WallStSmart

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

VS

Smart Verdict

WallStSmart Research — data-driven comparison

McCormick & Company Incorporated generates 13% more annual revenue ($7.11B vs $6.31B). MKC leads profitability with a 23.1% profit margin vs 3.5%. MKC appears more attractively valued with a PEG of 1.88. MKC earns a higher WallStSmart Score of 80/100 (A-).

DAR

Hold

46

out of 100

Grade: D+

Growth: 3.3Profit: 4.5Value: 4.0Quality: 6.0
Piotroski: 5/9Altman Z: 1.86

MKC

Exceptional Buy

80

out of 100

Grade: A-

Growth: 7.3Profit: 7.0Value: 7.3Quality: 5.0
Piotroski: 4/9Altman Z: 1.58
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DARUndervalued (+14.9%)

Margin of Safety

+14.9%

Fair Value

$58.29

Current Price

$59.45

$1.16 discount

UndervaluedFair: $58.29Overvalued
MKCUndervalued (+25.2%)

Margin of Safety

+25.2%

Fair Value

$94.33

Current Price

$47.24

$47.09 discount

UndervaluedFair: $94.33Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DAR1 strengths · Avg: 8.0/10
Price/BookValuation
1.9x8/10

Reasonable price relative to book value

MKC6 strengths · Avg: 9.0/10
P/E RatioValuation
8.0x10/10

Attractively priced relative to earnings

EPS GrowthGrowth
528.0%10/10

Earnings expanding 528.0% YoY

Return on EquityProfitability
23.5%9/10

Every $100 of equity generates 24 in profit

Profit MarginProfitability
23.1%9/10

Keeps 23 of every $100 in revenue as profit

Price/BookValuation
1.8x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
16.7%8/10

16.7% revenue growth

Areas to Watch

DAR4 concerns · Avg: 3.0/10
Altman Z-ScoreHealth
1.864/10

Grey zone — moderate risk

Return on EquityProfitability
4.6%3/10

ROE of 4.6% — below average capital efficiency

Profit MarginProfitability
3.5%3/10

3.5% margin — thin

PEG RatioValuation
4.312/10

Expensive relative to growth rate

MKC2 concerns · Avg: 4.0/10
PEG RatioValuation
1.884/10

Expensive relative to growth rate

Altman Z-ScoreHealth
1.584/10

Distress zone — elevated risk

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

The strongest argument for MKC 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 Altman Z-Score, Return on Equity, Profit Margin. A P/E of 41.3x leaves little room for execution misses. Thin 3.5% margins leave little buffer for downturns.

Bear Case : MKC

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

Key Dynamics to Monitor

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

DAR carries more volatility with a beta of 1.03 — expect wider price swings.

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

DAR generates stronger free cash flow (58M), providing more financial flexibility.

Bottom Line

MKC scores higher overall (80/100 vs 46/100), backed by strong 23.1% margins and 16.7% revenue growth. Both earn "Exceptional 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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