McCormick & Company, IncorporatedMKC
NYSE•Consumer Defensive•Packaged Foods
McCormick & Company, Incorporated manufactures, markets, and distributes herbs, spices, seasoning mixes, condiments, and other flavorful products to the food industry. It operates in two segments, Consumer and Flavor Solutions. The Consumer segment offers spices, herbs, and seasonings, as well as condiments and sauces, and desserts. This segment markets its products under the McCormick, French's, Frank's RedHot, Lawry's, Cholula Hot Sauce, Club House, Gourmet Garden, and OLD BAY brands in the Americas; Ducros, Schwartz, Kamis, LA Drogheria, and Vahiné brands in Europe, the Middle East, and Africa; and McCormick and DaQiao brands in the Asia/Pacific, as well as markets desserts under the Aeroplane brand and packaged chilled herbs under the Gourmet Garden brand name; and markets authentic regional brands, such as Zatarain's, Stubb's, Thai Kitchen, and Simply Asia. It also supplies its products under the private labels. This segment serves retailers comprising grocery, mass merchandise, warehouse clubs, discount and drug stores, and e-commerce retailers directly and indirectly through distributors, wholesale foodservice suppliers, and e-commerce. The Flavor Solutions segment offers seasoning blends, spices and herbs, condiments, coating systems, and compound flavors to multinational food manufacturers and foodservice customers. It serves foodservice customers directly and indirectly through distributors. The company was founded in 1889 and is headquartered in Hunt Valley, Maryland.
McCormick & Company, Incorporat (MKC) reported trailing twelve months revenue of $7.11B as of February 2026, a 5.7% increase year-over-year. Quarterly revenue reached $1.87B, reflecting continued top-line momentum.
McCormick & Company, Incorporat generated $1.64B in TTM net income, with quarterly EBITDA of $252.60M. The operating margin contracted from 14.0% to 13.5%, suggesting rising cost pressures or pricing headwinds.
The spread between operating margin (13.5%) and net margin (54.2%) indicates tight cost control with minimal non-operating drag. Net margin has improved from 10.1% a year ago, signaling stronger bottom-line efficiency.
MKC trades at a P/E of 11.6x (below the broader market average) and a P/S of 2.7x. The price-to-book ratio of 2.7x reflects a moderate premium to book value.
The company generated $18.40M in free cash flow over the trailing twelve months, a 76.5% decrease year-over-year, indicating cash generation ability. The balance sheet shows $16.35B in total assets with $3.60B in long-term debt against $6.98B in stockholders equity for a debt-to-equity ratio of 0.5. Data based on the most recent quarterly reports.
Competitive analysis based on 21 quarters of fundamental data
Operating margins are stable at ~15.6%, suggesting durable pricing power and cost discipline.
ROE averages 15.3% but has fluctuated — the competitive advantage may be cyclical or emerging.
7 of the last 8 quarters generated positive FCF. The company generally funds itself but has occasional cash consumption quarters.
TTM revenue has grown consistently (6 of 7 quarters up), with ~6.4% growth over the period. Strong demand durability.
Data-driven red flags and warnings across 21 quarters
Margins are stable or improving at ~15.5% — no sign of cost or pricing stress.
FCF consistently trails net income (avg 0.7x) — earnings may be inflated by non-cash items or aggressive accounting.
D/E ratio is 0.5 — conservative capital structure with low financial risk.
Revenue is stable or growing over recent quarters — demand appears durable.
Free cash flow is consistently positive — the business self-funds without external capital reliance.
Share count is stable — no significant dilution or buyback activity.
Quarterly standardized metrics.
Stock price and market valuation
Revenue and earnings growth across quarters
Assets, cash, debt, and leverage
Price multiples and return ratios
Operating efficiency and return metrics
Free cash flow, earnings quality, and capital allocation