Based in New York, International Flavors & Fragrances Inc. (IFF) is a prominent player in the production of specialty ingredients. Valued at $25.06 billion by market cap, the company caters to the food, beverage, personal care, pharmaceutical, and household products industries by utilizing its expertise in biosciences, chemistry, flavors, and fragrances. The leading specialty ingredients producer is expected to announce its fiscal second-quarter earnings for 2024 after the market closes on Tuesday, Aug. 6.
Ahead of the event, analysts expect IFF to report a profit of $0.90 per share on a diluted basis, up 4.7% from $0.86 per share in the year-ago quarter. The company beat the consensus estimates in two of the last four quarters while missing on two other occasions.
For fiscal 2024, analysts expect IFF to report EPS of $3.97, up 18.9% from $3.34 in fiscal 2023.
IFF stock has outperformed the S&P 500’s ($SPX) 16.5% gains on a YTD basis, with shares up 22.3% during this period. Similarly, it outshined the US Basic Materials iShares ETF’s (IYM) 3.3% gains over the same time frame.
On May 8, IFF shares closed up more than 2% after JP Morgan Chase upgraded the stock to Overweight from Neutral with a price target of $100.
On May 7, IFF shares closed up more than 6% after the company reported its Q1 results. Its Q1 net sales were $2.90 billion, beating the consensus estimates of $2.78 billion. The company’s adjusted EPS of $1.13 surpassed Wall Street estimates of $0.84. For the full year 2024, IFF expects sales to be at the higher end of the guidance range between $10.8 billion and $11.1 billion and adjusted operating EBITDA guidance range of between $1.9 billion and $2.1 billion. Moreover, it expects volume to trend towards the higher-end of its previously announced 0% to 3% range.
Analysts’ consensus opinion on IFF stock is bullish, with a “Moderate Buy” rating overall. Out of 19 analysts covering the stock, eight advise a “Strong Buy” rating, 10 recommend a “Hold” rating, and one gives a “Strong Sell.” The average analyst price target for IFF is $101.50, indicating a 2.5% potential upside from the current levels.
On the date of publication, Dipanjan Banchur did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
