With a market cap of $15.9 billion, International Flavors & Fragrances Inc. (IFF) is a global leader in creating flavors, fragrances, and specialty ingredients for food, beverage, beauty, and health industries. The New York-based company operates through four main segments, Nourish, Scent, Health & Biosciences, and Pharma Solutions, serving customers worldwide.
The company is slated to announce its fiscal Q3 2025 earnings results after the market closes on Tuesday, Nov. 4. Ahead of this event, analysts expect IFF to report an adjusted EPS of $1.03, a marginal decline from $1.04 in the year-ago quarter. It has exceeded Wall Street's earnings expectations in three of the past four quarters while missing on another occasion.
For fiscal 2025, analysts forecast IFF to report adjusted EPS of $4.26, marking a decrease of 1.2% from $4.31 in fiscal 2024. However, adjusted EPS is expected to grow 6.3% year over year to $4.53 in fiscal 2026.
Over the past 52 weeks, shares of IFF have dropped 40.8%, underperforming the broader S&P 500 Index's ($SPX) 13.5% gain and the Materials Select Sector SPDR Fund's (XLB) 9.3% decline over the same time frame.
On Aug. 5, IFF posted Q2 results with revenue of $2.8 billion and adjusted EPS of $1.15. However, the stock fell 6.3% the next day as investors reacted to underlying weakness. Its sales declined 4.3% year over year, adjusted EPS was down marginally, and adjusted EBITDA dropped 6.1% to $552 million, largely due to softer performance in the Scent segment.
Analysts' consensus view on IFF stock is cautiously optimistic, with a "Moderate Buy" rating overall. Among 20 analysts covering the stock, 12 suggest a "Strong Buy," two give a "Moderate Buy," and six recommend a "Hold." The average analyst price target of $81.19 represents a premium of 29.7% from the current market prices.
