McCormick & Company, Incorporated

MKC
Consumer DefensiveDividend Aristocrat
$47.80
3.89%Undervalued

McCormick & Company, Incorporated (MKC) is a Consumer Defensive company that currently yields 3.89% — historically undervalued based on 10 years of dividend yield history. The Weiss valuation model places the undervaluation threshold at $73.36 and the overvaluation threshold at $119.53. McCormick & Company, Incorporated holds a quality score of 75/100 (Good), reflecting 25 consecutive years of dividend growth with a 30% payout ratio. The 5-year dividend CAGR stands at 7.6%.

MKC Dividend Yield History — Weiss Valuation

Underval. $73.36Overval. $119.53

Distance to undervalued

In undervalued territory

Price sits 34.8% below the Weiss buy zone ceiling

The current yield already clears the historical undervaluation threshold. The next question is whether the dividend quality and payout profile deserve that higher yield.

Zone ceiling

$73.36

Current yield

3.89%

Research checklist

What to clear before buying the yield

Updated May 25, 2026

Dividend durability

25Y

Long dividend history supports a deeper look.

Earnings payout

30%

Earnings coverage leaves room for noise.

Cash payout

131%

Confirm cash conversion and one-off effects.

Dividend growth

7.6%

Recent growth adds income compounding potential.

What changed

What changed since the last update

2026-05-232026-05-25

No major change in signal, yield, price, quality, or payout since the last update.

Why Now?

McCormick & Company, Incorporated is trading near its historical undervaluation band.

Current yield 3.9% vs historical max 2.7% (142% of maximum).

14 consecutive years without a dividend cut.

Conservative payout ratio of 30%.

What matters now

Read the signal before the headline yield

Valuation is the invitation here: the yield is elevated versus its own history.

The 75/100 quality score calls for selective follow-up, not autopilot.

Free cash flow payout is above 100%, so cash coverage is the first risk to unpack.

MKC Dividend Income Projection — DRIP Compounder

Dividend Compounder (DRIP)

$

Year 1 Income

$419

Year 10 Income

$1,334

Yield on Cost

14.42%

Total Income

$7,814

Assumes dividends reinvested at current price. Simplified model — for illustrative purposes only.

More research

Full price history & technical analysis

TradingView ↗

Fundamentals, valuation & analyst ratings

FinViz ↗

Moat rating & analyst fair value

Morningstar ↗

MKC Dividend Quality Score

Quality Score

75/ 100

Good

Payout Ratio25/25
Dividend Streak20/25
Growth (CAGR 5Y)15/20
Yield vs History15/15
FCF Coverage0/15

Key Metrics

Current Price$47.80
Annual Dividend$1.86
Current Yield3.89%
Yield — Max (10Y)2.73%
Yield — Min (10Y)1.59%
Undervalued Below$73.36
Overvalued Above$119.53
Payout Ratio30.00%
CAGR Dividend 5Y7.6%
CAGR Dividend 10Y8.4%
Years No Cut14y
In the buy zone

MKC is historically undervalued. Ready to add it to your portfolio?

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25
consecutive years of dividend growth