International Flavors & Fragrances Inc. (IFF), headquartered in New York, produces and markets cosmetic active and natural health ingredients for use in various consumer products. Valued at $21.9 billion by market cap, the company flavors and fragrances are individual ingredients and compounds of a large number of ingredients that are blended, mixed, and reacted together to produce proprietary formulas. The leading global creator of flavors and fragrances is expected to announce its fiscal fourth-quarter earnings for 2024 after the market closes on Tuesday, Feb. 18.
Ahead of the event, analysts expect IFF to report a profit of $0.78 per share on a diluted basis, up 8.3% from $0.72 per share in the year-ago quarter. The company beat the consensus estimates in two of the last four quarters while missing the forecast on two other occasions.
For the full year, analysts expect IFF to report EPS of $4.15, up 24.3% from $3.34 in fiscal 2023. Its EPS is expected to rise 7% year over year to $4.44 in fiscal 2025.
IFF stock has underperformed the S&P 500’s ($SPX) 25.8% gains over the past 52 weeks, with shares up 8.8% during this period. However, it outperformed the Materials Select Sector SPDR Fund’s (XLB) 7.8% gains over the same time frame.
On Nov. 5, IFF reported its Q3 results, and its shares closed down more than 11% in the following trading session. Its adjusted EPS of $1.04, missed Wall Street expectations of $1.06. The company’s revenue was $2.9 billion, beating Wall Street forecasts of $2.8 billion. IFF expects full-year revenue to be between $11.3 billion and $11.4 billion.
Analysts’ consensus opinion on IFF stock is moderately bullish, with a “Moderate Buy” rating overall. Out of 19 analysts covering the stock, 13 advise a “Strong Buy” rating, one suggests a “Moderate Buy,” four give a “Hold,” and one recommends a “Strong Sell.” IFF’s average analyst price target is $102.89, indicating a potential upside of 19% from the current levels.
