McCormick & Company, Incorporated (MKC-V) Financial Ratios
30 years of historical data (1996–2025) · Consumer Defensive · Packaged Foods
EV/EBITDA
↓
12.87
↓-39% vs avg
5yr avg: 20.99
30Y Low10.1·High26.0
P/FCF
↓
17.73
↓-49% vs avg
5yr avg: 35.08
30Y Low14.2·High58.3
P/B Ratio
↓
2.28
↓-45% vs avg
5yr avg: 4.12
30Y Low3.1·High7.2
ROE
↓
14.2%
-7% vs avg
5yr avg: 15.3%
30Y Low9%·High37%
Debt/EBITDA
↓
3.02
↓-25% vs avg
5yr avg: 4.00
30Y Low1.4·High6.1
Percentile shows where the current value sits in 30-year historical distribution. Sparklines show 5-year trend.
MKC-V Valuation Multiples
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
McCormick & Company, Incorporated trades at 16.7x earnings, 40% below its 5-year average of 27.9x, sitting at the 12th percentile of its historical range. Compared to the Consumer Defensive sector median P/E of 18.8x, the stock trades at a discount of 12%. On a free-cash-flow basis, the stock trades at 17.7x P/FCF, 49% below the 5-year average of 35.1x.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $13.1B | $18.1B | $20.9B | $17.4B | $22.7B | $23.4B | $24.8B | $22.6B | $20.0B | $13.1B | $11.8B |
| Enterprise Value | $17.0B | $22.0B | $25.2B | $21.8B | $27.7B | $28.4B | $29.2B | $26.8B | $24.6B | $18.0B | $13.2B |
| P/E Ratio → | 16.68 | 22.97 | 26.54 | 25.59 | 33.33 | 30.95 | 33.09 | 32.21 | 21.42 | 27.48 | 25.00 |
| P/S Ratio | 1.92 | 2.65 | 3.11 | 2.61 | 3.57 | 3.70 | 4.42 | 4.23 | 3.77 | 2.72 | 2.68 |
| P/B Ratio | 2.28 | 3.14 | 3.93 | 3.42 | 4.83 | 5.28 | 6.28 | 6.55 | 6.28 | 5.11 | 7.23 |
| P/FCF | 17.73 | 24.48 | 32.29 | 17.87 | 58.27 | 42.50 | 30.34 | 29.28 | 30.66 | 20.74 | 23.48 |
| P/OCF | 13.64 | 18.84 | 22.66 | 14.06 | 34.84 | 28.23 | 23.78 | 23.91 | 24.34 | 16.10 | 17.99 |
P/E links to full P/E history page with 30-year chart
MKC-V EV Ratios
Enterprise-value multiples — capital-structure-neutral measures of total business value
McCormick & Company, Incorporated's enterprise value stands at 12.9x EBITDA, 39% below its 5-year average of 21.0x. The Consumer Defensive sector median is 11.0x, placing the stock at a 17% premium on an enterprise-value basis.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 3.22 | 3.75 | 3.28 | 4.36 | 4.50 | 5.22 | 5.01 | 4.64 | 3.72 | 2.99 |
| EV / EBITDA | 12.87 | 16.65 | 19.87 | 18.78 | 26.02 | 23.66 | 25.11 | 24.01 | 23.60 | 21.78 | 17.57 |
| EV / EBIT | 15.60 | 19.86 | 22.76 | 21.67 | 28.79 | 27.53 | 28.75 | 27.23 | 26.85 | 26.02 | 20.41 |
| EV / FCF | — | 29.75 | 38.97 | 22.42 | 71.09 | 51.65 | 35.83 | 34.67 | 37.71 | 28.39 | 26.11 |
MKC-V Profitability
Margins and return-on-capital ratios measuring operating efficiency
McCormick & Company, Incorporated earns an operating margin of 16.0%, above the Consumer Defensive sector average of 3.4%. Operating margins have expanded from 14.5% to 16.0% over the past 3 years, signaling improving operational efficiency. ROE of 14.2% is modest. ROIC of 8.5% represents adequate returns on invested capital versus a sector median of 5.9%.
