Stock of the Day

September 4, 2023

International Flavors & Fragrances (IFF)

$90.23
+$0.63 (+0.7%)
Market Cap: $22.86B

About International Flavors & Fragrances

International Flavors & Fragrances, Inc. engages in the manufacture and supply of flavors and fragrances used in the food, beverage, personal care, and household products industries. It operates through the following segments: Nourish, Health & Biosciences, Scent and Pharma Solutions. The Nourish segment consists of legacy Taste segment combined with N&B's Food & Beverage division and the food protection business of N&B's Health & Biosciences division. The Health & Biosciences business consists of a biotechnology-driven portfolio of enzymes, food cultures, probiotics and specialty ingredients for food, home and personal care, and health and wellness applications. The Scent business creates fragrance compounds, fragrance ingredients and cosmetic ingredients that are integral elements in the world’s finest perfumes and best-known household and personal care products. The Pharma Solutions business produces a vast portfolio including cellulosics and seaweed-based pharma excipients, used to improve the functionality and delivery of active pharmaceutical ingredients, including controlled or modified drug release formulations, and enabling. The company was founded in 1833 and is headquartered in New York, NY.

International Flavors & Fragrances Bull Case

Here are some ways that investors could benefit from investing in International Flavors & Fragrances Inc.:

  • The stock reached a new 52-week high of $89.46 on October 14, 2026, signaling strong recent momentum and investor confidence in the company's trajectory.
  • International Flavors & Fragrances Inc. announced a $2.50 billion share buyback plan in August 2026, which authorizes the purchase of up to 12.1% of outstanding shares, a move that typically indicates management believes the stock is undervalued and aims to support shareholder value.
  • Analyst sentiment remains positive with a consensus rating of "Moderate Buy" and an average price target of $92.69, suggesting potential upside from the current price of $89.46.
  • Zacks Research recently raised its Q3 2026 earnings per share estimate to $0.71 from $0.67, reflecting optimism about the company's near-term performance and operational improvements.
  • The company maintains a stable dividend yield of 1.81%, providing a consistent income stream for investors while the stock price appreciates.

International Flavors & Fragrances Bear Case

Investors should be bearish about investing in International Flavors & Fragrances Inc. for these reasons:

  • The company reported a significant earnings miss in Q2 2026, with actual EPS of $0.82 falling short of the consensus estimate of $1.07, indicating potential challenges in meeting financial expectations.
  • Revenue for the most recent quarter was $1.95 billion, which missed the consensus estimate of $2.62 billion, suggesting weaker-than-expected demand or pricing pressures in the market.
  • Insiders have sold a total of 15,543 shares valued at approximately $1.32 million over the last ninety days, which may signal a lack of confidence from company executives in the stock's near-term performance.
  • The payout ratio for dividends is currently 146.79%, meaning the company is paying out more in dividends than it is earning in net income, which could raise concerns about the sustainability of the dividend.
  • Short interest has increased to 16,133,948 shares as of September 30, 2026, representing about 6.39% of the float, indicating that a notable portion of investors are betting against the stock's price appreciation.

Recent News