McCormick Valuation
Is MKCV * undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
0/6Valuation Score 0/6
Below Fair Value
Significantly Below Fair Value
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Analyst Forecast
Share Price vs Fair Value
What is the Fair Price of MKCV * when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: MKCV * (MX$1365.08) is trading above our estimate of fair value (MX$836.37)
Significantly Below Fair Value: MKCV * is trading above our estimate of fair value.
Key Valuation Metric
Which metric is best to use when looking at relative valuation for MKCV *?
Key metric: As MKCV * is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.
| What is MKCV *'s PE Ratio? | |
|---|---|
| PE Ratio | 36.4x |
| Earnings | US$666.20m |
| Market Cap | US$24.32b |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 4.6x |
| Enterprise Value/EBITDA | 26.3x |
| PEG Ratio | 3.6x |
Price to Earnings Ratio vs Peers
How does MKCV *'s PE Ratio compare to its peers?
| Company | Forward PE | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 14.7x | ||
BIMBO A Grupo Bimbo. de | 20.9x | 20.6% | Mex$265.3b |
GRUMA B Gruma. de | 12.6x | 7.0% | Mex$125.6b |
BACHOCO B Industrias Bachoco. de | 14x | n/a | Mex$50.9b |
BAFAR B Grupo Bafar. de | 11.4x | n/a | Mex$36.3b |
MKCV * McCormick | 36.4x | 9.4% | Mex$24.3b |
Price-To-Earnings vs Peers: MKCV * is expensive based on its Price-To-Earnings Ratio (36.4x) compared to the peer average (13.3x).
Price to Earnings Ratio vs Industry
How does MKCV *'s PE Ratio compare vs other companies in the South American Food Industry?
| 2 Companies | Price / Earnings | Estimated Growth | Market Cap |
|---|---|---|---|
| 2 Companies | Estimated Growth | Market Cap | |
|---|---|---|---|
Price-To-Earnings vs Industry: MKCV * is expensive based on its Price-To-Earnings Ratio (36.4x) compared to the South American Food industry average (10.6x).
Price to Earnings Ratio vs Fair Ratio
What is MKCV *'s PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
| Fair Ratio | |
|---|---|
| Current PE Ratio | 36.4x |
| Fair PE Ratio | 23.2x |
Price-To-Earnings vs Fair Ratio: MKCV * is expensive based on its Price-To-Earnings Ratio (36.4x) compared to the estimated Fair Price-To-Earnings Ratio (23.2x).
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
Analyst Forecast: Insufficient data to show price forecast.
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