MCCORMICK & CO-NON VTG SHRS (MKC) Stock Fundamental Analysis
USA • New York Stock Exchange • NYSE:MKC • US5797802064
61.83 USD
+0.51 (+0.83%)
At close: Jan 30, 2026
61.4968 USD
-0.33 (-0.54%)
After Hours: 1/30/2026, 7:08:17 PM
Overall MKC gets a fundamental rating of 5 out of 10. We evaluated MKC against 87 industry peers in the Food Products industry. MKC has an excellent profitability rating, but there are concerns on its financial health. MKC has a correct valuation and a medium growth rate. Finally MKC also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
- MKC had positive earnings in the past year.
- In the past year MKC had a positive cash flow from operations.
- Each year in the past 5 years MKC has been profitable.
- MKC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- MKC has a Return On Assets of 5.98%. This is amongst the best in the industry. MKC outperforms 81.61% of its industry peers.
- The Return On Equity of MKC (13.76%) is better than 85.06% of its industry peers.
- MKC has a Return On Invested Capital of 8.22%. This is amongst the best in the industry. MKC outperforms 82.76% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for MKC is significantly below the industry average of 27.79%.
- The last Return On Invested Capital (8.22%) for MKC is above the 3 year average (8.07%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.98% | ||
| ROE | 13.76% | ||
| ROIC | 8.22% |
ROA(3y)5.77%
ROA(5y)5.67%
ROE(3y)14.04%
ROE(5y)14.76%
ROIC(3y)8.07%
ROIC(5y)7.87%
1.3 Margins
- MKC has a Profit Margin of 11.54%. This is amongst the best in the industry. MKC outperforms 90.80% of its industry peers.
- MKC's Profit Margin has declined in the last couple of years.
- With an excellent Operating Margin value of 15.99%, MKC belongs to the best of the industry, outperforming 94.25% of the companies in the same industry.
- In the last couple of years the Operating Margin of MKC has declined.
- The Gross Margin of MKC (37.93%) is better than 87.36% of its industry peers.
- In the last couple of years the Gross Margin of MKC has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.99% | ||
| PM (TTM) | 11.54% | ||
| GM | 37.93% |
OM growth 3Y3.45%
OM growth 5Y-2.54%
PM growth 3Y2.43%
PM growth 5Y-2.86%
GM growth 3Y1.93%
GM growth 5Y-1.58%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so MKC is still creating some value.
- The number of shares outstanding for MKC remains at a similar level compared to 1 year ago.
- The number of shares outstanding for MKC has been increased compared to 5 years ago.
- Compared to 1 year ago, MKC has an improved debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 2.44 indicates that MKC is not a great score, but indicates only limited risk for bankruptcy at the moment.
- The Altman-Z score of MKC (2.44) is comparable to the rest of the industry.
- The Debt to FCF ratio of MKC is 5.40, which is a neutral value as it means it would take MKC, 5.40 years of fcf income to pay off all of its debts.
- MKC's Debt to FCF ratio of 5.40 is fine compared to the rest of the industry. MKC outperforms 74.71% of its industry peers.
- A Debt/Equity ratio of 0.61 indicates that MKC is somewhat dependend on debt financing.
- Looking at the Debt to Equity ratio, with a value of 0.61, MKC is in line with its industry, outperforming 43.68% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.61 | ||
| Debt/FCF | 5.4 | ||
| Altman-Z | 2.44 |
ROIC/WACC1.05
WACC7.83%
2.3 Liquidity
- MKC has a Current Ratio of 0.70. This is a bad value and indicates that MKC is not financially healthy enough and could expect problems in meeting its short term obligations.
- With a Current ratio value of 0.70, MKC is not doing good in the industry: 85.06% of the companies in the same industry are doing better.
- MKC has a Quick Ratio of 0.70. This is a bad value and indicates that MKC is not financially healthy enough and could expect problems in meeting its short term obligations.
