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Independent research · Est. October 2026
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Stock X-Ray · Consumer Staples · S&P 500 Full Coverage — Phase 1

McCormick & Company (MKC)

X-Ray dated Oct 28, 2026 · Share price as of Oct 28, 2026 intraday, when the valuation snapshot was captured · Financials from SEC filings (EDGAR) · Valuation multiples from a labelled secondary source
The verdict — valuation label: OVERVALUED

Forward P/E is 14.90x against a peer median of 12.45x, a ratio of 1.20x — just above the fair range — with trailing P/E 8.31x and PEG 2.94. The growth exception does not apply: revenue growth of 17.4% year over year (PRIMARY, EDGAR) is far above the group pace, but a PEG of 2.94 is well above the ~1.5 ceiling for that exception. Delivered demand check: the Packaged foods, meats & agriculture group's median growth was 5.8% — demand steady, and McCormick's faster sales growth has not yet turned into earnings growth that supports the premium.

14.9×
Forward P/E — price vs next year’s expected earnings (secondary source)
12.4×
Peer median forward P/E — closest comparable companies
8.3×
Trailing P/E — price vs the last twelve months of earnings
1.6×
Price / sales

What would change this label: Move to FAIRLY PRICED if the forward P/E compresses to about 14.3x or below (1.15x the peer median) at unchanged estimates, or if earnings growth rises enough to bring the PEG to about 1.5 or below while revenue growth stays above 10% year over year. Move to UNDERVALUED if the forward P/E falls to about 11.2x or below (0.90x the peer median) with revenue growth still in double digits.

In simple words

McCormick sells the spices and seasonings found in most kitchen cupboards, and its sales jumped sharply in the latest quarter. Its shares still cost about 20% more per dollar of expected profit than similar food companies, and profits have not grown as fast as sales. That makes the shares slightly overvalued until earnings catch up.

Words we use, in plain English: P/E ratio — the share price divided by earnings per share; how many dollars you pay for one dollar of yearly profit. Forward P/E — the same, using next year’s expected earnings. Free cash flow — cash a company has left after running the business and buying equipment. TTM — the last twelve months. Drawdown — the worst fall from a peak to the low after it.
The share price vs the market — six years
McCormick & Company (MKC)S&P 500 (SPY)
29811321832342021202220232024202520262020-09-012026-10-27

Both lines start at 100 on 2020-09-01. Over the full window McCormick & Company returned -53.89% and the S&P 500 +118.28% (price returns; dividends not reinvested). Worst peak-to-trough fall for McCormick & Company: -57.9% (2020-09-02 to 2026-10-01). Source: Nasdaq official daily history.

What the label rests on

Forward P/E is 14.90x against a peer median of 12.45x, a ratio of 1.20x — just above the fair range — with trailing P/E 8.31x and PEG 2.94. The growth exception does not apply: revenue growth of 17.4% year over year (PRIMARY, EDGAR) is far above the group pace, but a PEG of 2.94 is well above the ~1.5 ceiling for that exception. Delivered demand check: the Packaged foods, meats & agriculture group's median growth was 5.8% — demand steady, and McCormick's faster sales growth has not yet turned into earnings growth that supports the premium. The company’s forward P/E is 14.9× against a peer median of 12.4×. Its own history: UNVERIFIED — no sourced range available. Sector demand read: Delivered demand check: the Packaged foods, meats & agriculture group's median latest-quarter revenue growth was 5.8% year over year (SEC filings) — demand steady. McCormick grew far faster than that group pace at 17.4%, though its earnings growth lags its sales growth. Latest-quarter sales growth was +17.4% versus a year earlier (SEC filings).

CompanyPrice (Oct 28, 2026)Forward P/ETrailing P/E
McCormick & Company (MKC)$45.9814.9×8.3×
SJM$125.2412.4×58.3×
HRL$20.6813.6×33.3×
GIS$33.1610.7×—
BG$101.109.7×19.7×
TSN$55.6216.0×34.4×
Peer median12.4×

Multiples: stockanalysis.com (SECONDARY, S&P Global data), fetched Oct 28, 2026. Peer set chosen by sector; the median is the middle value of the set. The label and its numbers were recorded in the programme’s label registry on Oct 28, 2026 and will be scored at 6 and 12 months.

Sales, profit and cash

Sales each quarter, and the gross margin
SalesGross margin (right axis)
$0B$1B$2B$2B0%25%51%Nov 2020Nov 2021Nov 2022Nov 2023Nov 2024Nov 2025Aug 2026

Gross margin = gross profit divided by sales, from SEC filings.

Cash left over each quarter (free cash flow)
PositiveNegative
$-0B$0B$0BNov 2020Nov 2021Nov 2022Nov 2023Nov 2024Nov 2025Aug 2026

Free cash flow = cash from operations minus spending on plant and equipment, both from the company’s SEC cash-flow statement. Gaps are quarters where that spending line is not separately tagged in the filings — shown as gaps, never estimated.

