At a glance
McCormick & Company Incorporated is worth $13.14B, about 17 times its fiscal 2025 earnings. Revenue grew 1.7% to $6.84B in fiscal 2025, with 11.5% kept as profit; over 5 years it has grown 4.1% a year. It pays a 3.93% dividend yield, raised every year for at least 7 years, and returned $2.28B to shareholders in dividends and buybacks over FY2021–FY2025. The stock returned −21.1% over the past year with dividends reinvested and −7.5% a year over five years, against +11.5% and +11.7% for the S&P 500. At its worst it fell 30.6% in the 2020 crash (S&P 500: 33.7%) and 31.3% in the 2022 bear market (S&P 500: 24.5%).
The business in plain English
McCormick makes and sells herbs, spices, seasoning mixes, condiments and other flavor products. It sells to retailers, food manufacturers and foodservice businesses such as restaurants, and its brands reach consumers in about 150 countries and territories. Its brands include McCormick, French's, Frank's RedHot, Lawry's, Cholula, OLD BAY, Zatarain's, Ducros, Schwartz and Vahiné. It also makes store-brand (private label) products for retailers.
There are two segments. Consumer sells branded spices, seasonings, condiments and sauces through grocery stores, mass merchants, warehouse clubs and online. In the fiscal year ended November 30, 2025, it brought in about 58% of $6.84 billion in net sales and 67% of operating income (profit from the core business). Flavor Solutions sells custom seasoning blends, coatings and flavors that food manufacturers and foodservice operators use in their own products. It made about 42% of sales but only 33% of operating income, because its margins are lower.
The United States made up about 61% of sales. Europe, the Middle East and Africa made up about 18.5%, and other countries about 20.5%. In fiscal 2025, Walmart and PepsiCo each accounted for about 12% of total sales. On January 2, 2026, McCormick paid $750 million for another 25% of McCormick de Mexico, raising its stake to a 75% controlling interest. That business sells mayonnaise, spices, mustard, hot sauce and tea.
Price history
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MKC -21.1% over the year to Nov 2, 2026, total return with dividends reinvested.
How it makes money
By business segment
| Consumer | $3.95B | 57.8% |
| Flavor Solutions | $2.89B | 42.2% |
By geography
| United States | $4.17B | 60.9% |
| Other Countries | $1.40B | 20.5% |
| EMEA | $1.27B | 18.5% |
Latest results
- In Q3 FY2026 (ended Aug 31, 2026), revenue was $2.02B, up 17.4% from a year earlier, and net income was $97.6M (-56.7%).
- For fiscal 2025, revenue was $6.84B (+1.7% year over year; +4.1% a year from FY2020 to FY2025) with a 11.5% net margin.
Financial health check
| Revenue growth a year (FY2020–FY2025) | +4.1% watch |
|---|---|
| Operating margin | 15.7% good |
| Free cash flow margin | 10.8% good |
| Return on equity (FY2025) | 13.8% watch |
| Return on assets (FY2025) | 6% watch |
| Net cash (cash minus debt) | $-4.69B weak |
| Fiscal year | Revenue | Net income | Free cash flow |
|---|---|---|---|
| FY2020 | $5.60B | $747.4M | $816.0M |
| FY2021 | $6.32B | $755.3M | $550.3M |
| FY2022 | $6.35B | $682.0M | $389.5M |
| FY2023 | $6.66B | $680.6M | $973.4M |
| FY2024 | $6.72B | $788.5M | $647.0M |
| FY2025 | $6.84B | $789.4M | $740.4M |
Valuation snapshot
| Market value | $13.14B |
|---|---|
| P/E ratio | 16.7 |
| Dividend yield | 3.93% |
Rank among 1514 US companies
Price behavior
| YTD | 1 yr | 3 yr | 5 yr | 10 yr | |
|---|---|---|---|---|---|
| MKC price data to Nov 2, 2026 | -26.2% | -21.1% | -6.4% | -7.5% | +2.4% |
Show as a table
| Year | Price data |
|---|---|
| 2026 (to date) | -26.2% |
| 2025 | -8.3% |
| 2024 | +14.0% |
| 2023 | -15.7% |
| 2022 | -12.7% |
| 2021 | +2.7% |
| 2020 | +14.7% |
| 2019 | +23.6% |
| 2018 | +39.0% |
| 2017 | +11.3% |
| 2016 | +11.1% |
| 2015 | +17.5% |
| 2014 | +10.1% |
| 2013 | +10.7% |
| 2012 | +28.7% |
| 2011 | +11.0% |
| 2010 | +32.2% |
| 2009 | +16.8% |
| 2008 | -13.8% |
| 2007 | +0.5% |
| 2006 | +26.3% |
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Lost 14.2% over that stretch · deepest drop along the way 31%, back to its old high 18.8 months after the low |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Lost 30.6% over that stretch · deepest drop along the way 30.6%, back to its old high 1.5 months after the low |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Lost 21.2% over that stretch · deepest drop along the way 31.3%, not recovered by the end of the data |
Insider activity
Form 4 filings from 2025-10-29 to 2026-10-29 (25 read): 2 open-market purchases ($100K) and 1 sales ($10.8M).
