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McCormick & Co Inc (NYSE:MKC)
Shiller PE Ratio
33.41 (As of Today)

As of today, McCormick & Co Inc's current share price is $99.90. McCormick & Co Inc's E10 for the quarter that ended in Feb. 2017 was $2.99. McCormick & Co Inc's Shiller P/E Ratio for today is 33.41.

MKC' s Shiller PE Ratio Range Over the Past 10 Years
Min: 18.44   Max: 38.34
Current: 33.39

18.44
38.34

During the past 13 years, McCormick & Co Inc's highest Shiller P/E Ratio was 38.34. The lowest was 18.44. And the median was 27.57.

MKC's Shiller PE Ratio is ranked lower than
56% of the 264 Companies
in the Global Packaged Foods industry.

( Industry Median: 28.51 vs. MKC: 33.39 )

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller P/E calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years.

McCormick & Co Inc's adjusted earnings per share data for the three months ended in Feb. 2017 was $0.740. Add all the adjusted EPS for the past 10 years together and divide 10 will get our E10, which is $2.99 for the trailing ten years ended in Feb. 2017.


Definition

For the Shiller P/E, the earnings of the past 10 years are inflation-adjusted and averaged. The result is used for P/E calculation. Since it looks at the average over the last 10 years, the Shiller P/E is also called PE10.

The Shiller P/E was first used by professor Robert Shiller to measure the valuation of the overall market. The same calculation is applied here to individual companies.

McCormick & Co Inc's Shiller P/E Ratio for today is calculated as

Shiller P/E Ratio=Share Price/E10
=99.90/2.99
=33.41

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

McCormick & Co Inc's E10 for the fiscal year that ended in Nov16 is calculated as:

For example, McCormick & Co Inc's adjusted earnings per share data for the three months ended in Feb. 2017 was:

Adj_EPS=Earnigns per Share/CPI of Feb. 2017 (Change)*Current CPI (Feb. 2017)
=0.74/243.603*243.603
=0.740

Current CPI (Feb. 2017) = 243.603.

McCormick & Co Inc Quarterly Data

201411201502201505201508201511201602201605201608201611201702
per share eps 1.1300.5500.6500.7601.1600.7300.7301.0001.2300.740
CPI 236.151234.722237.805238.316237.336237.111240.229240.849241.353243.603
Adj_EPS 1.1660.5710.6660.7771.1910.7500.7401.0111.2410.740
201205201208201211201302201305201308201311201402201405201408
per share eps 0.6000.7801.1100.5700.5900.7800.9700.6200.6400.940
CPI 229.815230.379230.221232.166232.945233.877233.069234.781237.900237.852
Adj_EPS 0.6360.8251.1750.5980.6170.8121.0140.6430.6550.963
200911201002201005201008201011201102201105201108201111201202
per share eps 0.8800.5100.4900.7600.9900.5700.5500.6900.9800.550
CPI 216.330216.741218.178218.312218.803221.309225.964226.545226.230227.663
Adj_EPS 0.9910.5730.5470.8481.1020.6270.5930.7421.0550.589
200705200708200711200802200805200808200811200902200905200908
per share eps 0.3100.4300.6600.3900.4100.5200.6200.4400.3800.570
CPI 207.949207.917210.177211.693216.632219.086212.425212.193213.856215.834
Adj_EPS 0.3630.5040.7650.4490.4610.5780.7110.5050.4330.643

Add all the adjusted EPS together and divide 10 will get our E10.


Explanation

Compared with the regular P/E ratio, which works poorly for cyclical businesses, the Shiller P/E smoothed out the fluctuations of profit margins during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Shiller P/E should give similar results to regular P/E.

Compared with the P/S ratio, the Shiller P/E makes the comparison between different industries more meaningful.


Be Aware

The Shiller P/E assumes that over the long term, businesses and profitability revert to their means. If a company’s business model does not work in the future compared with the past, the Shiller P/E and P/S ratio will give false valuations.


Related Terms

P/E Ratio, P/B Ratio, P/S Ratio, Price-to-Free-Cash-Flow ratio, E10


Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

McCormick & Co Inc Annual Data

Nov07Nov08Nov09Nov10Nov11Nov12Nov13Nov14Nov15Nov16
ShillerPE 27.0319.5121.1323.7323.5428.6929.0528.9831.9930.84

McCormick & Co Inc Quarterly Data

Nov14Feb15May15Aug15Nov15Feb16May16Aug16Nov16Feb17
ShillerPE 28.9829.4130.0229.6531.9933.9634.7835.3930.8432.89
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