(MKC) McCormick - Ratings and Ratios
Spices, Seasonings, Condiments, Sauces, Blends
Dividends
| Dividend Yield | 3.59% |
| Yield on Cost 5y | 2.72% |
| Yield CAGR 5y | -6.10% |
| Payout Consistency | 95.7% |
| Payout Ratio | 62.2% |
| Risk via 10d forecast | |
|---|---|
| Volatility | 22.9% |
| Value at Risk 5%th | 37.4% |
| Relative Tail Risk | -0.65% |
| Reward TTM | |
|---|---|
| Sharpe Ratio | -0.82 |
| Alpha | -24.55 |
| CAGR/Max DD | -0.21 |
| Character TTM | |
|---|---|
| Hurst Exponent | 0.320 |
| Beta | 0.313 |
| Beta Downside | 0.341 |
| Drawdowns 3y | |
|---|---|
| Max DD | 35.82% |
| Mean DD | 16.55% |
| Median DD | 16.41% |
Description: MKC McCormick October 16, 2025
McCormick & Company (NYSE: MKC) manufactures and distributes spices, seasoning blends, condiments, and related flavor products to both consumer and food-service markets. The business is split into two segments: the Consumer segment, which sells branded products such as McCormick, French’s, Frank’s RedHot, Lawry’s, Cholula, Old Bay and a suite of regional brands through grocery, mass-merchant, warehouse-club, discount, drug-store and e-commerce channels; and the Flavor Solutions segment, which supplies seasoning blends, coating systems and compound flavors to multinational food manufacturers and food-service operators, often via distributors.
In fiscal 2023 McCormick reported revenue of approximately $5.9 billion, an operating margin of about 14 %, and earnings per share growth of roughly 8 % YoY, reflecting resilience despite higher commodity costs. Key economic drivers include the “clean-label” consumer trend that fuels demand for natural spices, and the ongoing shift toward convenience meals that rely on flavor-enhancing solutions. A sector-wide catalyst is the projected 4–5 % annual growth in the global spice market, driven by rising protein consumption in emerging economies and increased food-service spending as inflation eases.
For a deeper quantitative view of MKC’s valuation metrics and scenario analysis, the ValueRay platform offers a useful starting point.
Piotroski VR‑10 (Strict, 0-10) 4.5
| Net Income (778.0m TTM) > 0 and > 6% of Revenue (6% = 407.3m TTM) |
| FCFTA 0.06 (>2.0%) and ΔFCFTA 0.12pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue -13.20% (prev -13.48%; Δ 0.28pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA 0.07 (>3.0%) and CFO 878.9m > Net Income 778.0m (YES >=105%, WARN >=100%) |
| Net Debt (3.51b) to EBITDA (1.33b) ratio: 2.64 <= 3.0 (WARN <= 3.5) |
| Current Ratio 0.71 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (269.3m) change vs 12m ago -0.15% (target <= -2.0% for YES) |
| Gross Margin 38.22% (prev 38.48%; Δ -0.27pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 51.32% (prev 50.58%; Δ 0.75pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio 5.46 (EBITDA TTM 1.33b / Interest Expense TTM 202.4m) >= 6 (WARN >= 3) |
Altman Z'' 1.87
| (A) -0.07 = (Total Current Assets 2.22b - Total Current Liabilities 3.12b) / Total Assets 13.25b |
| (B) 0.29 = Retained Earnings (Balance) 3.84b / Total Assets 13.25b |
| (C) 0.08 = EBIT TTM 1.11b / Avg Total Assets 13.23b |
| (D) 0.77 = Book Value of Equity 5.75b / Total Liabilities 7.46b |
| Total Rating: 1.87 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 63.07
| 1. Piotroski 4.50pt |
| 2. FCF Yield 3.72% |
| 3. FCF Margin 11.69% |
| 4. Debt/Equity 0.63 |
| 5. Debt/Ebitda 2.64 |
| 6. ROIC - WACC (= 3.36)% |
| 7. RoE 14.10% |
| 8. Rev. Trend 40.51% |
| 9. EPS Trend -14.73% |
What is the price of MKC shares?
Over the past week, the price has changed by -5.99%, over one month by -0.91%, over three months by -8.92% and over the past year by -16.13%.