- The Quick ratio of MKC (0.28) is worse than 93.10% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.7 | ||
| Quick Ratio | 0.28 |
3. Growth
3.1 Past
- MKC shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 1.69%.
- MKC shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 1.17% yearly.
- The Revenue has been growing slightly by 1.73% in the past year.
- Measured over the past years, MKC shows a small growth in Revenue. The Revenue has been growing by 4.08% on average per year.
EPS 1Y (TTM)1.69%
EPS 3Y5.84%
EPS 5Y1.17%
EPS Q2Q%7.5%
Revenue 1Y (TTM)1.73%
Revenue growth 3Y2.51%
Revenue growth 5Y4.08%
Sales Q2Q%2.91%
3.2 Future
- MKC is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.24% yearly.
- Based on estimates for the next years, MKC will show a small growth in Revenue. The Revenue will grow by 3.33% on average per year.
EPS Next Y8.5%
EPS Next 2Y8.97%
EPS Next 3Y7.92%
EPS Next 5Y9.24%
Revenue Next Year11.45%
Revenue Next 2Y7.56%
Revenue Next 3Y6.82%
Revenue Next 5Y3.33%
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.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 20.61, which indicates a rather expensive current valuation of MKC.
- Compared to the rest of the industry, the Price/Earnings ratio of MKC is on the same level as its industry peers.
- Compared to an average S&P500 Price/Earnings ratio of 28.30, MKC is valued a bit cheaper.
- The Price/Forward Earnings ratio is 19.00, which indicates a rather expensive current valuation of MKC.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of MKC indicates a somewhat cheap valuation: MKC is cheaper than 60.92% of the companies listed in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 25.57. MKC is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.61 | ||
| Fwd PE | 19 |
4.2 Price Multiples
- MKC's Enterprise Value to EBITDA is on the same level as the industry average.
- Based on the Price/Free Cash Flow ratio, MKC is valued a bit cheaper than the industry average as 60.92% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.41 | ||
| EV/EBITDA | 15.07 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates MKC does not grow enough to justify the current Price/Earnings ratio.
- MKC has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)2.42
PEG (5Y)17.56
EPS Next 2Y8.97%
EPS Next 3Y7.92%
5. Dividend
5.1 Amount
- MKC has a Yearly Dividend Yield of 3.10%. Purely for dividend investing, there may be better candidates out there.
- MKC's Dividend Yield is a higher than the industry average which is at 2.29.
- MKC's Dividend Yield is rather good when compared to the S&P500 average which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.1% |
5.2 History
- The dividend of MKC is nicely growing with an annual growth rate of 7.76%!
- MKC has paid a dividend for at least 10 years, which is a reliable track record.
- MKC has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)7.76%
Div Incr Years34
Div Non Decr Years34
5.3 Sustainability
- 61.19% of the earnings are spent on dividend by MKC. This is not a sustainable payout ratio.
- MKC's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP61.19%
EPS Next 2Y8.97%
EPS Next 3Y7.92%
MCCORMICK & CO-NON VTG SHRS / MKC FAQ
What is the ChartMill fundamental rating of MCCORMICK & CO-NON VTG SHRS (MKC) stock?
ChartMill assigns a fundamental rating of 5 / 10 to MKC.
Can you provide the valuation status for MCCORMICK & CO-NON VTG SHRS?
ChartMill assigns a valuation rating of 4 / 10 to MCCORMICK & CO-NON VTG SHRS (MKC). This can be considered as Fairly Valued.
What is the profitability of MKC stock?
MCCORMICK & CO-NON VTG SHRS (MKC) has a profitability rating of 7 / 10.
What is the expected EPS growth for MCCORMICK & CO-NON VTG SHRS (MKC) stock?
The Earnings per Share (EPS) of MCCORMICK & CO-NON VTG SHRS (MKC) is expected to grow by 8.5% in the next year.
Can you provide the dividend sustainability for MKC stock?
The dividend rating of MCCORMICK & CO-NON VTG SHRS (MKC) is 7 / 10 and the dividend payout ratio is 61.19%.