International Flavors & Fragrances (NYSE: IFF) has been downgraded from a “hold” to a “sell” rating by analysts at Wall Street Zen. This decision, announced on Saturday, reflects a shift in the investment community’s outlook regarding the company’s stock performance.
Various financial institutions have recently revised their assessments of International Flavors & Fragrances. On October 7, 2023, Argus lowered its price target for the company from $85.00 to $70.00, maintaining a “buy” rating. Conversely, Citigroup reduced its price target from $82.00 to $75.00, also issuing a “buy” rating. Barclays made a slight adjustment, increasing its price target from $72.00 to $75.00 while rating the stock as “overweight.”
Weiss Ratings has taken a more cautious approach, reiterating a “sell (D-)” rating on December 22, 2023. In a further indication of the shifting sentiment, BNP Paribas Exane adjusted its price target downwards from $96.00 to $92.00, but still rated the stock as “outperform.”
The current consensus shows that twelve analysts have rated the stock as a “buy,” four have assigned a “hold” rating, and two have recommended a “sell.” According to MarketBeat.com, the average rating for International Flavors & Fragrances stands at a “Moderate Buy,” with a consensus target price of $85.02.
Recent Financial Performance
International Flavors & Fragrances released its latest earnings results on November 4, 2023. The company reported earnings of $1.05 per share, surpassing the consensus estimate of $1.02 by $0.03. Revenue for the quarter reached $2.69 billion, exceeding analysts’ expectations of $2.65 billion. Despite these positive results, the company experienced a 7.9% decline in quarterly revenue compared to the same period last year.
During the previous year’s quarter, the company had reported earnings of $1.04 per share. Analysts predict that International Flavors & Fragrances will achieve earnings of $4.32 per share for the current fiscal year.
Institutional Investment Activity
Recently, hedge funds and institutional investors have been actively trading shares of International Flavors & Fragrances. Blue Trust Inc. increased its stake by 7.6% in the second quarter, now holding 2,184 shares valued at approximately $161,000 after acquiring an additional 155 shares.
Rafferty Asset Management LLC also grew its position by 0.7% in the third quarter, holding 21,837 shares now worth about $1.34 million. Clearstead Advisors LLC raised its stake by 6.1%, owning 3,021 shares valued at $186,000 after purchasing an additional 173 shares.
UMB Bank n.a. boosted its holdings by 17.3%, now owning 1,290 shares valued at $95,000. Eastern Bank increased its position by an impressive 43.9%, acquiring an additional 193 shares to hold 633 shares valued at $47,000. Overall, institutional investors own approximately 96.02% of the company’s stock.
Company Overview
International Flavors & Fragrances Inc. is a global leader in the development and production of flavors, fragrances, and cosmetic actives. The company provides innovative solutions for various markets, including food and beverage, personal care, household goods, and pharmaceuticals. Its diverse portfolio includes natural and nature-identical flavors, fine fragrances, functional ingredients for skin and hair care, and specialty oils that enhance nutritional value.
The company boasts a robust research and development network with innovation centers across North America, Europe, Asia-Pacific, and Latin America. Multidisciplinary teams collaborate on various aspects of aroma chemistry, sensory science, and biotechnology.
As market conditions evolve, stakeholders will continue to monitor International Flavors & Fragrances’ performance and analyst ratings to navigate their investment strategies.
