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McCormick & Company Inc (NYSE:MKC)
PEG Ratio:
PE(NRI) Ratio / EBITDA 5-Y Growth
6.95 (As of Today)

PEG is defined as the P/E (NRI) Ratio divided by the growth ratio. The growth rate we use is the 5-year average EBITDA growth rate. As of today, McCormick & Company Inc's P/E (NRI) Ratio is 30.57. McCormick & Company Inc's 5-year average EBITDA growth rate is 4.40%. Therefore, McCormick & Company Inc's PEG for today is 6.95.

MKC' s PEG Range Over the Past 10 Years
Min: 1.46   Max: 11.43
Current: 7.11

1.46
11.43

During the past 13 years, McCormick & Company Inc's highest PEG was 11.43. The lowest was 1.46. And the median was 2.66.

MKC's PEG is ranked lower than
77% of the 519 Companies
in the Global Packaged Foods industry.

( Industry Median: 2.35 vs. MKC: 7.11 )

Peter Lynch thinks a company with a P/E (NRI) ratio equal to its growth rate is fairly valued.


Definition

PEG is defined as the P/E (NRI) Ratio divided by the growth ratio. The ratio we use is the 5-year average EBITDA growth rate.

McCormick & Company Inc's PEG for today is calculated as

PEG=P/E (NRI) Ratio/EBITDA Growth Rate (5-year average)
=30.5658362989/4.40
=6.95

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.


Explanation

To compare stocks with different growth rates, Peter Lynch invented a ratio called PEG. PEG is defined as the P/E ratio divided by the growth ratio. He thinks a company with a P/E ratio equal to its growth rate is fairly valued. Still he said he would rather buy a company growing 20% a year with a P/E of 20, instead of a company growing 10% a year with a P/E of 10.


Related Terms

P/E (NRI) Ratio, Peter Lynch Fair Value


Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

McCormick & Company Inc Annual Data

Nov06Nov07Nov08Nov09Nov10Nov11Nov12Nov13Nov14Nov15
peg 3.183.662.522.071.551.712.603.625.700.00

McCormick & Company Inc Quarterly Data

Aug13Nov13Feb14May14Aug14Nov14Feb15May15Aug15Nov15
peg 3.153.623.814.624.935.706.577.7610.300.00
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