Wall Street’s Views on International Flavors and Fragrances



Analysts’ consensus

Sixteen analysts are tracking International Flavors and Fragrances’ stock (IFF) actively. Among them, 31% have recommended a “buy,” 62% have recommended a “hold,” and 7% have recommended a “sell.”

Before 2Q17 earnings, analysts’ consensus indicated a 12-month target price at $138.85. Now, after 2Q17 earnings, analysts’ consensus indicates IFF’s 12-month target price at $140.62, implying a potential return of 2.8% from the closing price of $136.85 as of August 10, 2017.

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Why many analysts’ are suggesting “hold”?

IFF’s strong 2Q17 earnings beat analysts’ estimates, and the continued growth of sales revenue suggests that the company’s long-term growth is intact. Although IFF missed analysts’ revenue expectations marginally in 2Q16, its vision to achieve $500 million of sales through acquisitions is expected to drive future growth. All these factors could have influenced analysts recommending a “hold” on the stock.

Individual brokerage firms’ recommendations

  • Deutsche Bank (DB) recommends IFF with a target price of $139, which implies a potential return of 1.6% from its August 10, 2017, closing price of $136.85.
  • Raymond James (RJF) rated IFF as “Market Perform.” However, it didn’t provide any target for the stock.
  • Berenberg has recommended a target price of $155 for IFF, implying a potential return of 13.25% over the closing price of $136.85 as of August 10, 2017.

The ProShares Ultra Basic Materials (UYM) has invested 1.20% of its portfolio in IFF.


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