US5797802064 - Common Stock

Overall **MKC** gets a fundamental rating of **4** out of 10. We evaluated **MKC** against 92 industry peers in the **Food Products** industry. While **MKC** belongs to the best of the industry regarding profitability, there are concerns on its financial health. While showing a medium growth rate, **MKC** is valued expensive at the moment.

In the past 5 years **MKC** always reported a positive cash flow from operatings.

The 3 year average ROIC (**7.71%**) for **MKC** is below the current ROIC(**7.87%**), indicating increased profibility in the last year.

Industry Rank | Sector Rank | ||
---|---|---|---|

ROA | 5.69% | ||

ROE | 13.88% | ||

ROIC | 7.87% |

ROA(3y)5.45%

ROA(5y)5.86%

ROE(3y)15.05%

ROE(5y)16.92%

ROIC(3y)7.71%

ROIC(5y)7.99%

Looking at the **Profit Margin**, with a value of **11.07%**, **MKC** belongs to the top of the industry, outperforming **84.78%** of the companies in the same industry.

In the last couple of years the **Operating Margin** of **MKC** has declined.

Looking at the **Gross Margin**, with a value of **38.05%**, **MKC** belongs to the top of the industry, outperforming **89.13%** of the companies in the same industry.

In the last couple of years the **Gross Margin** of **MKC** has remained more or less at the same level.

Industry Rank | Sector Rank | ||
---|---|---|---|

OM | 15.5% | ||

PM (TTM) | 11.07% | ||

GM | 38.05% |

OM growth 3Y-5.45%

OM growth 5Y-2.6%

PM growth 3Y-8.52%

PM growth 5Y-10.31%

GM growth 3Y-2.93%

GM growth 5Y-0.99%

With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), **MKC** is creating some value.

Compared to 1 year ago, **MKC** has about the same amount of shares outstanding.

Compared to 5 years ago, **MKC** has more shares outstanding

The debt/assets ratio for **MKC** has been reduced compared to a year ago.

The Debt to FCF ratio of **MKC** is **5.14**, which is a neutral value as it means it would take **MKC**, **5.14** years of fcf income to pay off all of its debts.

Looking at the **Debt to FCF ratio**, with a value of **5.14**, **MKC** is in the better half of the industry, outperforming **69.57%** of the companies in the same industry.

Industry Rank | Sector Rank | ||
---|---|---|---|

Debt/Equity | 0.69 | ||

Debt/FCF | 5.14 | ||

Altman-Z | 2.82 |

ROIC/WACC1.05

WACC7.48%

Industry Rank | Sector Rank | ||
---|---|---|---|

Current Ratio | 0.69 | ||

Quick Ratio | 0.31 |

Looking at the last year, **MKC** shows a small growth in **Revenue**. The Revenue has grown by **2.57%** in the last year.

Measured over the past years, **MKC** shows a small growth in **Revenue**. The Revenue has been growing by **4.67%** on average per year.

EPS 1Y (TTM)8.05%

EPS 3Y-1.68%

EPS 5Y1.6%

EPS Q2Q%15%

Revenue 1Y (TTM)2.57%

Revenue growth 3Y5.95%

Revenue growth 5Y4.67%

Sales Q2Q%-0.96%

The **Earnings Per Share** is expected to grow by **7.42%** on average over the next years.

EPS Next Y7.52%

EPS Next 2Y7.35%

EPS Next 3Y7.45%

EPS Next 5Y7.42%

Revenue Next Year-0.46%

Revenue Next 2Y1.1%

Revenue Next 3Y1.81%

Revenue Next 5Y2.64%

The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.

When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.

The **Price/Earnings** ratio is **29.39**, which means the current valuation is very expensive for **MKC**.

The rest of the industry has a similar **Price/Earnings** ratio as **MKC**.

The average S&P500 **Price/Earnings** ratio is at **29.62**. **MKC** is around the same levels.

A **Price/Forward Earnings** ratio of **26.74** indicates a quite expensive valuation of **MKC**.

