(MKC) McCormick - NYSE
Sector: Consumer Defensive | Industry: Packaged Foods | Exchange: NYSE (USA) | Market Cap: 12.870m USD | Total Return: -33.3% in 12m
Avg Turnover: 166M
EPS Trend: 90.6%
Qual. Beats: 1
Rev. Trend: 86.7%
Qual. Beats: 1
Warnings
No concerns identified
Tailwinds
No distinct edge detected
McCormick & Company (MKC) is a global leader in the manufacture and distribution of spices, seasoning mixes, and condiments. Operating through two primary segments, Consumer and Flavor Solutions, the company manages a portfolio of established brands including Frenchs, Franks RedHot, and Old Bay. Its business model relies on a dual-track strategy: selling branded products directly to retail consumers and providing customized flavor systems to multinational food manufacturers and foodservice operators.
The company operates within the Packaged Foods & Meats sub-industry, a sector characterized by high brand loyalty and defensive cash flows during economic volatility. McCormick’s extensive supply chain and ownership of regional brands like Zatarains and Cholula provide significant scale in the global flavor market. Investors may find ValueRays fundamental analysis tools useful for deeper due diligence on the companys valuation.
Founded in 1889 and headquartered in Maryland, McCormick maintains a presence across the Americas, EMEA, and Asia/Pacific regions. In addition to its proprietary brands, the company acts as a major supplier for private label products, capturing market share across various price points in the grocery and e-commerce channels.
- Consumer shift toward private label brands impacts premium spice pricing power
- Agricultural commodity price volatility fluctuates raw material and packaging costs
- Global foodservice recovery drives volume growth in Flavor Solutions segment
- Strategic acquisitions of high-growth hot sauce brands expand international margins
- High household penetration levels limit organic revenue growth in mature markets
| Net Income: 1.64b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.05 > 0.02 and ΔFCF/TA -0.02 > 1.0 |
| NWC/Revenue: -11.72% < 20% (prev -16.19%; Δ 4.48% < -1%) |
| CFO/TA 0.05 > 3% & CFO 897.6m > Net Income 1.64b |
| Net Debt (4.90b) to EBITDA (1.34b): 3.65 < 3 |
| Current Ratio: 0.76 > 1.5 & < 3 |
| Outstanding Shares: last quarter (269.4m) vs 12m ago -0.04% < -2% |
| Gross Margin: 37.94% > 18% (prev 38.59%; Δ -0.65% > 0.5%) |
| Asset Turnover: 48.61% > 50% (prev 52.14%; Δ -3.53% > 0%) |
| Interest Coverage Ratio: 5.65 > 6 (EBIT TTM 1.10b / Interest Expense TTM 195.0m) |
| A: -0.05 (Total Current Assets 2.61b - Total Current Liabilities 3.44b) / Total Assets 16.3b |
| B: 0.30 (Retained Earnings 4.82b / Total Assets 16.3b) |
| C: 0.08 (EBIT TTM 1.10b / Avg Total Assets 14.6b) |
| D: 0.79 (Book Value of Equity 6.98b / Total Liabilities 8.79b) |
| Altman-Z'' = 1.97 = BBB |
| DSRI: 1.52 (Receivables 829.2m/516.9m, Revenue 7.11b/6.73b) |
| GMI: 1.02 (GM 38.59% / 37.94%) |
| AQI: 1.02 (AQ_t 0.75 / AQ_t-1 0.74) |
| SGI: 1.06 (Revenue 7.11b / 6.73b) |
| TATA: 0.05 (NI 1.64b - CFO 897.6m) / TA 16.3b) |
| Beneish M = -2.53 (Cap -4..+1) = A |
As of June 16, 2026, the stock is trading at USD 47.87 with a total of 2,819,220 shares traded.
Over the past week, the price has changed by +0.55%,
over one month by +3.28%,
over three months by -16.28% and
over the past year by -33.31%.
McCormick has received a consensus analysts rating of 3.44. Therefore, it is recommended to hold MKC.
