McCormick & Company (MKC)

Consumer Staples · $12.9B market cap · SEC CIK 0000063754

Next reports on Jan 20, 2027, after the close, with analysts expecting $0.79 in earnings per share.

52-week range $43.25 to $72.41. 35% below its 52-week high and 8% above its low.

The case for MKC

• Cheap for its growth: 8.6× earnings, where 6% a year of growth plus a 2.3% dividend would justify about 21×.
• Revenue growing 13.2% year over year.
• Earnings per share up 91.6%.
• Return on equity of 22%.
• Moves less than the market (beta 0.63).
• Pays a modest 2.3% dividend.

The case against

• Down 26.4% over the past year.
• Current liabilities exceed current assets (ratio 0.66).
• Near the bottom of its 52-week range, 35% below the high. Falling prices usually have a reason; find it first.
• Long-term debt of $3.1B against $95.9M of cash.

What the score is made of

Each factor is half a curve over reported figures and half a rank among the other Consumer Staples companies (momentum is judged against fixed thresholds only), and the five are blended by weight. The score is where that blend places it in the S&P 500. It describes the last filing and the current price. It is not a forecast.

• Each factor except momentum is half fixed thresholds, half rank among the 36 Consumer Staples companies.

The financials

The financials, five years deep

Pulled from McCormick & Company's XBRL filings on SEC EDGAR. Italic rows are worked out from the others.

What McCormick & Company says it does

McCormick is a global leader in flavor. We manufacture, market, and distribute herbs, spices, seasoning mixes, condiments, and other flavorful products to the entire food and beverage industry: retailers, food manufacturers, and foodservice businesses. We also are partners in a number of joint ventures that are involved in the manufacture and sale of flavorful products, the most significant of which is McCormick de Mexico. Our major sales, distribution, and production facilities are located in North America, Europe, and China. Additional facilities are based in Australia, Central America, Thailand, and South Africa. On January 2, 2026, we completed the purchase of an additional 25% ownership interest in McCormick de Mexico. The purchase price was $750 million, which increased our ownership to a 75% controlling interest. We believe the acquisition creates opportunities for further growth in the Mexican market and provides a strategic…

Risk factors MKC lists in its 10-K

• Customer consolidation, consumer behaviors, and competitive, economic and other pressures facing our customers, may impact our financial condition or results of operations
• The inability to maintain mutually beneficial relationships with large customers could adversely affect our business, financial condition and results of operations
• Issues regarding procurement of raw materials may negatively impact us
• Changes in global trade policies have impacted and may continue to impact our financial condition or results of operations
• Disruption of our supply chain could adversely affect our business
• Our results of operations can be adversely affected by labor shortages, turnover and labor cost increases or any failure to effectively manage changes in our workforce
• We may not be able to increase prices to fully offset inflationary and other pressures on costs, such as raw and packaging materials, labor and distribution costs, which may impact our financial condition or results of operations
• Our profitability may suffer as a result of competition in our markets
• Changing political and geopolitical conditions, including conflicts and the related implications may negatively impact our operations
• Our operations may be impaired as a result of disasters, business interruptions or similar events
• We may not be able to successfully consummate and manage ongoing acquisition, joint venture and divestiture activities which could have an impact on our results
• An impairment of the carrying value of goodwill or other indefinite-lived intangible assets could adversely affect our results
• Streamlining actions to reduce fixed costs, simplify or improve processes, and improve our competitiveness may have a negative effect on employee relations
• If we are unable to fully realize the benefits from our CCI program or streamlining actions to reduce fixed costs, simplify or improve our competitiveness, our financial results could be negatively affected
• Fluctuations in foreign currency markets may negatively impact us
• We face risks associated with certain pension assets and obligations
• Climate change, or legal, regulatory or market measures to address climate change, may negatively affect our business, financial condition and results of operations
• Climate change and sustainability issues may have an adverse effect on our business, financial condition and results of operations and damage our reputation
• Increases in interest rates or changes in our credit ratings may negatively impact us
• Our credit ratings impact the cost and availability of future borrowings and, accordingly, our cost of capital
• The deterioration of credit and capital markets may adversely affect our access to sources of funding
• Uncertain global economic conditions expose us to credit risks from customers and counterparties
• The declaration, payment and amount of dividends is made at the discretion of our board of directors and depends on a number of factors
• Our intellectual property rights, and those of our customers, could be infringed, challenged or impaired, and reduce the value of our products and brands or our business with customers
• Our operations and reputation may be impaired if our information technology systems fail to perform adequately or if we are the subject of a data breach or cyber-attack
• If we are not able to successfully implement our business transformation initiative or utilize information technology systems and networks effectively, our ability to conduct our business may be negatively impacted
• Laws and regulations could adversely affect our business
• Litigation, legal or administrative proceedings could have an adverse impact on our business and financial condition or damage our reputation
• Our international and cross-border operations are subject to additional risks
• The global nature of our business, changes in tax legislation and the resolution of tax uncertainties create volatility in our effective tax rate

Filings

Other Consumer Staples companies