| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 34 | 78.7x | 17.7x | Bottom tier | |
Growth | 43 | 3.5% | 7.1% | Around median | |
Quality | 55 | 3.4% | 4.5% | Around median | |
Safety | 56 | 3.3x | 2.6x | Around median | |
Capital Return | 29 | 1.87% | 2.16% | Bottom tier | |
Momentum | 82 | 25.9% | 2.1% | Top tier | |
Sentiment | 42 | 9 | 3 | Around median |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
International Flavors & Fragrances Inc., listed under the ticker IFF on the NYSE, develops and sells taste, scent, health, and biosciences solutions to consumer and industrial product customers. Following the classification of Food Ingredients as a discontinued operation, continuing operations are concentrated in three segments: Taste, which generates revenue from flavor and taste solutions; Scent, which includes Fine Fragrance, Consumer Fragrance, and Fragrance Ingredients; and Health & Biosciences, which serves areas such as Food Biosciences, Grain Processing, Animal Nutrition, and probiotics. The company is simplifying its portfolio through an agreement to sell Food Ingredients to CVC for approximately $4.3 billion, while retaining a 10% stake and focusing on higher-growth, higher-margin businesses.
In Q2 fiscal 2026, EDGAR data showed revenue of approximately $2.0 billion and gross profit of $853 million, equivalent to a gross margin of approximately 42.7%, while net income was $50 million and earnings per share were $0.20. On a continuing operations basis, the company said revenue approached $2 billion and grew by approximately 6%, while adjusted earnings before interest, taxes, depreciation, and amortization increased 6% to $408 million; however, reported earnings fell short of analyst estimates. Taste sales were approximately $688 million, Health & Biosciences approximately $601 million, and Scent approximately $665 million, reflecting a relatively balanced mix among the three segments.
During the first half of fiscal 2026, continuing operations sales grew 4% and earnings before interest, taxes, depreciation, and amortization increased 8%, while free cash flow reached $378 million, up $284 million year over year. In contrast, EDGAR results show clear volatility in profitability; net income declined from $169 million in Q1 fiscal 2026 to $50 million in Q2 fiscal 2026, following a net loss of $361 million in fiscal 2025. Therefore, the quality of the turnaround depends on sustained volume growth, the removal of stranded costs, and converting portfolio simplification into durable improvements in margins and cash flows.
The average analyst price target is $95, within a relatively narrow range of $91 to $100, with the consensus rating classified as “Buy.” The average target is approximately 6.4% above the 52-week range high of $89.32, while the 52-week range extends from $59.14 to $89.32; however, volatility in net income, from a loss of $361 million in fiscal 2025 to a profit of $50 million in Q2 fiscal 2026, makes execution on cost reductions and margin improvement critical to justifying analyst targets.
Figures in the text are as of 2026-08-28; the live price is shown at the top of the page.
Continuing operations achieved revenue growth of approximately 6% to just under $2 billion in Q2 fiscal 2026, driven primarily by volumes. Scent sales increased 8% to $665 million, Health & Biosciences increased 5% to $601 million, and Taste increased 4% to $688 million. New wins and increased sales to existing customers contributed to performance, while the pricing impact was very limited.
The transaction with CVC values the Food Ingredients business at approximately $4.3 billion, or about ten times enterprise value to earnings before interest, taxes, depreciation, and amortization, and the company targets closing it by the end of Q2 fiscal 2027. IFF plans to use more than $1 billion to reduce debt, targeting a net debt-to-credit-adjusted earnings ratio of between 2.0 and 2.5 times by the end of 2027. The board also authorized a $2.5 billion repurchase program, and the company intends to retain a 10% stake in the divested business.
IFF expects continuing operations revenue between $7.4 billion and $7.6 billion in fiscal 2026, representing growth between 2% and 4% compared with an adjusted base of approximately $7.2 billion. It expects earnings before interest, taxes, depreciation, and amortization between $1.53 billion and $1.60 billion, or growth between 4% and 8% compared with a base of approximately $1.44 billion. The company raised the lower end of both ranges after sales grew 4% and earnings before interest, taxes, depreciation, and amortization increased 8% in the first half of fiscal 2026, but it expects sales growth to moderate in the second half.
Automated analysis for informational purposes only — not investment advice.
IFF expects approximately $100 million in costs previously allocated to Food Ingredients to remain, including employee, systems, shared-services, and third-party costs. These costs temporarily pressure the margins of Taste, Scent, and Health & Biosciences after Food Ingredients is moved to discontinued operations. Management targets eliminating approximately two-thirds of them during the first 12 months after the transaction closes, then eliminating the balance during the second full year following the closing.
The authorized program totals $2.5 billion, including approximately $400 million remaining under the previous authorization, and the company targets executing approximately $500 million in the second half of fiscal 2026. The initial round of purchases may lead to a temporary and limited increase in leverage, but IFF simultaneously plans to use more than $1 billion of the Food Ingredients proceeds to reduce debt. The company ended the first half of fiscal 2026 with net debt equal to 2.5 times credit-adjusted earnings, targeting a range between 2.0 and 2.5 times by the end of 2027.
