MCCORMICK & CO INC VTG COM (MKC.V) Stock Fundamental Analysis
NYSE:MKC.V - New York Stock Exchange, Inc. - US5797801074 - Common Stock - Currency: USD
MKC.V gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 91 industry peers in the Food Products industry. While MKC.V has a great profitability rating, there are quite some concerns on its financial health. While showing a medium growth rate, MKC.V is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
MKC.V had positive earnings in the past year.
MKC.V had a positive operating cash flow in the past year.
In the past 5 years MKC.V has always been profitable.
Each year in the past 5 years MKC.V had a positive operating cash flow.
1.2 Ratios
The Return On Assets of MKC.V (5.88%) is better than 74.73% of its industry peers.
The Return On Equity of MKC.V (13.85%) is better than 76.92% of its industry peers.
The Return On Invested Capital of MKC.V (8.03%) is better than 75.82% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for MKC.V is significantly below the industry average of 28.11%.
The last Return On Invested Capital (8.03%) for MKC.V is above the 3 year average (7.52%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.88% | ||
| ROE | 13.85% | ||
| ROIC | 8.03% |
ROA(3y)5.51%
ROA(5y)5.71%
ROE(3y)14.31%
ROE(5y)15.82%
ROIC(3y)7.52%
ROIC(5y)7.83%
1.3 Margins
Looking at the Profit Margin, with a value of 11.50%, MKC.V belongs to the top of the industry, outperforming 90.11% of the companies in the same industry.
In the last couple of years the Profit Margin of MKC.V has declined.
MKC.V has a better Operating Margin (16.02%) than 89.01% of its industry peers.
MKC.V's Operating Margin has declined in the last couple of years.
MKC.V has a better Gross Margin (38.54%) than 85.71% of its industry peers.
In the last couple of years the Gross Margin of MKC.V has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.02% | ||
| PM (TTM) | 11.5% | ||
| GM | 38.54% |
OM growth 3Y-3%
OM growth 5Y-2.76%
PM growth 3Y-0.64%
PM growth 5Y-2.25%
GM growth 3Y-0.95%
GM growth 5Y-0.8%
2. Health
2.1 Basic Checks
MKC.V has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, MKC.V has about the same amount of shares outstanding.
Compared to 5 years ago, MKC.V has more shares outstanding
Compared to 1 year ago, MKC.V has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.62 indicates that MKC.V is not a great score, but indicates only limited risk for bankruptcy at the moment.
MKC.V has a better Altman-Z score (2.62) than 64.84% of its industry peers.
The Debt to FCF ratio of MKC.V is 8.07, which is on the high side as it means it would take MKC.V, 8.07 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 8.07, MKC.V is in the better half of the industry, outperforming 64.84% of the companies in the same industry.
MKC.V has a Debt/Equity ratio of 0.66. This is a neutral value indicating MKC.V is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.66, MKC.V perfoms like the industry average, outperforming 41.76% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.66 | ||
| Debt/FCF | 8.07 | ||
| Altman-Z | 2.62 |
ROIC/WACC0.99
WACC8.1%
2.3 Liquidity
MKC.V has a Current Ratio of 0.68. This is a bad value and indicates that MKC.V is not financially healthy enough and could expect problems in meeting its short term obligations.
MKC.V's Current ratio of 0.68 is on the low side compared to the rest of the industry. MKC.V is outperformed by 85.71% of its industry peers.
MKC.V has a Quick Ratio of 0.68. This is a bad value and indicates that MKC.V is not financially healthy enough and could expect problems in meeting its short term obligations.
MKC.V has a worse Quick ratio (0.27) than 93.41% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.68 | ||
| Quick Ratio | 0.27 |
3. Growth
3.1 Past
MKC.V shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 3.55%.
Measured over the past 5 years, MKC.V shows a small growth in Earnings Per Share. The EPS has been growing by 1.98% on average per year.
