McCormick & Company, Incorporated (MKC) Competitors

McCormick & Company, Incorporated (NYSE:MKC) and Hormel Foods (NYSE:HRL) are both large-cap consumer staples companies, but which is the superior business? We will compare the two companies based on the strength of their dividends, risk, analyst recommendations, profitability, earnings, community ranking, media sentiment, institutional ownership and valuation.

Which has more risk and volatility, MKC or HRL?

McCormick & Company, Incorporated has a beta of 0.74, suggesting that its share price is 26% less volatile than the S&P 500. Comparatively, Hormel Foods has a beta of 0.27, suggesting that its share price is 73% less volatile than the S&P 500.

Is MKC or HRL a better dividend stock?

McCormick & Company, Incorporated pays an annual dividend of $1.68 per share and has a dividend yield of 2.2%. Hormel Foods pays an annual dividend of $1.13 per share and has a dividend yield of 3.2%. McCormick & Company, Incorporated pays out 64.1% of its earnings in the form of a dividend. Hormel Foods pays out 77.4% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Do institutionals and insiders believe in MKC or HRL?

79.7% of McCormick & Company, Incorporated shares are held by institutional investors. Comparatively, 41.0% of Hormel Foods shares are held by institutional investors. 22.9% of McCormick & Company, Incorporated shares are held by company insiders. Comparatively, 0.7% of Hormel Foods shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Does the media refer more to MKC or HRL?

In the previous week, McCormick & Company, Incorporated had 2 more articles in the media than Hormel Foods. MarketBeat recorded 10 mentions for McCormick & Company, Incorporated and 8 mentions for Hormel Foods. Hormel Foods' average media sentiment score of 0.68 beat McCormick & Company, Incorporated's score of 0.60 indicating that Hormel Foods is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
McCormick & Company, Incorporated	4 Very Positive mention(s)	2 Positive mention(s)	3 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Hormel Foods	4 Very Positive mention(s)	0 Positive mention(s)	4 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Does the MarketBeat Community favor MKC or HRL?

McCormick & Company, Incorporated received 9 more outperform votes than Hormel Foods when rated by MarketBeat users. Likewise, 57.99% of users gave McCormick & Company, Incorporated an outperform vote while only 57.73% of users gave Hormel Foods an outperform vote.

Company	Underperform	Outperform
McCormick & Company, Incorporated	Outperform Votes 457 57.99%	Underperform Votes 331 42.01%
Hormel Foods	Outperform Votes 448 57.73%	Underperform Votes 328 42.27%

Is MKC or HRL more profitable?

McCormick & Company, Incorporated has a net margin of 10.56% compared to Hormel Foods' net margin of 6.55%. McCormick & Company, Incorporated's return on equity of 14.45% beat Hormel Foods' return on equity.

Company	Net Margins	Return on Equity	Return on Assets
McCormick & Company, Incorporated	10.56%	14.45%	5.70%
Hormel Foods	6.55%	11.51%	6.64%

Do analysts recommend MKC or HRL?

McCormick & Company, Incorporated currently has a consensus price target of $77.88, indicating a potential upside of 2.83%. Hormel Foods has a consensus price target of $31.00, indicating a potential downside of 12.23%. Given McCormick & Company, Incorporated's stronger consensus rating and higher possible upside, analysts clearly believe McCormick & Company, Incorporated is more favorable than Hormel Foods.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
McCormick & Company, Incorporated	2 Sell rating(s)	5 Hold rating(s)	2 Buy rating(s)	0 Strong Buy rating(s)	2.00
Hormel Foods	2 Sell rating(s)	3 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	1.60

Which has preferable earnings and valuation, MKC or HRL?

Hormel Foods has higher revenue and earnings than McCormick & Company, Incorporated. Hormel Foods is trading at a lower price-to-earnings ratio than McCormick & Company, Incorporated, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
McCormick & Company, Incorporated	$6.70B	3.03	$680.60M	$2.62	28.90
Hormel Foods	$12.11B	1.60	$793.57M	$1.46	24.19

Summary

McCormick & Company, Incorporated beats Hormel Foods on 15 of the 20 factors compared between the two stocks.