| Date | Insider | Type | Value |
|---|---|---|---|
| Aug 10, 2026 | Lawrence Erik Kurzius 10% owner | sell | $10.8M |
| Jul 23, 2026 | Michael Aaron Conway Director | buy | $55K |
| Oct 2, 2026 | Gavin Hattersley Director | buy | $45K |
Who owns it
Large shareholders (13G filings)
| Vanguard Capital Management | 7.53% | Mar 31, 2026 |
| Vanguard Portfolio Management | 5.47% | Mar 31, 2026 |
| Fundsmith LLP | 0.8% | Sep 30, 2024 |
ETFs with the most weight in MKC
| DIVL Madison Dividend Value ETF | 2.93% |
| ANEW ProShares MSCI Transformational Changes ETF | 2.13% |
| UPGD Invesco Bloomberg Analyst Rating Improvers ETF | 2.1% |
| CVAR Cultivar ETF | 1.84% |
| KNG FT Vest S&P 500 Dividend Aristocrats Target Income ETF | 1.56% |
| NOBL ProShares S&P 500 Dividend Aristocrats ETF | 1.56% |
| VSDA VictoryShares Dividend Accelerator ETF | 1.46% |
| TMFX Motley Fool Next Index ETF | 1.26% |
What could go wrong
- A few customers drive much of sales. Walmart and PepsiCo each made up about 12% of fiscal 2025 sales, and three customers accounted for 49% of Flavor Solutions sales. Losing one, or getting worse terms from one, could hurt profits.
- Spice and ingredient costs swing with harvests. Pepper, garlic, onion, paprika, dairy and soybean oil are farm products whose prices move with weather and trade. Price increases can lag behind cost jumps, and higher prices can cut sales volume.
- Tariffs and trade policy on imported spices. Pepper and many other spices and herbs come from outside the U.S. The company says changes in global trade policies have already affected its results and may keep doing so.
- Shoppers switching to store brands. The Consumer segment, built on brands like McCormick and French's, earns about 67% of operating income. If shoppers or retailers move to store brands or rival brands, that profit could shrink.
- Acquisitions and the debt behind them. McCormick spent $750 million on more of McCormick de Mexico in January 2026. Deals can disappoint. Debt was about $5.02 billion against $331 million of cash as of August 31, 2026, so interest rates matter.
- Currency swings on overseas sales. The U.S. made up about 61% of fiscal 2025 sales, and much of the rest is earned in other currencies. A stronger dollar shrinks those sales and profits when they are converted into dollars.
Recent events
- Quarterly results released
- Change of auditor
- Executive or board change
- Quarterly results released
- Executive or board change
- Major agreement signed; New debt or financial obligation; Other company announcement
- Executive or board change
- Shareholder vote results
- Major agreement signed; Investor presentation or announcement
- Quarterly results released
For income and retirement investors
McCormick has raised its regular dividend for at least seven years in a row. Dividends per share grew from $1.27 in fiscal 2020 to $1.83 in fiscal 2025, or about 7.6% a year. In fiscal 2025, dividends paid used about 61% of net income and 65% of free cash flow (the cash left after running the business and investing in it). That leaves some cushion. The yield was 4.17% as of October 28, 2026. Buybacks are small: $171 million over fiscal 2021–2025, compared with $2.11 billion paid in dividends.
The shares have not been a safe haven in downturns. They fell 31% in the 2008 financial crisis and took about 19 months to recover. They dropped 30.6% in the 2020 COVID crash and bounced back within about 1.5 months. From an April 2022 peak they fell 31.3% and had not recovered by October 28, 2026. The price fell 30.4% from the start of 2026 to that date. Single stocks carry more risk than diversified funds.
Questions investors ask
How does McCormick make money?
McCormick makes money selling flavor. Its Consumer segment sells branded spices, seasonings, condiments and sauces, including McCormick, French's, Frank's RedHot and Cholula, to grocery stores, mass merchants, warehouse clubs and online retailers. Its Flavor Solutions segment sells custom seasoning blends, coatings and flavors to food manufacturers and foodservice operators. In the fiscal year ended November 30, 2025, Consumer produced about 58% of $6.84 billion in net sales and 67% of operating income. Flavor Solutions produced the rest.
Does McCormick raise its dividend every year?
McCormick has raised its regular dividend for at least seven years in a row. Dividends per share rose from $1.27 in fiscal 2020 to $1.83 in fiscal 2025, or about 7.6% a year. In fiscal 2025, dividends paid used about 61% of net income and 65% of free cash flow. The board decides each payment, and the annual report says dividends depend on several factors, so future increases are not guaranteed. The yield was 4.17% as of October 28, 2026.
Who are McCormick's biggest customers?
Walmart and PepsiCo are McCormick's biggest customers. Walmart, a Consumer segment customer, accounted for about 12% of total sales in each of fiscal 2023, 2024 and 2025. PepsiCo, a Flavor Solutions customer, made up about 12% in fiscal 2025 and 13% in each of the two years before. The three largest Flavor Solutions customers together accounted for 49% of that segment's sales. The company lists keeping good relationships with large customers as a risk, because losing one could hurt results.
How much debt does McCormick have?
McCormick had about $5.02 billion of total debt as of August 31, 2026, against $331 million in cash and investments. That leaves net debt of roughly $4.69 billion. Shareholders' equity was about $7.0 billion. In January 2026, the company paid $750 million to raise its stake in McCormick de Mexico to 75%. The annual report warns that higher interest rates, a lower credit rating or more borrowing for acquisitions could raise costs and reduce flexibility.
How has McCormick stock performed?
The share price has fallen sharply. As of October 28, 2026, it was down 30.4% since the start of 2026 and 27.7% over one year. It had dropped about 8.5% a year over five years. Over 10 years it rose about 1.7% a year, not counting dividends. In the quarter ended August 31, 2026, revenue grew 17.4% from a year earlier but net income fell 56.7%. The shares traded at about 15.7 times fiscal 2025 earnings.