Margins
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 37.9% | 37.9% | 38.5% | 37.6% | 35.8% | 39.5% | 41.1% | 40.1% | 39.4% | 41.6% | 41.5% |
| Operating Margin | 16.0% | 16.0% | 15.8% | 14.5% | 13.6% | 16.1% | 17.8% | 17.9% | 16.8% | 14.5% | 14.5% |
| Net Profit Margin | 11.5% | 11.5% | 11.7% | 10.2% | 10.7% | 12.0% | 13.3% | 13.1% | 17.6% | 9.9% | 10.7% |
Return on Capital
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 14.2% | 14.2% | 15.2% | 13.9% | 14.9% | 18.1% | 20.2% | 21.2% | 32.4% | 22.7% | 28.4% |
| ROA | 6.0% | 6.0% | 6.1% | 5.2% | 5.2% | 6.0% | 6.7% | 6.8% | 9.0% | 6.4% | 10.3% |
| ROIC | 8.5% | 8.5% | 8.3% | 7.5% | 6.8% | 8.5% | 9.3% | 9.3% | 8.8% | 10.1% | 16.2% |
| ROCE | 10.7% | 10.7% | 10.6% | 9.9% | 8.9% | 10.8% | 11.6% | 11.6% | 10.7% | 12.0% | 19.8% |
MKC-V Leverage & Debt
Solvency and debt-coverage ratios — lower is generally safer
McCormick & Company, Incorporated carries a Debt/EBITDA ratio of 3.0x, which is moderately leveraged (11% below the sector average of 3.4x). Net debt stands at $3.9B ($4.0B total debt minus $96M cash). Interest coverage of 5.7x is adequate, though a cyclical earnings downturn could tighten the margin of safety.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.69 | 0.69 | 0.85 | 0.90 | 1.13 | 1.22 | 1.24 | 1.25 | 1.48 | 1.96 | 0.88 |
| Debt / EBITDA | 3.02 | 3.02 | 3.55 | 3.95 | 5.00 | 4.49 | 4.21 | 3.87 | 4.51 | 6.09 | 1.93 |
| Net Debt / Equity | — | 0.68 | 0.81 | 0.87 | 1.06 | 1.14 | 1.14 | 1.21 | 1.45 | 1.88 | 0.81 |
| Net Debt / EBITDA | 2.95 | 2.95 | 3.41 | 3.81 | 4.69 | 4.19 | 3.85 | 3.73 | 4.42 | 5.87 | 1.77 |
| Debt / FCF | — | 5.27 | 6.68 | 4.55 | 12.82 | 9.15 | 5.49 | 5.39 | 7.05 | 7.65 | 2.63 |
| Interest Coverage | 5.65 | 5.65 | 5.29 | 4.84 | 6.45 | 7.56 | 7.50 | 5.96 | 5.25 | 7.67 | 11.52 |
MKC-V Liquidity & Efficiency
Short-term solvency ratios and asset-utilisation metrics
The current ratio of 0.70x is below 1.0, meaning current liabilities exceed current assets. The quick ratio of 0.28x is notably lower than the current ratio, indicating a significant portion of current assets is tied up in inventory. The current ratio has improved from 0.65x to 0.70x over the past 3 years.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.70 | 0.70 | 0.74 | 0.65 | 0.70 | 0.68 | 0.68 | 0.72 | 0.74 | 0.83 | 1.00 |
| Quick Ratio | 0.28 | 0.28 | 0.31 | 0.28 | 0.30 | 0.31 | 0.34 | 0.35 | 0.35 | 0.42 | 0.47 |
| Cash Ratio | 0.03 | 0.03 | 0.06 | 0.05 | 0.10 | 0.11 | 0.14 | 0.07 | 0.05 | 0.10 | 0.08 |
| Asset Turnover | — | 0.52 | 0.51 | 0.52 | 0.48 | 0.49 | 0.46 | 0.52 | 0.52 | 0.47 | 0.95 |
| Inventory Turnover | 3.34 | 3.34 | 3.33 | 3.69 | 3.04 | 3.23 | 3.20 | 4.00 | 4.09 | 3.56 | 3.41 |
| Days Sales Outstanding | — | 33.56 | 31.89 | 32.19 | 32.97 | 31.75 | 34.44 | 34.33 | 35.66 | 41.91 | 38.49 |
MKC-V Shareholder Yields
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
McCormick & Company, Incorporated returns 3.9% to shareholders annually — split between a 3.7% dividend yield and 0.3% buyback yield. A payout ratio of 61.2% is moderate and appears sustainable, balancing shareholder returns with reinvestment capacity. The earnings yield of 6.0% (inverse of P/E) provides a useful comparison to bond yields when assessing the stock's relative attractiveness to fixed income.
