Marzetti Company (MZTI) AI Stock Analysis

• Market Cap: $4.78B
• Dividend Yield: 2.21%
• Average Volume (3M): 124.67K
• Price to Earnings (P/E): 28.2
• Beta (1Y): 0.29
• 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: 149,521
• 30 Day Avg. Volume: 124,668
• 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: 0.97
• 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): 7.02
• Revenue Forecast (FY): $1.94B

• Rating: 78 Outperform
• Price Target: $197.00 ▲(17.83% Upside)

Marzetti Company scores well due to its strong financial performance and positive earnings call, which highlight robust growth and financial stability. The technical analysis presents a neutral outlook, while the valuation indicates moderate attractiveness. Overall, the company's strengths in financial health and strategic growth initiatives are the most significant factors contributing to its score.

Positive Factors

Revenue Growth

The strong revenue growth indicates robust demand and effective market penetration, supporting long-term business expansion and stability.

Cash Flow Generation

Strong cash flow generation enhances financial flexibility, allowing for reinvestment in growth initiatives and providing a buffer against economic uncertainties.

Market Position

Increased market share in key product categories strengthens competitive positioning, supporting sustained revenue growth and brand loyalty.

Negative Factors

Restructuring Costs

Restructuring costs can impact short-term profitability and indicate operational challenges that may affect future earnings stability.

Increased SG&A Expenses

Rising SG&A expenses can pressure margins and reduce profitability, necessitating efficient cost management to maintain financial health.

Debt Levels

Increasing debt levels, though currently low, could limit financial flexibility and increase risk if not managed carefully over time.

Marzetti Company Business Overview & Revenue Model

Company Description

Marzetti Company (MZTI) is a leading manufacturer and marketer of food products, primarily focused on the sectors of refrigerated and shelf-stable dressings, sauces, dips, and spreads. The company is well-known for its diverse range of brands that cater to both retail and foodservice channels, serving a wide array of customers including restaurants, grocery stores, and food distributors. Marzetti's core product offerings include salad dressings, dips, and various culinary sauces, emphasizing quality and innovation to meet consumer preferences.

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

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MZTI, the sentiment is Positive. The current price of 167.19 is above the 20-day moving average (MA) of 165.82, below the 50-day MA of 171.86, and below the 200-day MA of 175.00, indicating a neutral trend. The MACD of -0.32 indicates Negative momentum. The RSI at 58.35 is Neutral, neither overbought nor oversold. The STOCH value of 85.25 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MZTI.

Marzetti Company Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MZTI	78 Outperform	$4.78B	28.20	17.25%	2.21%	3.16%	6.47%
FLO	68 Neutral	$2.56B	11.69	13.73%	8.21%	0.26%	-19.45%
CPB	67 Neutral	$8.95B	14.98	15.64%	5.07%	6.40%	6.17%
CAG	64 Neutral	$8.18B	9.64	9.65%	8.17%	-4.11%	72.17%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
BRBR	55 Neutral	$3.65B	16.73	―	―	16.27%	5.13%
SJM	49 Neutral	$11.19B	―	-21.32%	4.25%	2.54%	-293.39%

Marzetti Company Corporate Events

The Marzetti Company Reports Record First Quarter Sales

The Marzetti Company, a prominent player in the specialty food products industry, serves both retail and foodservice channels with a diverse range of offerings.

Lancaster Colony’s Earnings Call Highlights Record Growth

Lancaster Colony’s recent earnings call revealed a strong performance, highlighting record-breaking revenue and growth in both the Retail and Foodservice segments. The company demonstrated resilience with robust cash flow and a solid financial position, despite facing challenges related to restructuring costs and increased expenses. Overall, the positive aspects heavily outweighed the negatives, indicating a positive outlook for the company.

Lancaster Colony’s Earnings Call: Record Sales Amid Challenges

The recent earnings call for Lancaster Colony reflected a mixed sentiment, highlighting both strong net sales and market share gains, particularly in key product categories. These achievements were driven by strategic marketing investments. However, the company faced challenges with decreased operating income due to higher expenses and restructuring costs, as well as a decline in Foodservice segment volume.

Navigating Third-Party Risks: Marzetti Company’s Supply Chain Challenges

Marzetti Company’s reliance on a diverse network of third-party partners presents a significant business risk, as the performance and reliability of these entities are crucial to its supply chain operations. Despite efforts to vet and monitor these partners, the company remains vulnerable to disruptions caused by factors beyond its control, such as operational failures or financial instability among suppliers, manufacturers, and logistics providers. Such disruptions could lead to manufacturing setbacks, shipment delays, and increased operational costs, ultimately affecting Marzetti’s revenue and market position. The potential for unplanned risks underscores the importance of robust contingency planning and risk management strategies to mitigate the impact of third-party failures.

The Marzetti Company Reports Record Sales and Profit

The Marzetti Company, formerly known as Lancaster Colony Corporation, is a manufacturer and marketer of specialty food products for retail and foodservice channels.

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.

The most recent analyst rating on (MZTI) stock is a Hold with a $184.00 price target. To see the full list of analyst forecasts on Marzetti Company stock, see the MZTI Stock Forecast page.