MKC

Consumer Defensive

McCormick & Company, Incorporated · Packaged Foods · $13B

UQS Score — Balanced Preset
47.5
Below Average

McCormick & Company, Incorporated scores 47.5/100 using the Balanced preset.

UQS vs Consumer Defensive Sector
MKC
47.5
Sector avg
38.4
Quality
Good
Moat
Neutral
Growth
Weak
Risk
Weak
Valuation
Good

What is McCormick & Company, Incorporated?

McCormick & Company is one of the world's leading producers of spices, seasonings, and condiments, serving both everyday consumers and major food manufacturers. Headquartered in Hunt Valley, Maryland, the company has built a portfolio of globally recognized flavor brands.

McCormick operates through two segments. The Consumer segment sells spices, herbs, seasonings, condiments, and sauces directly to retailers — from grocery chains to e-commerce platforms — under brands including McCormick, Frank's RedHot, French's, OLD BAY, Cholula, and Lawry's. The Flavor Solutions segment supplies seasoning blends, coating systems, and compound flavors to multinational food manufacturers and foodservice operators. Together, these segments give McCormick exposure to both household pantries and the broader food supply chain.

McCormick was founded in 1889 and is headquartered in Hunt Valley, Maryland.

  • Retail spices, herbs, and seasoning mixes
  • Hot sauces and condiments including Frank's RedHot and Cholula
  • Flavor solutions and coating systems for food manufacturers
  • Regional and ethnic flavor brands such as OLD BAY and Zatarain's
  • Private-label seasoning products for retail partners

Is MKC a Good Stock to Buy?

UQS Score rates MKC as Below Average overall, reflecting meaningful headwinds across several key pillars.

McCormick's Quality pillar earns a Good rating, pointing to a reasonably well-run business with established operations. The Valuation pillar also comes in at Good, suggesting the stock is not dramatically overpriced relative to its fundamentals — a notable consideration for a consumer defensive name.

Growth and Risk both register as Weak, signaling limited near-term expansion potential alongside elevated financial or operational vulnerabilities. The Moat pillar lands at Neutral, indicating the company's competitive advantages are present but not dominant.

See the exact pillar breakdown and full financial metrics by signing up for a UQS Pro account. Sign up free →

Past performance does not guarantee future results. UQS Score is based on fundamental data and is not a buy/sell recommendation.

Does MKC pay dividends?

Yes — McCormick & Company, Incorporated pays a dividend.

McCormick pays a regular dividend, consistent with its long history as a consumer defensive company. The company has maintained and grown its dividend over many years, making it a consideration for income-oriented investors. Payouts are supported by the relatively stable cash flows typical of a branded food business, though the Weak Risk pillar warrants attention when evaluating dividend sustainability.

When does MKC report earnings?

McCormick reports earnings on a quarterly cadence, typical for US-listed equities.

The company's recent results reflect the pressures visible in its UQS pillar profile — particularly subdued growth and elevated risk factors. Consumer demand for branded spices and condiments remains relatively stable, but margin and volume dynamics have been challenging across the food sector.

For the most recent quarter's results, visit McCormick's investor relations page directly.

MKC Price History

-35.0% over 5Y

Monthly close, adjusted for stock splits and dividend reinvestment.

Return Calculator

What if I invested in McCormick & Company, Incorporated?

$
Today it would be worth
$6,391
That's a -36.1% total return, or -8.6% annualized.

Based on McCormick & Company, Incorporated's historical closing prices, adjusted for stock splits and dividend reinvestment. Past performance does not guarantee future results. This is for informational purposes only and is not financial advice.

MKC Long-term Outlook

McCormick's fundamental outlook is shaped by a Weak Growth pillar and a Weak Risk pillar, suggesting the near-term trajectory faces real constraints. Volume recovery in both the Consumer and Flavor Solutions segments will depend on broader consumer spending trends and food manufacturer demand. The Good Valuation rating provides some cushion, but investors should weigh that against limited growth visibility and the risk factors embedded in the current profile.

Growth drivers

  • Expansion of hot sauce and condiment brands into new markets
  • Flavor Solutions segment growth tied to food manufacturer partnerships
  • E-commerce and private-label channel development

Key risks

  • Weak Growth pillar signals limited near-term revenue acceleration
  • Weak Risk pillar points to financial or operational vulnerabilities
  • Competitive pressure from private-label and regional flavor brands

MKC vs Peers

McCormick operates in a competitive consumer food landscape alongside companies that span condiments, dairy, and protein categories.

