Is McCormick a Steal Ahead of Game-Changing Unilever Deal?

McCormick & Company's stock is down 50% from record highs ahead of a proposed merger with Unilever's food business. While the deal could triple the business and generate significant shareholder value, investors are concerned about post-close leverage rising to 4.0x EBITDA. However, management is committed to reducing debt below 3x within two years. Trading at roughly 8x current year earnings versus historical mid-20x valuations, McCormick presents deep value with strong Q2 results, a reliable 4% dividend yield, and upcoming merger catalysts.