# McCormick & Company, Incorporated Non-VTG CS (MKC) — Stock CV

McCormick & Company, Incorporated Non-VTG CS is a $12.2B consumer staples company. Revenue grew 13.2% over the last year, it keeps 19¢ of every dollar of sales as profit, and its net debt equals ~3.7 years of free cash flow. It trades at 8.1× earnings — near the lowest of its own history.

> In its 135-plus-year history, McCormick has become the leading global manufacturer of spices, herbs, extracts, seasonings, and other flavorings. In addition to its namesake brand, the firm's portfolio includes Old Bay, Zatarain's, Thai Kitchen, Frank's RedHot, French's, and Cholula.

## Identity

- **Ticker**: MKC
- **Sector**: Consumer Defensive
- **Industry**: Miscellaneous Food Preparations & Kindred Products
- **Headquarters**: HUNT VALLEY, MD
- **Employees**: 14 100
- **Website**: https://www.mccormickcorporation.com
- **Market cap**: $12.2B
- **Last price**: $45.39
- **Financial profile**: Mixed

## Vitals (TTM)

- **Revenue**: $7.69B
- **Net income**: $1.49B
- **Free cash flow**: $926M
- **Net debt**: $3.39B
- **P/E**: 8.1
- **Revenue growth (YoY)**: 13.2%

## Skills (profile scores, 0–100)

| Pillar | Score |
|---|---|
| Valuation | 90 |
| Growth | 12 |
| Profitability | 64 |
| Health | 40 |
| Quality | 75 |
| Moat | 56 |

## Qualifications (beginner checklist) — 9 of 11 passed

- [x] Revenue growing — +13.2% YoY
- [x] Profitable — $1.49B TTM
- [x] Profit growing — +5.1% YoY
- [x] Generates cash — $926M TTM
- [x] Debt under control — ~3.7y of cash flow to repay
- [x] Established company — $12.2B market cap
- [ ] Not printing shares — +26.6% shares over ~5y
- [x] Proven track record — 10/10 profitable years
- [ ] Financially stable — Altman Z 1.6 — distress
- [x] Pays a dividend — yield 4.20%
- [x] Valuation not extreme — P/E 8.1

## Experience (career milestones)

- **FY2018** — Best year on record: $933M net income
- **FY2016** — Profitable every year on record: 10 consecutive profitable years in our data
- **FY2016** — Revenue already above $1B: $4.41B in first reported year
- **FY2016** — Positive free cash flow every year since: 10-year streak

## Strengths

- Revenue growing 13.2% year over year
- Interest covered 6.8× by operating earnings

## Watch-outs

- Altman Z-Score 1.65 — elevated financial-distress risk
- Net debt would take ~5.1 years of free cash flow to repay

## Track record

| Year | Revenue | Net income | Free cash flow |
|---|---|---|---|
| FY2021 | $6.32B | $755M | $550M |
| FY2022 | $6.35B | $682M | $390M |
| FY2023 | $6.66B | $681M | $973M |
| FY2024 | $6.72B | $789M | $647M |
| FY2025 | $6.84B | $789M | $740M |

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Source: https://stockcv.com/MKC — derived from company filings; may be delayed or incomplete. Information, not investment advice.