes outperforming private label for five consecutive quarters and continued share gains in Canada. France and Poland contributed meaningfully to EMEA performance. Strength in the grilling portfolio was supported by new Grill Mates packaging and increased Frank’s RedHot promotions and innovation.
In the Consumer segment, sustained investments in brand marketing, innovation, and revenue management have driven differentiated performance for six quarters. Healthy consumption trends, expanding distribution, and elevated holiday merchandising and marketing support expectations for continued fourth-quarter volume growth and a strong holiday season.
The company is maintaining its net sales outlook at flat to 2% growth. Organic net sales growth is still expected in the 1% to 3% range, with performance at least at the midpoint, driven by volume-led growth in the Consumer segment, while Flavor Solutions is expected to remain nearly flat for the full year.
With sustained volume-led growth, steady share gains, and strong brand execution across regions, McCormick enters 2026 with solid momentum. Continued innovation, marketing investment, and healthy consumption trends should support growth, even amid a cautious consumer environment.
The Zacks Rundown for MKC
MKC’s shares have lost 9.6% in the past six months compared with the industry’s decline of 10.9%. MKC carries a Zacks Rank #3 (Hold).
Image Source: Zacks Investment Research
From a valuation standpoint, MKC trades at a forward price-to-earnings ratio of 21.96, higher than the industry’s average of 14.87.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for MKC’s fiscal 2025 and 2026 earnings implies a year-over-year rise of 2.4% and 6.5%, respectively.
Image Source: Zacks Investment Research
Stocks to Consider
United Natural Foods, Inc. (UNFI - Free Report) distributes natural, organic, specialty, produce and conventional grocery and non-food products in the United States and Canada. At present, United Natural sports a Zacks Rank of 1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for United Natural’s current fiscal-year sales and earnings implies growth of 1% and 187.3%, respectively, from the year-ago figures. UNFI delivered a trailing four-quarter earnings surprise of 52.1%, on average.
The Vita Coco Company, Inc. (COCO - Free Report) develops, markets, and distributes coconut water products under the Vita Coco brand name in the United States, Canada, Europe, the Middle East, Africa, and the Asia Pacific. COCO currently flaunts a Zacks Rank #1.
The Zacks Consensus Estimate for Vita Coco's current fiscal-year sales and earnings implies growth of 18% and 15%, respectively, from the year-ago figures. Vita Coco delivered a trailing four-quarter earnings surprise of 30.4%, on average.
Monster Beverage Corporation (MNST - Free Report) engages in the development, marketing, sale, and distribution of energy drink beverages and concentrates in the United States and internationally. MNST currently carries a Zacks Rank #1.
The Zacks Consensus Estimate for Monster Beverage's current fiscal-year sales and earnings implies growth of 9.6% and 22.2%, respectively, from the year-ago figures. MNST delivered a trailing four-quarter earnings surprise of 5.5%, on average.