QuarterSalesGross marginNet incomeEPS (GAAP, diluted)Free cash flow
Q/E Aug 2026
2026-08-31
$2.0B39.3%$98M0.36$112M
Q/E May 2026
2026-05-31
$1.9B40.2%$150M0.56$337M
Q/E Feb 2026
2026-02-28
$1.9B37.8%$1.0B3.77$18M
Q/E Nov 2025
2025-11-30
$1.9B38.9%$227M——
Q/E Aug 2025
2025-08-31
$1.7B37.4%$226M0.84$206M
Q/E May 2025
2025-05-31
$1.7B37.5%$175M0.65$-2M
Q/E Feb 2025
2025-02-28
$1.6B37.6%$162M0.60$78M
Q/E Nov 2024
2024-11-30
$1.8B40.2%$215M——
Q/E Aug 2024
2024-08-31
$1.7B38.7%$223M0.83$103M
Q/E May 2024
2024-05-31
$1.6B37.7%$184M0.68$95M
Q/E Feb 2024
2024-02-29
$1.6B37.4%$166M0.62$76M
Q/E Nov 2023
2023-11-30
$1.8B40.0%$219M——

The last twelve reported quarters. Full 24-quarter history sits in the data pack behind this page. A dash means the figure is not tagged as a standalone quarter in the company’s SEC facts (the usual case is the fourth quarter, which many companies only report inside the full-year filing) — it is missing, not zero.

Earnings: getting better or worse?

Each box is one quarter’s earnings per share (EPS). Green means EPS was higher than the same quarter a year earlier; red means lower; a dash means the figure is not tagged in the filings.

Nov 2022
—
Feb 2023
0.52
May 2023
0.56
Aug 2023
0.63
Nov 2023
—
Feb 2024
0.62
May 2024
0.68
Aug 2024
0.83
Nov 2024
—
Feb 2025
0.60
May 2025
0.65
Aug 2025
0.84
Nov 2025
—
Feb 2026
3.77
May 2026
0.56
Aug 2026
0.36

Basis: GAAP diluted EPS from SEC company facts, compared with the same quarter a year earlier.

Key facts

ItemValue
Company (legal name in filings)MCCORMICK & CO INC
Chief executiveBrendan Foley (source: https://www.wsj.com/business/retail/mccormick-posts-lower-profit-on-higher-sales-edb1b56d)
SectorConsumer Staples — Packaged Foods & Meats — sells spices, herbs, seasoning mixes and other flavour products to shoppers and food makers
Share price (Oct 28, 2026)$45.98
Market value (market cap)$12.8B — share price times shares outstanding of 269,400,000 (SEC filings; SEC EDGAR WeightedAverageNumberOfDilutedSharesOutstanding (latest quarter; dei EntityCommonStockSharesOutstanding series is stale for this filer))
Sales, last twelve months$7.7B
Net income, last twelve months$1.5B
Free cash flow, last twelve months—
Latest reported quarterQ/E Aug 2026 (of 24 quarters in the data pack)
Six-year price return vs S&P 500-53.89% vs +118.28%
Worst peak-to-trough fall-57.9% (2020-09-02 to 2026-10-01)

What we could not verify

  • TTM GAAP diluted EPS could not be summed from company facts because at least one of the last four quarters (typically Q4) has no standalone tagged EPS; trailing P/E is therefore taken from the labelled secondary source in valuation_label.md.
  • Free cash flow is absent for one or more quarters: either the filer does not separately tag PP&E purchases in its EDGAR cash-flow facts (common for banks), or — for a successor registrant's newest quarter — the cash-flow lines are year-to-date without the prior-quarter rung needed to difference them. Affected quarters are null in the data, never estimated.
  • Own-history P/E range not yet compiled for this company in the Phase 1 batch run; the label rests on peer-median, growth and PEG evidence.
  • Guidance record (each quarter scored against the guidance the company gave the quarter before) is not yet compiled for this company — it is a Phase 2 layer. The earnings strip below therefore uses reported EPS versus a year earlier, which is fully sourced from filings.

The IT factor — the most exciting thing the market is overlooking — is not assessed on an X-Ray page. It belongs to the Deep Dive (Phase 2), where it gets the evidence standard it needs. Leadership-era scoring (the six years split by chief executive) is likewise a Phase 2 layer; this page names the current chief executive only, from a sourced profile.

Sources

  • SEC EDGAR submissions — Filing index; company legal name. https://data.sec.gov/submissions/CIK0000063754.json
  • SEC EDGAR company facts — Quarterly financial spine: revenue, gross profit, net income, GAAP diluted EPS, operating cash flow, PP&E capex, buybacks, dividends, diluted shares. https://data.sec.gov/api/xbrl/companyfacts/CIK0000063754.json
  • Nasdaq official daily history — Daily closes for the company; SPY (assetclass=etf) saved as raw/nasdaq_spy_raw.json over identical dates. https://api.nasdaq.com/api/quote/MKC/historical?assetclass=stocks
  • Valuation multiples and peer figures — stockanalysis.com (SECONDARY, S&P Global data), fetched Oct 28, 2026; see valuation_label.md in the data pack.

Conventions: earliest-filed value per period, as first reported; cash-flow years-to-date differenced quarter by quarter; EPS never differenced; free cash flow = operating cash flow minus plant-and-equipment spending. This page is a dated snapshot — updates are new versions, never silent edits.

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