7 Most Profitable Food Stocks To Invest In

4. McCormick & Company Incorporated (NYSE:MKC)

TTM Net Income: $792.6 Million

5-Year Net Income CAGR: 2.42%

Number of Hedge Fund Holders: 36

McCormick & Company Incorporated (NYSE:MKC) is an American food company that specializes in flavor, seasonings, and spices. The company manufactures, markets, and distributes herbs, spices, seasonings, condiments, and flavors to the food and beverage industry including retailers, food manufacturers, and foodservice businesses. McCormick & Company Incorporated (NYSE:MKC) operates in over 150 countries and markets a diverse range of products through its portfolio of brands.

In the third quarter of 2024, the company reported stable sales compared to the same period last year, with a slight volume growth of 1%. Operating income increased to $287 million from $245 million year-over-year, while adjusted operating income rose to $288 million from $251 million. Earnings per share also improved, reaching $0.83 compared to $0.63 in the prior year.

The company is focused on driving growth through strategic initiatives such as brand marketing, new product development, and innovative packaging. During its Investor Day on October 22, McCormick’s (NYSE:MKC) leadership team outlined plans to achieve sustainable growth by leveraging its competitive advantages and executing proven strategies. The company aims for net sales growth of 4% to 6%, operating income growth of 7% to 9%, and earnings per share growth of 9% to 11% on a compounded annual growth rate basis over the next five years. McCormick & Company Incorporated (NYSE:MKC) is targeting at least $8 billion in annual net sales by 2028.

With a strong commitment to investing in core categories that generate the most value, McCormick & Company Incorporated (NYSE:MKC) is well-positioned for future success. MKC ranks among the most profitable stocks on our list of food stocks. As of the third quarter of 2024, McCormick & Company Incorporated (NYSE:MKC) was held by 36 hedge funds, according to Insider Monkey’s Q3 database of 900 elite hedge funds.