WallStSmart

McCormick & Company Incorporated (MKC)vsTreehouse Foods Inc (THS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

McCormick & Company Incorporated generates 113% more annual revenue ($7.11B vs $3.34B). MKC leads profitability with a 23.1% profit margin vs -0.1%. THS appears more attractively valued with a PEG of 0.30. MKC earns a higher WallStSmart Score of 80/100 (A-).

MKC

Exceptional Buy

80

out of 100

Grade: A-

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

THS

Buy

60

out of 100

Grade: C+

Growth: 5.3Profit: 3.0Value: 8.3Quality: 4.0
Piotroski: 3/9Altman Z: 1.31
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

MKCUndervalued (+25.2%)

Margin of Safety

+25.2%

Fair Value

$94.33

Current Price

$47.24

$47.09 discount

UndervaluedFair: $94.33Overvalued
THSUndervalued (+58.5%)

Margin of Safety

+58.5%

Fair Value

$58.84

Current Price

$24.43

$34.41 discount

UndervaluedFair: $58.84Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

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

THS2 strengths · Avg: 10.0/10
PEG RatioValuation
0.3010/10

Growing faster than its price suggests

Price/BookValuation
1.0x10/10

Reasonable price relative to book value

Areas to Watch

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

THS4 concerns · Avg: 3.3/10
Revenue GrowthGrowth
0.0%4/10

0.0% revenue growth

Market CapQuality
$1.23B3/10

Smaller company, higher risk/reward

Operating MarginProfitability
0.1%3/10

Operating margin of 0.1%

Debt/EquityHealth
1.293/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

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.

Bull Case : THS

The strongest argument for THS centers on PEG Ratio, Price/Book. PEG of 0.30 suggests the stock is reasonably priced for its growth.

Bear Case : MKC

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

Bear Case : THS

The primary concerns for THS are Revenue Growth, Market Cap, Operating Margin.

Key Dynamics to Monitor

MKC profiles as a growth stock while THS is a turnaround play — different risk/reward profiles.

MKC carries more volatility with a beta of 0.64 — expect wider price swings.

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

MKC generates stronger free cash flow (18M), providing more financial flexibility.

Bottom Line

MKC scores higher overall (80/100 vs 60/100), backed by strong 23.1% margins and 16.7% revenue growth. THS offers better value entry with a 58.5% margin of safety. Both earn "Exceptional 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.

Treehouse Foods Inc

CONSUMER DEFENSIVE · PACKAGED FOODS · USA

TreeHouse Foods, Inc. manufactures and distributes private label packaged foods and beverages in the United States and internationally. The company is headquartered in Oak Brook, Illinois.

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