Is MKC a buy, sell or hold?
- Strong Buy: 4
- Buy: 1
- Hold: 9
- Sell: 2
- Strong Sell: 0
What are the forecasts/targets for the MKC price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 76.9 | 21.2% |
| Analysts Target Price | 76.9 | 21.2% |
| ValueRay Target Price | 61.7 | -2.8% |
MKC Fundamental Data Overview December 03, 2025
P/E Trailing = 23.0556
P/E Forward = 21.0526
P/S = 2.6253
P/B = 3.148
P/EG = 2.9247
Beta = 0.627
Revenue TTM = 6.79b USD
EBIT TTM = 1.11b USD
EBITDA TTM = 1.33b USD
Long Term Debt = 3.10b USD (from longTermDebt, last quarter)
Short Term Debt = 496.1m USD (from shortTermDebt, last quarter)
Debt = 3.60b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 3.51b USD (from netDebt column, last quarter)
Enterprise Value = 21.33b USD (17.82b + Debt 3.60b - CCE 94.9m)
Interest Coverage Ratio = 5.46 (Ebit TTM 1.11b / Interest Expense TTM 202.4m)
FCF Yield = 3.72% (FCF TTM 793.3m / Enterprise Value 21.33b)
FCF Margin = 11.69% (FCF TTM 793.3m / Revenue TTM 6.79b)
Net Margin = 11.46% (Net Income TTM 778.0m / Revenue TTM 6.79b)
Gross Margin = 38.22% ((Revenue TTM 6.79b - Cost of Revenue TTM 4.19b) / Revenue TTM)
Gross Margin QoQ = 37.40% (prev 37.53%)
Tobins Q-Ratio = 1.61 (Enterprise Value 21.33b / Total Assets 13.25b)
Interest Expense / Debt = 1.39% (Interest Expense 50.2m / Debt 3.60b)
Taxrate = 14.84% (39.3m / 264.8m)
NOPAT = 941.5m (EBIT 1.11b * (1 - 14.84%))
Current Ratio = 0.71 (Total Current Assets 2.22b / Total Current Liabilities 3.12b)
Debt / Equity = 0.63 (Debt 3.60b / totalStockholderEquity, last quarter 5.75b)
Debt / EBITDA = 2.64 (Net Debt 3.51b / EBITDA 1.33b)
Debt / FCF = 4.42 (Net Debt 3.51b / FCF TTM 793.3m)
Total Stockholder Equity = 5.52b (last 4 quarters mean from totalStockholderEquity)
RoA = 5.87% (Net Income 778.0m / Total Assets 13.25b)
RoE = 14.10% (Net Income TTM 778.0m / Total Stockholder Equity 5.52b)
RoCE = 12.82% (EBIT 1.11b / Capital Employed (Equity 5.52b + L.T.Debt 3.10b))
RoIC = 9.53% (NOPAT 941.5m / Invested Capital 9.88b)
WACC = 6.16% (E(17.82b)/V(21.42b) * Re(7.17%) + D(3.60b)/V(21.42b) * Rd(1.39%) * (1-Tc(0.15)))
Discount Rate = 7.17% (= CAPM, Blume Beta Adj.) -> floored to rf + 0.7*ERP = 8.05%
Shares Correlation 3-Years: -33.33 | Cagr: -0.06%
[DCF Debug] Terminal Value 78.47% ; FCFE base≈785.7m ; Y1≈795.7m ; Y5≈865.6m
Fair Price DCF = 60.32 (DCF Value 15.28b / Shares Outstanding 253.2m; 5y FCF grow 0.92% → 3.0% )
EPS Correlation: -14.73 | EPS CAGR: -46.45% | SUE: -4.0 | # QB: 0
Revenue Correlation: 40.51 | Revenue CAGR: -0.08% | SUE: 0.48 | # QB: 0
EPS next Quarter (2026-02-28): EPS=0.64 | Chg30d=+0.000 | Revisions Net=-3 | Analysts=6
EPS next Year (2026-11-30): EPS=3.20 | Chg30d=-0.010 | Revisions Net=-10 | Growth EPS=+6.1% | Growth Revenue=+5.8%
Additional Sources for MKC Stock
Tweets: X | Stocktwits
Fund Manager Positions: Dataroma | Stockcircle