WallStSmart

Darling Ingredients Inc (DAR)vsMcCormick & Company Incorporated (MKC-V)

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Smart Verdict

WallStSmart Research — data-driven comparison

McCormick & Company Incorporated generates 13% more annual revenue ($7.11B vs $6.31B). MKC-V leads profitability with a 23.1% profit margin vs 3.5%. MKC-V appears more attractively valued with a PEG of 1.95. MKC-V earns a higher WallStSmart Score of 74/100 (B).

DAR

Hold

45

out of 100

Grade: D

Growth: 3.3Profit: 4.5Value: 4.7Quality: 4.8
Piotroski: 3/9

MKC-V

Strong Buy

74

out of 100

Grade: B

Growth: 7.3Profit: 7.5Value: 8.0Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DARUndervalued (+26.7%)

Margin of Safety

+26.7%

Fair Value

$67.72

Current Price

$64.38

$3.34 discount

UndervaluedFair: $67.72Overvalued
MKC-VUndervalued (+81.0%)

Margin of Safety

+81.0%

Fair Value

$379.48

Current Price

$48.96

$330.52 discount

UndervaluedFair: $379.48Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DAR1 strengths · Avg: 8.0/10
Price/BookValuation
2.2x8/10

Reasonable price relative to book value

MKC-V6 strengths · Avg: 9.0/10
P/E RatioValuation
8.3x10/10

Attractively priced relative to earnings

EPS GrowthGrowth
528.0%10/10

Earnings expanding 528.0% YoY

Return on EquityProfitability
25.4%9/10

Every $100 of equity generates 25 in profit

Profit MarginProfitability
23.1%9/10

Keeps 23 of every $100 in revenue as profit

Price/BookValuation
1.9x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
16.7%8/10

16.7% revenue growth

Areas to Watch

DAR4 concerns · Avg: 2.8/10
Return on EquityProfitability
1.5%3/10

ROE of 1.5% — below average capital efficiency

Profit MarginProfitability
3.5%3/10

3.5% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
4.312/10

Expensive relative to growth rate

MKC-V1 concerns · Avg: 4.0/10
PEG RatioValuation
1.954/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : DAR

The strongest argument for DAR centers on Price/Book. Revenue growth of 12.3% demonstrates continued momentum.

Bull Case : MKC-V

The strongest argument for MKC-V centers on P/E Ratio, EPS Growth, Return on Equity. Profitability is solid with margins at 23.1% and operating margin at 14.3%. Revenue growth of 16.7% demonstrates continued momentum.

Bear Case : DAR

The primary concerns for DAR are Return on Equity, Profit Margin, Piotroski F-Score. A P/E of 46.2x leaves little room for execution misses. Thin 3.5% margins leave little buffer for downturns.

Bear Case : MKC-V

The primary concerns for MKC-V are PEG Ratio.

Key Dynamics to Monitor

DAR profiles as a value stock while MKC-V is a growth play — different risk/reward profiles.

DAR carries more volatility with a beta of 1.08 — expect wider price swings.

MKC-V is growing revenue faster at 16.7% — sustainability is the question.

DAR generates stronger free cash flow (284M), providing more financial flexibility.

Bottom Line

MKC-V scores higher overall (74/100 vs 45/100), backed by strong 23.1% margins and 16.7% revenue growth. DAR offers better value entry with a 26.7% margin of safety. Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Darling Ingredients Inc

CONSUMER DEFENSIVE · PACKAGED FOODS · USA

Darling Ingredients Inc. develops, produces and sells natural ingredients from edible and non-edible bio-nutrients. The company is headquartered in Irving, Texas.

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McCormick & Company Incorporated

CONSUMER DEFENSIVE · PACKAGED FOODS · USA

McCormick & Company is an American multinational food company that manufactures, markets, and distributes spices, seasoning mixes, condiments, and other flavoring products to retail outlets, food manufacturers, and foodservice businesses.

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