Quality Investor

International Flavors & Fragrances Inc.

Rank #384DeclineWatchlistCompare with other stocks

IFF · NYSE · Basic Materials

International Flavors & Fragrances Inc. (IFF) — Rank #384 by gross profitability (GP/assets 0.16) · ROE -2.6% · Piotroski F-Score 6 / 9.

As-of 2026-10-30 · CIK 0000051253 · all metrics point-in-time as of the filing date.

About

International Flavors & Fragrances Inc., together with its subsidiaries, manufactures and markets food, beverage, health and biosciences, scent, and complementary adjacent products in the United States, and internationally.

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It operates in through Taste, Food Ingredients, Health & Biosciences, and Scent segments. The Taste segment offers savory products such as soups, sauces, meat, fish, poultry, snacks; beverages consists of juice drinks, carbonated or flavored beverages, spirits; sweets comprising, bakery products, candy, cereal, chewing gum; and dairy products, such as yogurt, ice cream, cheese, and other products, as well as spices and seasoning ingredients for meat, food service, convenience, alternative protein and culinary products. The Food Ingredients segment provides natural, artificial, and plant-based specialty food ingredients; natural antioxidants and anti-microbials used for natural food preservation and shelf-life extension for beverages, cosmetic and healthcare products, pet food and feed additives; and savory solutions, such as spices, marinades, and mixtures, and inclusion products comprising combining flavorings with fruit, vegetables and other natural ingredients, as well as soy and pea protein with value-added formulations, emulsifiers and sweeteners. The Health & Biosciences segment offers enzymes, food cultures, probiotics and specialty ingredients for food and non-food applications, as well as engages in health, food biosciences, home and personal care, animal nutrition and grain processing businesses. The Scent segment creates fragrance compounds, and fragrance ingredients. International Flavors & Fragrances Inc.

was incorporated in 1909 and is headquartered in New York, New York.

Industry
Specialty Chemicals
Sector
Basic Materials
State
NY
Filer Category
Large accelerated filer
Fiscal Year End
December 31
Website
iff.com

Company Snapshot

P/E, P/B, and dividend yield matter most — book value provides a floor.

Market Cap

—

P/E (annual)

—

P/S (annual)

—

P/B

—

P/OCF (annual)

—

Shareholder Yield

—

Employees

21,500

Industry

Specialty Chemicals

Exchange

NYSE

9/12

Flags passed

IFF fails 2 critical flags

Passes 9 of 12 quality flags, 1 caution

  • FAIL
    Revenue declining YoY

    Revenue contracted year over year

  • FAIL
    Operating margin declining

    Operating margin lower than prior year

  • CAUTION
    Disclosure regression

    A previously-disclosed line item is no longer reported — worth checking the filing for why

  • PASS
    Gross margin holding
  • PASS
    Dilution within 2%
  • PASS
    FCF not negative from investment
  • PASS
    Free cash flow intact
  • PASS
    Passes safety gate
  • PASS
    Balance sheet stable
  • PASS
    No competitive retreat
  • PASS
    SBC not compressing margin
  • PASS
    No valuation convergence

Strengths Sequential beat (rev + EPS)

A count of the 12 warning flags that could be evaluated. Unweighted: colour follows the worst flag.

Quality Profile

Profitability

1/1 pass
GP / assets
0.16
Return on equity
-2.6%
Gross margin trend
PASS

Safety

1/1 pass
Balance-sheet safety
PASS
Debt / equity
0.80
Current ratio
2.06×
Net cash
-$5.13B

Cash Flow

3/3 pass
Positive FCF
PASS
Cash-backed earnings
PASS
Accruals healthy
PASS
SBC / revenue
0.8%

Growth

1/2 pass
Revenue growth
-5.2%
Piotroski F-Score
6 / 9
Share dilution
0.0%

Asset value and restructuring potential (balance-sheet strength) are the primary reads at this stage.

Profitability

Does it make money well?

Warning: Operating margin declining, Revenue declining YoY · GP/assets 29th percentile of 39 SIC 28 peers

Gross profitability (GP / assets)

0.16

Primary signal (Novy-Marx).

29th pctl of 39 SIC 28 peers

Return on equity

-2.6%

Gross margin

36.2%

39th pctl of 39 SIC 28 peers

Revenue growth (YoY)

-5.2%

Gross margin improving

Margin trend vs prior year.

PASS

Operating Leverage

2022202320242025
Revenue vs COGS
Revenue vs OpEx
Op. Income vs Revenue

Growth

Revenue CAGR (3Y)

-4.3%

Revenue CAGR (5Y)

16.5%

Earnings CAGR (3Y)

—

FCF CAGR (3Y)

—

Cash Flow Health

Is the cash real?

No warning flags · FCF 171% above net income

Free cash flow

$256.00M

Operating cash flow minus capex.

Positive free cash flow

PASS

FCF vs net income

170.9%

(FCF − net income) ÷ |net income|. Positive: cash above earnings. Negative: below.

FCF not below net income

Fails when free cash flow is below net income (yellow flag).

PASS

Accruals healthy

Cash-backed earnings.

PASS

SBC / revenue

0.8%

Stock-based comp intensity.

Balance Sheet Strength

Can it survive a storm?

No warning flags · net debt $5.13B, F-Score 6/9

Balance-sheet safety

Composite anti-fragile check.

PASS

Debt / equity

0.80

44th pctl of 35 SIC 28 peers (best = lowest)

Current ratio

2.06×

37th pctl of 39 SIC 28 peers

Quick ratio

0.45×

Net cash

-$5.13B

Cash & equivalents minus total debt.

Piotroski F-Score

6 / 9

Fundamental-strength score (0-9).

Valuation

Is the price reasonable?

No warning flags

Dividend safety

Composite score

0.8 / 5

Weak
Payout ratio
N/A0/5 Weak
FCF coverage
0.63×1/5 Weak
Dividend growth streak
0 yr0/5 Weak
Balance-sheet health
D/E 0.80 · IC N/A2/5 Fair

Capital allocation quality

Composite score

2.7 / 5

Fair
Share count trend
0.0%3/5 Good
Buyback timing
N/AN/A
Dividend growth consistency(non-payer or broken streak)
0 yr0/5 Weak
Net debt trajectory(deleveraging)
12.2%5/5 Strong

Lifecycle Phase History

20202025
Value
Hypergrowth
Startup
Decline

Price History

IFF-35.4% · -8.4% CAGRSPY+82.9% · +12.8% CAGR