MKC.V shows a small growth in Revenue. In the last year, the Revenue has grown by 0.89%.
MKC.V shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.69% yearly.
EPS 1Y (TTM)3.55%
EPS 3Y-1.11%
EPS 5Y1.98%
EPS Q2Q%0%
Revenue 1Y (TTM)0.89%
Revenue growth 3Y2.1%
Revenue growth 5Y4.69%
Sales Q2Q%0.99%
3.2 Future
Based on estimates for the next years, MKC.V will show a small growth in Earnings Per Share. The EPS will grow by 6.22% on average per year.
Based on estimates for the next years, MKC.V will show a small growth in Revenue. The Revenue will grow by 2.99% on average per year.
EPS Next Y4.13%
EPS Next 2Y6.19%
EPS Next 3Y6.93%
EPS Next 5Y6.22%
Revenue Next Year1.77%
Revenue Next 2Y2.71%
Revenue Next 3Y3.07%
Revenue Next 5Y2.99%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 24.45, which indicates a rather expensive current valuation of MKC.V.
MKC.V's Price/Earnings ratio is in line with the industry average.
MKC.V's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.41.
A Price/Forward Earnings ratio of 21.46 indicates a rather expensive valuation of MKC.V.
Compared to the rest of the industry, the Price/Forward Earnings ratio of MKC.V indicates a somewhat cheap valuation: MKC.V is cheaper than 60.44% of the companies listed in the same industry.
MKC.V is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 35.19, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.45 | ||
| Fwd PE | 21.46 |
4.2 Price Multiples
MKC.V's Enterprise Value to EBITDA ratio is in line with the industry average.
MKC.V's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 34.72 | ||
| EV/EBITDA | 17.84 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates MKC.V does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of MKC.V may justify a higher PE ratio.
PEG (NY)5.91
PEG (5Y)12.37
EPS Next 2Y6.19%
EPS Next 3Y6.93%
5. Dividend
5.1 Amount
MKC.V has a Yearly Dividend Yield of 2.48%.
MKC.V's Dividend Yield is a higher than the industry average which is at 4.72.
MKC.V's Dividend Yield is comparable with the S&P500 average which is at 2.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.48% |
5.2 History
The dividend of MKC.V is nicely growing with an annual growth rate of 8.09%!
MKC.V has paid a dividend for at least 10 years, which is a reliable track record.
MKC.V has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)8.09%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
MKC.V pays out 60.21% of its income as dividend. This is not a sustainable payout ratio.
The dividend of MKC.V is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP60.21%
EPS Next 2Y6.19%
EPS Next 3Y6.93%
NYSE:MKC.V (7/14/2025, 3:46:00 PM)
71.38
-0.9 (-1.25%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners90.35%
Inst Owner Change0%
Ins Owners0.01%
Ins Owner ChangeN/A
Market Cap19.16B
Analysts72
Price Target84.93 (18.98%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.48% |
Yearly Dividend1.68