MKC-VSimilar UQS
McCormick & Company, Incorporated (Voting Shares)

The voting share class of McCormick carries different governance rights but represents the same underlying business and brand portfolio.

SAP.TOMKC scores higher
Saputo Inc.

Saputo focuses on dairy processing and cheese rather than spices, competing with McCormick primarily for shelf space and consumer food budgets.

HRLMKC scores higher
Hormel Foods Corporation

Hormel competes across branded protein and condiment categories, overlapping with McCormick in foodservice and retail seasoning applications.

Frequently Asked Questions

What does McCormick & Company do?

McCormick manufactures and sells spices, seasonings, condiments, and flavor solutions worldwide. Its Consumer segment reaches households through brands like Frank's RedHot, OLD BAY, and Cholula, while its Flavor Solutions segment supplies food manufacturers and foodservice operators with custom blends and coating systems.

Does MKC pay dividends?

Yes, McCormick pays a regular dividend. The company has a long track record of maintaining and growing its dividend, which is common among consumer defensive businesses with relatively stable cash flows. Investors should review the Weak Risk pillar rating when assessing dividend reliability going forward.

When does MKC report earnings?

McCormick reports earnings on a quarterly cadence, as is standard for US-listed companies. The company does not follow the typical December fiscal year-end, so reporting dates may differ from peers. For exact upcoming dates, check McCormick's official investor relations page.

Is MKC a good stock to buy?

UQS Score rates MKC as Below Average, driven by Weak Growth and Risk pillars. The Quality and Valuation pillars are rated Good, offering some positive signals. Whether MKC fits your portfolio depends on your own goals — the full pillar breakdown is available to UQS Pro members.

Is MKC overvalued?

The UQS Valuation pillar for MKC is rated Good, suggesting the stock is not dramatically overpriced relative to its fundamentals. However, valuation should always be considered alongside the Weak Growth and Risk ratings, which affect the quality of earnings supporting that valuation.

How does MKC compare to its competitors?

McCormick's closest peers include its own voting share class (MKC-V), Hormel Foods (HRL), and Saputo (SAP.TO). McCormick's brand depth in spices and hot sauces is a differentiator, though its Neutral Moat rating suggests competitive advantages are not insurmountable. A full comparison is available on UQS Score.

What is MKC's market cap bracket?

McCormick is classified as a large-cap company. This places it among established, widely followed equities in the consumer defensive sector, typically associated with greater liquidity and institutional coverage than smaller peers.

Who founded McCormick & Company?

McCormick & Company was founded in 1889 by Willoughby M. McCormick in Baltimore, Maryland. The company has grown over more than a century from a small flavoring business into a global leader in spices and seasonings.

Is MKC a long-term quality investment?

As a long-term quality indicator, MKC's UQS profile presents a mixed picture. The Good Quality pillar reflects operational stability, but the Weak Growth and Risk pillars temper the long-term outlook. Investors focused on quality metrics should review the complete pillar breakdown available to Pro members.

What is the main competitive advantage of McCormick?

McCormick's primary advantage lies in its portfolio of trusted consumer brands — including Frank's RedHot, OLD BAY, and Cholula — and its deep relationships with food manufacturers through the Flavor Solutions segment. The UQS Moat pillar rates this advantage as Neutral, meaning it exists but faces real competitive pressure.

What sector does MKC belong to?

McCormick belongs to the Consumer Defensive sector. Companies in this sector tend to produce everyday essentials with relatively stable demand, which can provide some resilience during economic downturns — though it also typically limits high-growth potential, consistent with MKC's Weak Growth pillar.