Dividends
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 3.7% | 2.7% | 0.3% | 2.4% | 1.7% | 1.6% | 1.3% | 1.3% | 1.4% | 1.8% | 1.8% |
| Payout Ratio | 61.2% | 61.2% | 8.5% | 61.5% | 58.2% | 48.1% | 44.2% | 43.0% | 29.3% | 49.8% | 46.1% |
Total Shareholder Return Metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 6.0% | 4.4% | 3.8% | 3.9% | 3.0% | 3.2% | 3.0% | 3.1% | 4.7% | 3.6% | 4.0% |
| FCF Yield | 5.6% | 4.1% | 3.1% | 5.6% | 1.7% | 2.4% | 3.3% | 3.4% | 3.3% | 4.8% | 4.3% |
| Buyback Yield | 0.3% | 0.2% | 0.3% | 0.2% | 0.2% | 0.0% | 0.2% | 0.5% | 0.4% | 1.0% | 2.0% |
| Total Shareholder Yield | 3.9% | 2.9% | 0.6% | 2.6% | 1.9% | 1.6% | 1.5% | 1.8% | 1.7% | 2.9% | 3.9% |
| Shares Outstanding | — | $269M | $270M | $270M | $270M | $270M | $269M | $268M | $267M | $257M | $256M |
Peer Comparison
Compare MKC-V with 10 similar companies in its peer group
| Company | Market Cap | P/E | EV/EBITDA | P/FCF | Gross Margin | Op Margin | ROE | ROIC | Debt/EBITDA |
|---|---|---|---|---|---|---|---|---|---|
 MKC-VYou | $13B | 16.7 | 12.9 | 17.7 | 37.9% | 16.0% | 14.2% | 8.5% | 3.0 |
 SJM | $12B | -86.5 | 33.3 | 10.4 | 33.5% | 4.0% | -2.4% | 2.1% | 12.4 |
 CHD | $23B | 32.5 | 18.9 | 21.3 | 44.7% | 17.4% | 17.6% | 13.9% | 1.7 |
 HRL | $14B | 29.9 | 16.8 | 26.8 | 15.6% | 5.9% | 6.0% | 5.3% | 2.9 |
 CPB | $7B | 11.1 | 7.7 | 9.5 | 30.4% | 13.2% | 15.6% | 9.1% | 4.0 |
 CAG | $7B | 5.7 | 8.3 | 5.1 | 25.9% | 11.8% | 13.2% | 6.0% | 4.6 |
 THS | $1B | 47.9 | 10.9 | 11.6 | 16.4% | 3.1% | 1.7% | 2.7% | 6.3 |
 KHC | $28B | -4.8 | — | 7.6 | 33.3% | -18.7% | -12.8% | -5.5% | — |
 GIS | $19B | 8.6 | 8.8 | 8.2 | 34.6% | 17.0% | 24.3% | 10.6% | 4.0 |
 K | $29B | 21.5 | 15.5 | 25.6 | 36.9% | 14.7% | 37.0% | 14.7% | 2.8 |
 MKC | $13B | 16.5 | 12.8 | 17.6 | 37.9% | 16.0% | 14.2% | 8.5% | 3.0 |
| Consumer Defensive Median | — | 18.8 | 11.0 | 16.3 | 40.5% | 3.4% | 6.8% | 5.9% | 3.4 |
Peer selection based on competitive and market overlap. Compare multiple stocks →
Download Financial Ratios Data
Includes 30+ ratios · 30 years · Updated daily
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MKC-V — Frequently Asked Questions
Quick answers to the most common questions about buying MKC-V stock.
What is McCormick & Company, Incorporated's P/E ratio?
McCormick & Company, Incorporated's current P/E ratio is 16.7x. The historical average is 24.3x. This places it at the 12th percentile of its historical range.
What is McCormick & Company, Incorporated's EV/EBITDA?
McCormick & Company, Incorporated's current EV/EBITDA is 12.9x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 16.7x.
What is McCormick & Company, Incorporated's ROE?
McCormick & Company, Incorporated's return on equity (ROE) is 14.2%. The historical average is 23.7%.
Is MKC-V stock overvalued?
Based on historical data, McCormick & Company, Incorporated is trading at a P/E of 16.7x. This is at the 12th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
What is McCormick & Company, Incorporated's dividend yield?
McCormick & Company, Incorporated's current dividend yield is 3.67% with a payout ratio of 61.2%.
What are McCormick & Company, Incorporated's profit margins?
McCormick & Company, Incorporated has 37.9% gross margin and 16.0% operating margin. Operating margin between 10-20% is typical for established companies.
How much debt does McCormick & Company, Incorporated have?
McCormick & Company, Incorporated's Debt/EBITDA ratio is 3.0x, indicating high leverage. A ratio between 2-4x is manageable but warrants monitoring.