Dividend Growth(5Y)8.09%
DP60.21%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.83%
Min EPS beat(2)-7.59%
Max EPS beat(2)3.93%
EPS beat(4)3
Avg EPS beat(4)5.18%
Min EPS beat(4)-7.59%
Max EPS beat(4)21.3%
EPS beat(8)6
Avg EPS beat(8)6.22%
EPS beat(12)8
Avg EPS beat(12)3.45%
EPS beat(16)11
Avg EPS beat(16)1.85%
Revenue beat(2)0
Avg Revenue beat(2)-1.15%
Min Revenue beat(2)-1.38%
Max Revenue beat(2)-0.93%
Revenue beat(4)1
Avg Revenue beat(4)-0.54%
Min Revenue beat(4)-1.38%
Max Revenue beat(4)0.39%
Revenue beat(8)2
Avg Revenue beat(8)-0.69%
Revenue beat(12)3
Avg Revenue beat(12)-1.08%
Revenue beat(16)4
Avg Revenue beat(16)-0.99%
PT rev (1m)-1.31%
PT rev (3m)-2.9%
EPS NQ rev (1m)-2.97%
EPS NQ rev (3m)-2.74%
EPS NY rev (1m)-0.17%
EPS NY rev (3m)-0.77%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.06%
Revenue NY rev (1m)0.03%
Revenue NY rev (3m)-0.03%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.45 | ||
| Fwd PE | 21.46 | ||
| P/S | 2.84 | ||
| P/FCF | 34.72 | ||
| P/OCF | 24.5 | ||
| P/B | 3.42 | ||
| P/tB | N/A | ||
| EV/EBITDA | 17.84 |
EPS(TTM)2.92
EY4.09%
EPS(NY)3.33
Fwd EY4.66%
FCF(TTM)2.06
FCFY2.88%
OCF(TTM)2.91
OCFY4.08%
SpS25.13
BVpS20.87
TBVpS-11.17
PEG (NY)5.91
PEG (5Y)12.37
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.88% | ||
| ROE | 13.85% | ||
| ROCE | 10.79% | ||
| ROIC | 8.03% | ||
| ROICexc | 8.12% | ||
| ROICexgc | 45.31% | ||
| OM | 16.02% | ||
| PM (TTM) | 11.5% | ||
| GM | 38.54% | ||
| FCFM | 8.18% |
ROA(3y)5.51%
ROA(5y)5.71%
ROE(3y)14.31%
ROE(5y)15.82%
ROIC(3y)7.52%
ROIC(5y)7.83%
ROICexc(3y)7.68%
ROICexc(5y)8.06%
ROICexgc(3y)53.77%
ROICexgc(5y)64.53%
ROCE(3y)10.15%
ROCE(5y)10.62%
ROICexcg growth 3Y-19.64%
ROICexcg growth 5Y-5.32%
ROICexc growth 3Y-2.94%
ROICexc growth 5Y-2.03%
OM growth 3Y-3%
OM growth 5Y-2.76%
PM growth 3Y-0.64%
PM growth 5Y-2.25%
GM growth 3Y-0.95%
GM growth 5Y-0.8%
F-Score7
Asset Turnover0.51
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.66 | ||
| Debt/FCF | 8.07 | ||
| Debt/EBITDA | 2.85 | ||
| Cap/Depr | 106.09% | ||
| Cap/Sales | 3.41% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 60.29% | ||
| Profit Quality | 71.14% | ||
| Current Ratio | 0.68 | ||
| Quick Ratio | 0.27 | ||
| Altman-Z | 2.62 |
F-Score7
WACC8.1%
ROIC/WACC0.99
Cap/Depr(3y)131.56%
Cap/Depr(5y)136.09%
Cap/Sales(3y)4.06%
Cap/Sales(5y)4.12%
Profit Quality(3y)94.06%
Profit Quality(5y)92.84%
High Growth Momentum
Growth
EPS 1Y (TTM)3.55%
EPS 3Y-1.11%
EPS 5Y1.98%
EPS Q2Q%0%
EPS Next Y4.13%
EPS Next 2Y6.19%
EPS Next 3Y6.93%
EPS Next 5Y6.22%
Revenue 1Y (TTM)0.89%
Revenue growth 3Y2.1%
Revenue growth 5Y4.69%
Sales Q2Q%0.99%
Revenue Next Year1.77%
Revenue Next 2Y2.71%
Revenue Next 3Y3.07%
Revenue Next 5Y2.99%
EBIT growth 1Y4.25%
EBIT growth 3Y-0.97%
EBIT growth 5Y1.8%
EBIT Next Year24.5%
EBIT Next 3Y11.7%
EBIT Next 5Y8.05%
FCF growth 1Y-9.88%
FCF growth 3Y5.54%
FCF growth 5Y-3.5%
OCF growth 1Y-12.29%
OCF growth 3Y3.63%
OCF growth 5Y-0.53%