Marzetti Company (MZTI) AI Stock Analysis

• Market Cap: $4.87B
• Dividend Yield: 2.16%
• Average Volume (3M): 143.89K
• Price to Earnings (P/E): 29.1
• Beta (1Y): 0.33
• Revenue Growth: 2.00%
• EPS Growth: 5.39%
• Country: US
• Employees: 3,400
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Packaged Foods
• EPS (TTM): 1.34
• Shares Outstanding: 27,534,000
• 10 Day Avg. Volume: 147,986
• 30 Day Avg. Volume: 143,886
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 0.95
• Enterprise Value/Revenue: 2.43
• Enterprise Value/Gross Profit: 10.19
• Enterprise Value/Ebitda: 16.15
• 1Y Price Target: $192.25
• Price Target Upside: 9.36% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 5

• Rating: 75 Outperform
• Price Target: $199.00 ▲(13.20% Upside)

Marzetti Company's overall stock score reflects strong financial performance and positive earnings call highlights, tempered by technical indicators suggesting potential short-term weakness and a relatively high valuation. The company's strategic focus on growth and market share gains supports a positive outlook, but investors should be mindful of valuation and recent operational challenges.

Positive Factors

Revenue Growth

The sustained revenue growth indicates strong demand for Marzetti's products and effective market strategies, supporting long-term business expansion.

Market Share Gains

Significant market share gains in key categories suggest competitive strength and brand loyalty, enhancing Marzetti's market position.

Profit Margin Improvement

Improved profit margins reflect operational efficiency and cost management, contributing to sustainable profitability.

Negative Factors

Decreased Operating Income

Decreased operating income due to rising expenses could pressure future profitability, necessitating cost control measures.

Restructuring Costs

Restructuring costs indicate operational challenges and may lead to short-term disruptions, affecting financial performance.

Foodservice Segment Decline

Declining sales volume in the Foodservice segment could impact overall growth, highlighting the need for strategic adjustments.

Marzetti Company Business Overview & Revenue Model

Company Description

Manufactures and markets specialty food products (garlic breads, rolls, dressings, dips, pasta, croutons), serving retail and foodservice channels in the U.S.

How the Company Makes Money

Marzetti Company generates revenue through multiple key streams, primarily by selling its branded food products to both retail and foodservice customers. The company's revenue model is driven by the sale of its diverse product lineup, which includes refrigerated and shelf-stable items. Significant partnerships with grocery chains, restaurants, and food distributors enhance its market reach and contribute to sales growth. Additionally, Marzetti invests in marketing and product development to expand its portfolio and adapt to changing consumer trends, thereby increasing its earnings potential.

Marzetti Company Financial Statement Overview

Summary

Marzetti Company exhibits strong financial health with consistent revenue and profit growth, efficient operational performance, and a solid balance sheet. The company has managed to improve its profitability margins and maintain a low debt level, which is commendable. While cash flow management has shown improvement, past volatility suggests the need for continued focus in this area.

Income Statement

Marzetti Company has demonstrated consistent revenue growth over the years, with a notable increase in gross profit margin from 21.32% in 2023 to 23.87% in 2025. The net profit margin has also improved, reaching 8.77% in 2025. The EBIT and EBITDA margins have shown positive trends, indicating strong operational efficiency. However, the gross profit margin has not yet returned to the peak levels seen in 2020, suggesting room for improvement.

Balance Sheet

The company's balance sheet is robust, with a low debt-to-equity ratio of 0.056 in 2025, reflecting prudent financial management. The return on equity remains strong at 16.76%, indicating effective use of shareholder funds. The equity ratio is healthy, suggesting a stable financial position. However, the slight increase in total debt over the years warrants monitoring.

Cash Flow

Marzetti Company has shown positive free cash flow growth, with a 6.07% increase in 2025. The operating cash flow to net income ratio is strong at 1.40, indicating efficient cash generation relative to net income. The free cash flow to net income ratio is also healthy at 0.78. However, the company experienced negative free cash flow in 2022, highlighting potential volatility in cash flow management.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.91B	1.91B	1.87B	1.82B	1.68B	1.47B
Gross Profit	455.65M	455.65M	432.30M	388.57M	355.72M	386.72M
EBITDA	287.59M	287.59M	270.13M	217.69M	189.50M	225.87M
Net Income	167.35M	167.35M	158.61M	111.29M	89.59M	142.33M
Balance Sheet
Total Assets	1.27B	1.27B	1.21B	1.11B	1.09B	1.10B
Cash, Cash Equivalents and Short-Term Investments	161.48M	161.48M	163.44M	88.47M	60.28M	188.06M
Total Debt	55.55M	55.55M	57.67M	29.99M	36.23M	33.27M
Total Liabilities	276.23M	276.23M	281.16M	250.73M	245.69M	258.14M
Stockholders Equity	998.50M	998.50M	925.77M	862.27M	844.69M	843.15M
Cash Flow
Free Cash Flow	247.21M	203.50M	183.98M	135.72M	-30.16M	86.32M
Operating Cash Flow	261.50M	261.50M	251.55M	225.90M	101.81M	174.19M
Investing Cash Flow	-148.21M	-148.21M	-67.43M	-90.78M	-132.24M	-88.98M
Financing Cash Flow	-115.26M	-115.26M	-109.15M	-106.93M	-97.34M	-95.43M

Marzetti Company Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 175.79
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

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 175.79 is below the 20-day moving average (MA) of 181.42, below the 50-day MA of 179.79, and below the 200-day MA of 176.41, indicating a bearish trend. The MACD of -0.20 indicates Positive momentum. The RSI at 40.15 is Neutral, neither overbought nor oversold. The STOCH value of 10.24 is Positive, 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	75 Outperform	$4.87B	29.14	17.35%	2.16%	2.00%	5.39%
CAG	71 Outperform	8.75B	7.72	12.90%	7.64%	-3.64%	231.77%
CPB	69 Neutral	9.91B	16.66	15.42%	4.63%	6.40%	6.17%
FLO	63 Neutral	2.77B	12.66	15.37%	7.43%	-0.61%	70.09%
BRBR	60 Neutral	4.59B	20.82	-73.67%	―	16.27%	5.13%
SJM	52 Neutral	11.53B	-7.88	-24.63%	4.02%	2.54%	-293.39%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%

Marzetti Company Corporate Events

Marzetti Company Declares Quarterly Cash Dividend

On August 13, 2025, The Marzetti Company announced a quarterly cash dividend of 95 cents per common share, maintaining the higher level set nine months prior, marking its 62nd consecutive year of increased regular cash dividends. The company also scheduled its annual shareholder meeting for November 19, 2025, to be held virtually, allowing shareholders to participate and vote online, with proxy materials to be provided in October.