- StrongBuy: 4
- Buy: 1
- Hold: 9
- Sell: 2
- StrongSell: 0
| Analysts Target Price | 61.2 | 27.9% |
P/E Trailing = 8.0319
P/E Forward = 15.7978
P/S = 1.8104
P/B = 1.8853
P/EG = 1.8798
Revenue TTM = 7.11b USD
EBIT TTM = 1.10b USD
EBITDA TTM = 1.34b USD
Long Term Debt = 3.60b USD (from longTermDebt, last quarter)
Short Term Debt = 1.31b USD (from shortTermDebt, last quarter)
Debt = 5.08b USD (from shortLongTermDebtTotal, last quarter) + Leases 167.7m
Net Debt = 4.90b USD (calculated: Debt 5.08b - CCE 177.7m)
Enterprise Value = 17.8b USD (12.9b + Debt 5.08b - CCE 177.7m)
Interest Coverage Ratio = 5.65 (Ebit TTM 1.10b / Interest Expense TTM 195.0m)
EV/FCF = 21.71x (Enterprise Value 17.8b / FCF TTM 818.5m)
FCF Yield = 4.61% (FCF TTM 818.5m / Enterprise Value 17.8b)
FCF Margin = 11.51% (FCF TTM 818.5m / Revenue TTM 7.11b)
Net Margin = 23.12% (Net Income TTM 1.64b / Revenue TTM 7.11b)
Gross Margin = 37.94% ((Revenue TTM 7.11b - Cost of Revenue TTM 4.41b) / Revenue TTM)
Gross Margin QoQ = 37.83% (prev 38.93%)
Tobins Q-Ratio = 1.09 (Enterprise Value 17.8b / Total Assets 16.3b)
Interest Expense / Debt = 3.84% (Interest Expense 195.0m / Debt 5.08b)
Taxrate = 21.00% (202.9m / 966.3m)
NOPAT = 871.1m (EBIT 1.10b * (1 - 21.00%))
Current Ratio = 0.76 (Total Current Assets 2.61b / Total Current Liabilities 3.44b)
Debt / Equity = 0.73 (Debt 5.08b / totalStockholderEquity, last quarter 6.98b)
Debt / EBITDA = 3.65 (Net Debt 4.90b / EBITDA 1.34b)
Debt / FCF = 5.99 (Net Debt 4.90b / FCF TTM 818.5m)
Total Stockholder Equity = 6.02b (last 4 quarters mean from totalStockholderEquity)
RoA = 11.24% (Net Income 1.64b / Total Assets 16.3b)
RoE = 27.31% (Net Income TTM 1.64b / Total Stockholder Equity 6.02b)
RoCE = 11.46% (EBIT 1.10b / Capital Employed (Equity 6.02b + L.T.Debt 3.60b))
RoIC = 6.21% (NOPAT 871.1m / Invested Capital 14.0b)
WACC = 5.25% (E(12.9b)/V(18.0b) * Re(6.12%) + D(5.08b)/V(18.0b) * Rd(3.84%) * (1-Tc(0.21)))
Discount Rate = 6.12% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -54.90 | Cagr: -0.03%
[DCF] Terminal Value 77.97% ; FCFF base≈750.7m ; Y1≈860.5m ; Y5≈1.27b
[DCF] Fair Price = 55.73 (EV 19.1b - Net Debt 4.90b = Equity 14.2b / Shares 254.0m; r=8.35% [WACC [floored]]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 90.60 | EPS CAGR: 6.03% | SUE: 0.96 | # QB: 1
Revenue Correlation: 86.74 | Revenue CAGR: 2.07% | SUE: 4.0 | # QB: 1
EPS current Quarter (2026-08-31): EPS=0.84 | Chg30d=-0.06% | Revisions=+0% | Analysts=10
EPS current Year (2026-11-30): EPS=3.09 | Chg30d=-0.16% | Revisions=-33% | GrowthEPS=+3.1% | GrowthRev=+15.1%
EPS next Year (2027-11-30): EPS=3.33 | Chg30d=-0.37% | Revisions=-14% | GrowthEPS=+7.8% | GrowthRev=+3.7%
[Analyst] Revisions Ratio: -33%