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McCormick & Co Stock: 3 Key Figures to Watch

McCormick & Co (NYSE: MKC) is a global leader in the spice, seasoning, and flavoring industry. The company has a long history of innovation and product development, and its products are used in a wide variety of food and beverage applications.

In recent years, McCormick has been facing a number of challenges, including rising input costs, increased competition, and changes in consumer preferences. However, the company has also been taking steps to address these challenges, and its stock has performed well over the past year.

Here are 3 key figures to watch when evaluating McCormick & Co stock:

  1. Revenue growth: McCormick's revenue has grown at a compound annual growth rate (CAGR) of 4.5% over the past 5 years. This growth has been driven by a combination of organic growth and acquisitions. In 2021, the company reported revenue of $5.6 billion, a 6.6% increase over the previous year.

    mccormick & co stock

    McCormick & Co Stock: 3 Key Figures to Watch

  2. Earnings per share (EPS): McCormick's EPS has grown at a CAGR of 6.5% over the past 5 years. This growth has been driven by a combination of revenue growth and margin expansion. In 2021, the company reported EPS of $3.45, a 9.4% increase over the previous year.

  3. Dividend yield: McCormick has a long history of paying dividends to shareholders. The company's dividend yield has averaged 2.5% over the past 5 years. In 2021, the company declared a dividend of $1.60 per share, a 6.3% increase over the previous year.

Valuation:

Key Figures to Watch:

McCormick & Co stock is currently trading at a price-to-earnings (P/E) ratio of 25. This is above the average P/E ratio for the food and beverage industry, which is currently around 20. However, McCormick's stock is also trading at a discount to its 5-year average P/E ratio of 28.

Risks:

Revenue growth:

McCormick & Co faces a number of risks, including:

  • Rising input costs: The cost of ingredients, packaging, and transportation has been rising in recent years. This could put pressure on McCormick's margins.
  • Increased competition: McCormick faces competition from a number of large and small companies. This competition could limit McCormick's ability to raise prices or grow its market share.
  • Changes in consumer preferences: Consumers are increasingly demanding healthy and sustainable food products. This could lead to a decline in demand for McCormick's products.

Opportunities:

McCormick & Co has a number of opportunities to grow its business, including:

  • New product development: McCormick has a strong track record of developing new products. The company is well-positioned to capitalize on new trends in the food and beverage industry.
  • International expansion: McCormick has a presence in over 150 countries. The company has the potential to grow its international business by expanding into new markets.
  • E-commerce: E-commerce is a growing channel for the sale of food and beverage products. McCormick is well-positioned to capitalize on this trend by expanding its e-commerce offerings.

Conclusion:

McCormick & Co stock is a solid investment for investors seeking exposure to the food and beverage industry. The company has a long history of innovation and product development, and its products are used in a wide variety of food and beverage applications. McCormick also has a number of opportunities to grow its business in the future.

Key Figures to Watch:

Metric Value
Revenue growth 4.5% CAGR
Earnings per share (EPS) 6.5% CAGR
Dividend yield 2.5%

Table 1: Revenue and Earnings Growth

Year Revenue EPS
2017 $4.9 billion $2.74
2018 $5.1 billion $2.91
2019 $5.3 billion $3.08
2020 $5.5 billion $3.19
2021 $5.6 billion $3.45

Table 2: Dividend Yield

Year Dividend Yield
2017 2.3%
2018 2.4%
2019 2.5%
2020 2.6%
2021 2.7%

Table 3: Valuation

Metric Value
Price-to-earnings (P/E) ratio 25
5-year average P/E ratio 28

Table 4: Risks and Opportunities

Risk Opportunity
Rising input costs New product development
Increased competition International expansion
Changes in consumer preferences E-commerce

Tips and Tricks

  • Consider investing in McCormick & Co stock if you are seeking exposure to the food and beverage industry. The company has a long history of innovation and product development, and its products are used in a wide variety of food and beverage applications.
  • Watch the key figures discussed in this article to gauge McCormick's financial performance. These figures include revenue growth, EPS, dividend yield, and valuation.
  • Be aware of the risks and opportunities facing McCormick & Co. The company faces a number of challenges, but it also has a number of opportunities to grow its business.
  • Consult with a financial advisor to determine if McCormick & Co stock is a good investment for you. A financial advisor can help you assess your individual investment goals and risk tolerance.
Time:2025-01-04 22:14:34 UTC

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