Marzetti Company (MZTI) AI Stock Analysis

• Market Cap: $4.59B
• Dividend Yield: 2.31%
• Average Volume (3M): 142.54K
• Price to Earnings (P/E): 26.6
• Beta (1Y): 0.21
• Revenue Growth: 3.16%
• EPS Growth: 6.47%
• Country: US
• Employees: 3,400
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Packaged Foods
• EPS (TTM): 1.74
• Shares Outstanding: 27,486,000
• 10 Day Avg. Volume: 177,571
• 30 Day Avg. Volume: 142,543
• PEG Ratio: 5.28
• Price to Book (P/B): 4.75
• Price to Sales (P/S): 2.49
• P/FCF Ratio: 23.32
• Enterprise Value/Market Cap: 1.00
• Enterprise Value/Revenue: 2.38
• Enterprise Value/Gross Profit: 9.94
• Enterprise Value/Ebitda: 15.63
• 1Y Price Target: $190.00
• Price Target Upside: 13.64% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 4
• EPS Forecast (FY): 7.03
• Revenue Forecast (FY): $1.95B

• Rating: 70 Outperform
• Price Target: $174.00 ▲(4.07% Upside)

Marzetti Company's overall stock score is driven by its strong financial performance and positive earnings call, which highlight its robust financial health and growth potential. However, the bearish technical indicators and relatively high valuation suggest caution. The positive corporate events provide additional support to the stock's outlook.

Positive Factors

Revenue Growth

Sustained revenue growth indicates strong market demand and effective sales strategies, supporting long-term business expansion.

Cash Flow Generation

Strong cash flow generation enhances financial flexibility, enabling investment in growth opportunities and shareholder returns.

Dividend Stability

Consistent dividend growth reflects financial stability and commitment to returning value to shareholders, reinforcing investor confidence.

Negative Factors

Increased SG&A Expenses

Rising SG&A expenses could pressure profit margins, potentially impacting long-term profitability if not managed effectively.

Restructuring Costs

Restructuring costs can temporarily impact earnings, and ongoing adjustments may signal operational inefficiencies needing resolution.

Debt Increase

An increase in debt, despite being low, requires monitoring as it could affect financial flexibility and leverage ratios over time.

Marzetti Company Business Overview & Revenue Model

Company Description

Marzetti Company, a subsidiary of the Lancaster Colony Corporation, is a leading manufacturer of premium food products in the United States, specializing in dressings, sauces, dips, and snacks. The company operates primarily in the food sector, focusing on the retail and foodservice markets. Known for its quality and innovation, Marzetti offers a wide range of products under well-recognized brands, including Marzetti® dressings, Olive Garden® dressings, and Newman's Own® products, catering to both consumer preferences and professional culinary needs.

How the Company Makes Money

Marzetti Company generates revenue through the sale of its diverse food products across multiple channels, including grocery stores, restaurants, and foodservice distributors. The company's primary revenue streams include retail sales of dressings, sauces, and dips, as well as foodservice sales to restaurants and other commercial kitchens. Marzetti also benefits from strategic partnerships with well-known brands and franchises, enabling access to a broader customer base and enhancing brand visibility. Additionally, the company invests in marketing and product innovation, which helps drive sales growth and maintain competitive advantage in the food industry.

Marzetti Company Financial Statement Overview

Summary

Marzetti Company demonstrates strong financial performance with consistent revenue growth, solid profitability margins, and robust cash flow generation. The low leverage and high return on equity highlight the company's financial stability and efficient capital management. While the increase in debt levels should be monitored, the company's overall financial health is strong, positioning it well for future growth.

Income Statement

Marzetti Company shows strong financial performance with consistent revenue growth and improving profit margins. The TTM data indicates a gross profit margin of 23.87% and a net profit margin of 8.77%, both of which are healthy for the packaged foods industry. The EBIT and EBITDA margins are also robust at 11.81% and 15.06%, respectively. The revenue growth rate of 1.41% in the TTM period suggests steady expansion, although slightly slower compared to previous periods.

Balance Sheet

The company's balance sheet is solid, with a low debt-to-equity ratio of 0.056, indicating conservative leverage. The return on equity (ROE) is strong at 17.08%, reflecting efficient use of equity capital. The equity ratio stands at a healthy level, suggesting a stable financial position. However, the slight increase in total debt over recent periods warrants monitoring.

Cash Flow

Marzetti's cash flow performance is commendable, with a significant free cash flow growth rate of 27.21% in the TTM period. The operating cash flow to net income ratio is 1.40, indicating strong cash generation relative to net income. The free cash flow to net income ratio of 0.95 further underscores the company's ability to convert earnings into cash. Overall, the cash flow metrics suggest a healthy liquidity position.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.94B	1.91B	1.87B	1.82B	1.68B	1.47B
Gross Profit	463.64M	455.65M	432.30M	388.57M	355.72M	386.72M
EBITDA	294.86M	287.59M	270.13M	217.69M	189.50M	225.87M
Net Income	169.83M	167.35M	158.61M	111.29M	89.59M	142.33M
Balance Sheet
Total Assets	1.28B	1.27B	1.21B	1.11B	1.09B	1.10B
Cash, Cash Equivalents and Short-Term Investments	124.56M	161.48M	163.44M	88.47M	60.28M	188.06M
Total Debt	41.82M	55.55M	57.67M	29.99M	36.23M	33.27M
Total Liabilities	280.36M	276.23M	281.16M	250.73M	245.69M	258.14M
Stockholders Equity	996.25M	998.50M	925.77M	862.27M	844.69M	843.15M
Cash Flow
Free Cash Flow	298.84M	203.50M	183.98M	135.72M	-30.16M	86.32M
Operating Cash Flow	311.11M	261.50M	251.55M	225.90M	101.81M	174.19M
Investing Cash Flow	-147.10M	-148.21M	-67.43M	-90.78M	-132.24M	-88.98M
Financing Cash Flow	-116.92M	-115.26M	-109.15M	-106.93M	-97.34M	-95.43M

Marzetti Company Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 167.19
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MZTI, the sentiment is Negative. The current price of 167.19 is above the 20-day moving average (MA) of 165.83, above the 50-day MA of 166.35, and below the 200-day MA of 171.76, indicating a neutral trend. The MACD of 0.71 indicates Negative momentum. The RSI at 49.63 is Neutral, neither overbought nor oversold. The STOCH value of 67.80 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for MZTI.

Marzetti Company Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MZTI	70 Outperform	$4.59B	26.57	17.25%	2.31%	3.16%	6.47%
FLO	69 Neutral	$2.31B	11.74	13.73%	9.15%	0.26%	-19.45%
BRBR	67 Neutral	$3.49B	17.85	―	―	16.05%	-10.17%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
CPB	60 Neutral	$8.51B	14.32	14.82%	5.64%	2.71%	4.90%
CAG	52 Neutral	$8.26B	-82.51	-1.16%	7.87%	-5.82%	-119.70%
SJM	49 Neutral	$10.53B	―	-17.44%	4.45%	-0.66%	-326.55%

Marzetti Company Corporate Events

Marzetti Company Approves 2025 Incentive Plan, Declares Dividend

At the annual meeting on November 19, 2025, The Marzetti Company‘s shareholders approved the 2025 Omnibus Incentive Plan and reelected four directors. The Board of Directors also declared a quarterly cash dividend of $1.00 per share, highlighting the company’s strong financial position and marking the 250th consecutive quarterly dividend since 1963.