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Pro Analysis

MKC — Score History

40455055Apr 2Apr 12Apr 22May 2May 12May 22May 24v5
Score changes· 16 most recent
DateUQSQualityMoatGrowthRiskValueChange
May 22, 202647.568.240.029.126.371.3+0.7
May 7, 202646.866.540.029.226.369.6+0.2
May 3, 202646.666.540.029.226.368.1+0.1
Apr 26, 202646.566.540.029.226.367.1+0.3
Apr 19, 202646.266.540.029.226.365.0+0.2
Apr 18, 202646.066.640.029.226.364.1-1.0
Apr 17, 202647.066.640.029.226.370.50.0
Apr 14, 202647.066.640.029.026.370.4-0.1
Apr 12, 202647.166.640.029.026.371.2-0.7
Apr 11, 202647.866.640.029.026.376.0-0.2

MKC — Pillar Breakdown

Quality

68.2/100 (25%)

McCormick & Company, Incorporated shows solid profitability with healthy returns on capital and reasonable margins.

Capital Efficiency (ROIC)Weak

How effectively capital is deployed to generate returns.

Return on EquityStrong

Profitability relative to shareholders' equity.

Operating ProfitabilityModerate

Ability to convert revenue into operating profit.

Net ProfitabilityStrong

Bottom-line profit as a share of revenue.

Gross Profit / AssetsModerate

Asset productivity — how much gross profit each dollar of assets generates.

Cash GenerationStrong

Free cash flow relative to market value.

Growth

29.1/100 (20%)

McCormick & Company, Incorporated faces growth headwinds with declining or stagnant revenue trends.

Recent Revenue TrendWeak

Revenue trajectory over the last twelve months.

3Y Revenue CAGRWeak

Compound annual revenue growth rate over 3 years.

EPS GrowthWeak

Year-over-year earnings per share growth.

Forward Revenue OutlookModerate

Analyst consensus for future revenue growth.

Forward EPS GrowthModerate

Analyst consensus for future earnings growth.

Risk

26.3/100 (15%)

McCormick & Company, Incorporated presents elevated risk with concerns around leverage or financial stability.

Financial LeverageWeak

Debt levels relative to earnings capacity.

Debt/EquityStrong

Total debt relative to shareholder equity.

Current RatioWeak

Short-term liquidity — ability to pay near-term obligations.

Interest CoverageWeak

Earnings capacity relative to interest payments.

Valuation

71.6/100 (15%)

McCormick & Company, Incorporated trades at a reasonable valuation with decent earnings yield and FCF multiples.

Earnings YieldModerate

Inverse of forward P/E — higher yield means cheaper stock.

Price to Free Cash FlowStrong

How many years of FCF the market cap represents.

PEG RatioStrong

P/E relative to earnings growth — lower is more attractive.

EV/EBITDA vs SectorModerate

Enterprise value multiple relative to sector median.

Moat

40/100 (25%)

McCormick & Company, Incorporated possesses some competitive advantages but faces meaningful competition. The Moat pillar evaluates competitive advantages across five dimensions: Switching Costs, Network Effects, Cost Advantage, Intangible Assets, and Scale & Ecosystem. Sign in to customize moat ratings for MKC.

Score Composition

Quality
68.2×25%17.1
Growth
29.1×20%5.8
Risk
26.3×15%3.9
Valuation
71.6×15%10.7
Moat
40.0×25%10.0
Total
47.5Below Average

Financial Data

More Stock Analysis

How is the MKC UQS Score Calculated?

The UQS (Unified Quality Score) for McCormick & Company, Incorporated is calculated using a proprietary 6-pillar framework with 29 financial metrics. Each pillar evaluates a different dimension on a 0–100 scale, then combines into a single weighted score. Scoring thresholds are calibrated per sector. Momentum is an optional Pro toggle — without it, you get the 5-pillar / 25-metric core shown below.

Quality (25%) measures profitability and capital efficiency — ROIC, ROE, margins, GP/Assets, and FCF Yield.

Moat (25%) assesses McCormick & Company, Incorporated's competitive advantages across switching costs, network effects, cost advantages, intangible assets, and ecosystem scale.

Growth (20%) tracks revenue trajectory and earnings momentum, combining historical results with analyst forward estimates.

Risk (15%) is inversely scored — lower leverage and strong balance sheet health result in higher scores.

Valuation (15%) measures whether McCormick & Company, Incorporated is fairly priced using earnings yield, price-to-FCF, PEG ratio, and EV/EBITDA relative to sector peers.

Six investor-inspired presets are available, each with different pillar weights: Balanced, Buffett, Munger, Lynch, Cathie Wood, and Graham. The public score shown here uses the Balanced preset. Learn more in our FAQ.