When comparing the **Price/Forward Earnings** ratio of **MKC** to the average of the S&P500 Index (**21.22**), we can say **MKC** is valued slightly more expensively.

Industry Rank | Sector Rank | ||
---|---|---|---|

PE | 29.39 | ||

Fwd PE | 26.74 |

The rest of the industry has a similar **Enterprise Value to EBITDA** ratio as **MKC**.

Compared to the rest of the industry, the **Price/Free Cash Flow** ratio of **MKC** is on the same level as its industry peers.

Industry Rank | Sector Rank | ||
---|---|---|---|

P/FCF | 25.63 | ||

EV/EBITDA | 21.15 |

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.

The decent profitability rating of **MKC** may justify a higher PE ratio.

PEG (NY)3.91

PEG (5Y)18.39

EPS Next 2Y7.35%

EPS Next 3Y7.45%

Industry Rank | Sector Rank | ||
---|---|---|---|

Dividend Yield | 2.02% |

On average, the dividend of **MKC** grows each year by **8.48%**, which is quite nice.

Dividend Growth(5Y)8.48%

Div Incr Years33

Div Non Decr Years33

DP58.79%

EPS Next 2Y7.35%

EPS Next 3Y7.45%

**MCCORMICK & CO-NON VTG SHRS**

NYSE:MKC (9/6/2024, 8:04:00 PM)

After market: 82.88 0 (0%)**82.88**

**-0.16 (-0.19%) **

Chartmill FA Rating

GICS SectorConsumer Staples

GICS IndustryGroupFood, Beverage & Tobacco

GICS IndustryFood Products

Earnings (Last)

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Market Cap22.27B

Analysts

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Dividend

Industry Rank | Sector Rank | ||
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Dividend Yield | 2.02% |

Dividend Growth(5Y)

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Revenue NQ rev (1m)

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Valuation

Industry Rank | Sector Rank | ||
---|---|---|---|

PE | 29.39 | ||

Fwd PE | 26.74 | ||

P/S | |||

P/FCF | |||

P/OCF | |||

P/B | |||

P/tB | |||

EV/EBITDA |

EPS(TTM)

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PEG (NY)3.91

PEG (5Y)18.39

Profitability

Industry Rank | Sector Rank | ||
---|---|---|---|

ROA | 5.69% | ||

ROE | 13.88% | ||

ROCE | |||

ROIC | |||

ROICexc | |||

ROICexgc | |||

OM | 15.5% | ||

PM (TTM) | 11.07% | ||

GM | 38.05% | ||

FCFM |

ROA(3y)

ROA(5y)

ROE(3y)

ROE(5y)

ROIC(3y)

ROIC(5y)

ROICexc(3y)

ROICexc(5y)

ROICexgc(3y)

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ROICexcg growth 5Y

ROICexc growth 3Y

ROICexc growth 5Y

OM growth 3Y

OM growth 5Y

PM growth 3Y

PM growth 5Y

GM growth 3Y

GM growth 5Y

F-Score

Asset Turnover0.51

Health

Industry Rank | Sector Rank | ||
---|---|---|---|

Debt/Equity | 0.69 | ||

Debt/FCF | |||

Debt/EBITDA | |||

Cap/Depr | |||

Cap/Sales | |||

Interest Coverage | |||

Cash Conversion | |||

Profit Quality | |||

Current Ratio | 0.69 | ||

Quick Ratio | 0.31 | ||

Altman-Z |

F-Score

WACC

ROIC/WACC

Cap/Depr(3y)

Cap/Depr(5y)

Cap/Sales(3y)

Cap/Sales(5y)

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High Growth Momentum

Growth

EPS 1Y (TTM)8.05%

EPS 3Y-1.68%

EPS 5Y

EPS Q2Q%

EPS Next Y7.52%

EPS Next 2Y

EPS Next 3Y

EPS Next 5Y

Revenue 1Y (TTM)2.57%

Revenue growth 3Y5.95%

Revenue growth 5Y

Sales Q2Q%

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Revenue Next 2Y

Revenue Next 3Y

Revenue Next 5Y

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EBIT growth 3Y

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