McCormick & Co. (NYSE:MKC) is a name that we have felt was too expensive to buy at $200 and have been waiting for a sizable pullback. We have corrected nicely, with shares down 10% in recent weeks. We believe shares have been getting there into a buy range. We felt at least under $190 was a place to consider, but now we are approaching $180m and we think new money can start coming in, with plans to add in $5 increments on the way down to build a position. If you buy now, and it never goes down, well, that is a high-quality problem because it means you made money.

If you recall earlier this year, we recommended the name at the beginning of April. We felt there was potential for strong returns during the market turmoil under the thesis that "people have to eat." It has not all been good news as McCormick took a hit from restaurant closures, or restaurants only being available for takeout/delivery, during the COVID-19 crisis, but more people were cooking at home. In our last column, we told you that we locked in sizable profit and kept a house money position. For now, we think new money can start buying. We will touch on performance in Q3 and the recent shareholder benefits in this column.

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