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COST vs MKC

COST
Costco Wholesale Corporation
NEUTRAL
Price
$996.43
Market Cap
$442.28B
Sector
Consumer Defensive
AI Confidence
80%
MKC
McCormick & Company, Incorporated
NEUTRAL
Price
$50.54
Market Cap
$13.59B
Sector
Consumer Defensive
AI Confidence
85%

Valuation

P/E Ratio
COST
51.82
MKC
8.29
Forward P/E
COST
44.4
MKC
15.1
P/B Ratio
COST
13.78
MKC
1.95
P/S Ratio
COST
1.55
MKC
1.91
EV/EBITDA
COST
32.11
MKC
13.93

Profitability

Gross Margin
COST
12.93%
MKC
38.18%
Operating Margin
COST
3.74%
MKC
14.34%
Profit Margin
COST
2.99%
MKC
23.12%
ROE
COST
29.65%
MKC
25.35%
ROA
COST
8.72%
MKC
4.88%

Growth

Revenue Growth
COST
9.2%
MKC
16.7%
Earnings Growth
COST
13.9%
MKC
528.3%

Financial Health

Debt/Equity
COST
0.26
MKC
0.65
Current Ratio
COST
1.06
MKC
0.76
Quick Ratio
COST
0.54
MKC
0.29

Dividends

Dividend Yield
COST
0.52%
MKC
3.8%
Payout Ratio
COST
27.04%
MKC
30.0%

AI Verdict

COST NEUTRAL

COST shows neutral fundamentals based on deterministic rules. Financial strength is stable (F-Score 4/9). Mixed signals with both opportunities and risks present.

Strengths
Low debt with D/E ratio of 0.26
Strong ROE of 29.7%
Risks
High valuation with P/E of 51.8
Premium vs Graham Number ($176.89)
Low profit margin of 3.0%
MKC NEUTRAL

MKC presents a classic 'value trap' profile, characterized by a weak Piotroski F-Score of 3/9 and a severe technical downtrend (0/100). While the stock is fundamentally undervalued relative to its Graham Number ($59.71) and trades at a very low P/E of 8.29, the poor liquidity ratios (Quick Ratio 0.29) and declining price momentum offset the valuation appeal. Strong profitability metrics, including an ROE of 25.35%, suggest a resilient core business, but the deterministic health scores indicate significant internal operational or financial deterioration.

Strengths
Deep value valuation with a P/E of 8.29, significantly below sector average
Strong profitability with a 23.12% profit margin and 25.35% ROE
Sustainable dividend profile with a low 30% payout ratio
Risks
Weak financial health indicated by a Piotroski F-Score of 3/9
Severe liquidity risk with a Quick Ratio of 0.29 and Current Ratio of 0.76
Strongly bearish technical trend (0/100) and negative 1Y/5Y returns

Compare Another Pair

COST vs MKC: Head-to-Head Comparison

This page compares Costco Wholesale Corporation (COST) and McCormick & Company, Incorporated (MKC) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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