Whole Baked Mushrooms in Parmesan Cream Sauce are rich, creamy, and finished with a crisp topping of Parmesan and panko bread crumbs. This indulgent mushroom side dish is perfect for a special dinner.

Baked Mushrooms in Parmesan Cream Sauce is one of those recipes that proves simple ingredients can become something truly memorable. Whole button mushrooms, butter, half and half, stock, sherry, panko bread crumbs, and freshly grated Parmesan come together in a warm, savory casserole that tastes far more luxurious than the ingredient list might suggest.
This recipe has been a favorite for years, the kind of dish that deserves a permanent place in a trusted recipe collection. It began as an old cookbook find from St. Louis and has stayed close to the original because it simply works. The mushrooms bake until tender but not soft or watery, the Parmesan cream sauce becomes smooth and rich, and the panko topping adds the crunch that makes every bite special.

At first glance, this creamy baked mushroom casserole may not look complicated. It uses plain mushrooms and everyday pantry staples, but once the sauce is poured over the mushrooms and the dish is baked, the flavor deepens beautifully. The butter and flour create a classic base, the half and half gives the sauce body, and the stock adds savory depth without overpowering the mushrooms.
The choice of stock can be adjusted depending on the meal and the guests. Beef stock, chicken stock, or vegetable stock all work well in this recipe. Vegetable stock is especially useful when serving guests who prefer a meatless side dish. Since the stock is blended with half and half and sherry or white wine, the final flavor remains creamy, mellow, and balanced.
For many years, these baked mushrooms were served as an appetizer, but they also make an excellent holiday side dish. They are rich enough for Thanksgiving, Christmas, or a dinner party, yet simple enough to prepare without too much effort. The dish pairs well with roast turkey, prime rib, chicken, or any meal that needs a comforting vegetable side with a little elegance.

One small but important update is the use of panko bread crumbs instead of regular bread crumbs. Panko gives the topping a lighter, crispier texture, which contrasts perfectly with the tender mushrooms and creamy Parmesan sauce. Freshly grated Parmesan is also worth using because it melts better and gives the topping a stronger, cleaner cheese flavor.
The mushrooms should be cleaned and have their stems removed before baking. Arranging them stem-side down helps them cook evenly and lets the sauce settle around them in the baking dish. The result is a mushroom casserole that is creamy without being heavy, crisp on top, and full of savory flavor.

If you love mushrooms, this recipe is easy to fall for. It is not fussy, but it feels special. Serve it hot from the oven, sprinkled with fresh parsley if you like, and enjoy it as a creamy mushroom side dish or a rich appetizer for a celebratory meal.
More Favorites with Broth or Stock
- Rosemary Parmesan Couscous
- Turkey Tetrazzini with Mushrooms and Bacon
- Spicy Tex-Mex Chicken Soup with Cornmeal Dumplings
PIN IT! ‘Baked Mushrooms in a Parmesan Cream Sauce’



Baked Mushrooms in Parmesan Cream Sauce
15 mins
25 mins
40 mins
Vegetables
American
8 Servings
258 kcal
Ingredients
- 1 pound mushrooms cleaned and stems removed
- ½ cup butter
- 2 tablespoons flour
- ½ cup half and half
- ¼ cup beef stock chicken or vegetable stock may also be used
- ¼ cup sherry or white wine
- 1 dash freshly ground pepper
- ½ cup panko bread crumbs
- ½ cup Parmesan freshly grated
Garnish
- 2 tablespoons fresh parsley chopped, optional
Instructions
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Preheat the oven to 350 degrees. Butter a shallow baking dish.
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Arrange the mushrooms in the prepared dish, stemmed side down.
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Melt the butter in a small saucepan over low heat. Increase the heat to medium-high, whisk in the flour, and cook for 3 minutes, stirring constantly.
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Add the half and half, stock, sherry, and pepper. Stir until smooth and bring the sauce to a gentle simmer.
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Remove the sauce from the heat and pour it evenly over the mushrooms.
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Bake for 20 to 25 minutes, or until the mushrooms are tender.
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Combine the panko bread crumbs and Parmesan, then sprinkle the mixture over the mushrooms. Continue baking for about 5 minutes, until the topping is crisp and the cheese has melted.
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Remove from the oven and garnish with chopped parsley, if desired.
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Serve hot.
Nutrition
casserole, cream sauce, mushrooms, panko
This post was sponsored by Swanson®; all commentary is my own.