WallStSmart

McCormick & Company Incorporated (MKC)vsThe J. M. Smucker Company (SJM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

The J. M. Smucker Company generates 24% more annual revenue ($9.16B vs $7.39B). MKC leads profitability with a 21.9% profit margin vs 2.5%. SJM appears more attractively valued with a PEG of 1.68. MKC earns a higher WallStSmart Score of 67/100 (B-).

MKC

Strong Buy

67

out of 100

Grade: B-

Growth: 4.7Profit: 7.5Value: 7.3Quality: 5.0
Piotroski: 4/9Altman Z: 1.58

SJM

Buy

51

out of 100

Grade: C-

Growth: 4.0Profit: 5.0Value: 4.0Quality: 3.5
Piotroski: 4/9Altman Z: 0.88
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

MKCUndervalued (+26.7%)

Margin of Safety

+26.7%

Fair Value

$96.17

Current Price

$51.32

$44.85 discount

UndervaluedFair: $96.17Overvalued
SJMUndervalued (+14.2%)

Margin of Safety

+14.2%

Fair Value

$129.41

Current Price

$121.14

$8.27 discount

UndervaluedFair: $129.41Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MKC5 strengths · Avg: 8.8/10
P/E RatioValuation
8.6x10/10

Attractively priced relative to earnings

Return on EquityProfitability
23.3%9/10

Every $100 of equity generates 23 in profit

Profit MarginProfitability
21.9%9/10

Keeps 22 of every $100 in revenue as profit

Price/BookValuation
2.0x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
16.7%8/10

16.7% revenue growth

SJM1 strengths · Avg: 8.0/10
Price/BookValuation
2.3x8/10

Reasonable price relative to book value

Areas to Watch

MKC3 concerns · Avg: 3.3/10
PEG RatioValuation
2.024/10

Expensive relative to growth rate

Altman Z-ScoreHealth
1.584/10

Distress zone — elevated risk

EPS GrowthGrowth
-14.2%2/10

Earnings declined 14.2%

SJM4 concerns · Avg: 3.0/10
PEG RatioValuation
1.684/10

Expensive relative to growth rate

Profit MarginProfitability
2.5%3/10

2.5% margin — thin

Debt/EquityHealth
1.283/10

Elevated debt levels

P/E RatioValuation
58.3x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : MKC

The strongest argument for MKC centers on P/E Ratio, Return on Equity, Profit Margin. Profitability is solid with margins at 21.9% and operating margin at 17.4%. Revenue growth of 16.7% demonstrates continued momentum.

Bull Case : SJM

The strongest argument for SJM centers on Price/Book.

Bear Case : MKC

The primary concerns for MKC are PEG Ratio, Altman Z-Score, EPS Growth.

Bear Case : SJM

The primary concerns for SJM are PEG Ratio, Profit Margin, Debt/Equity. A P/E of 58.3x leaves little room for execution misses. Thin 2.5% margins leave little buffer for downturns.

Key Dynamics to Monitor

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

MKC carries more volatility with a beta of 0.63 — expect wider price swings.

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

SJM generates stronger free cash flow (484M), providing more financial flexibility.

Bottom Line

MKC scores higher overall (67/100 vs 51/100), backed by strong 21.9% margins and 16.7% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

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

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.

The J. M. Smucker Company

CONSUMER DEFENSIVE · PACKAGED FOODS · USA

The J. M. Smucker Company, also known as Smucker and Smucker's, is an American manufacturer of jam, peanut butter, jelly, fruit syrups, beverages, shortening, ice cream toppings, and other products in North America. Smucker's headquarters are located in Orrville, Ohio.

Want to dig deeper into these stocks?