❉ Buffybot wonderful businesses, fair prices

← back

MKC McCormick & Company

consumer_staples · 2026-10-16

N/A
too hard · 60
Owner-earnings value$59.14
Price$45.71
Margin of safety +29.4%

Quality gate · 60/100

Returns on capital 7.1/30
Consistency 21.2/22
Margins / pricing power 11.1/16
Balance sheet 6.7/16
Cash conversion 9.7/10
Capital allocation 4.5/6

⚠ sub-hurdle returns (median roic 9% < 9%)

Median ROIC8.6%
Gross margin38.6%
Net debt / EBITDA2.9x
FCF conversion94%
Share count / yr+0.1%
Profitable years4/4

Moat & management

Owner-earnings inputs

Owner earnings (TTM)1.02B
Owner-earnings yield8.3%
Free-cash-flow yield8.3%
Growth used (normalized)0.7%
Market-implied growth (reverse DCF)-5.3%
Terminal growth3.0%
Discount rate (hurdle)9.0%

Projected owner earnings

YrOwner earningsGrowthPV
11.03B 0.7%942.59M
21.04B 1.0%873.32M
31.05B 1.2%811.15M
41.07B 1.5%755.28M
51.08B 1.7%704.99M
61.11B 2.0%659.69M
71.13B 2.2%618.81M
81.16B 2.5%581.89M
91.19B 2.7%548.52M
101.23B 3.0%518.33M

⚠ maintenance capex ≈ min(capex, D&A), capped at FCF · Price pays for ~-5%/yr owner-earnings growth over 10y (reverse DCF); model credits 1%. Capped at market + 6pts.

History

DateQualityPriceValueMoSRating
2026-10-16 60 $45.71 $59.14 +29.4% N/A
2026-09-07 60 $52.08 $63.79 +22.5% N/A
2026-07-29 60 $51.53 $63.79 +23.8% N/A
2026-07-02 60 $52.91 $63.79 +20.6% N/A
2026-06-25 60 $47.60 $42.55 -10.6% N/A
2026-06-23 60 $47.38 $42.55 -10.2% N/A