Quality Investor

International Flavors & Fragrances Inc.

Rank #403Decline

IFF · NYSE · Basic Materials

International Flavors & Fragrances Inc. (IFF) — Rank #403 by gross profitability (GP/assets 0.16) · ROE -2.6% · Piotroski F-Score 6 / 9.

As-of 2026-09-15 · 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

Price History

IFF-36.6% · -8.7% CAGRSPY+80.5% · +12.5% CAGR

Company Snapshot

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

Market Cap

$21.46B

P/E (annual)

P/S (annual)

2.0

P/B

1.5

P/OCF (annual)

25.2

Shareholder Yield

1.9%

Employees

21,500

Industry

Specialty Chemicals

Exchange

NYSE

Signal Flags

1 green1 yellow2 red
Sequential beat (rev + EPS)Both revenue and EPS exceeded prior quarter — 2-quarter streak
Disclosure regressionA previously-disclosed line item is no longer reported — worth checking the filing for why
Revenue declining YoYRevenue contracted year over year
Operating margin decliningOperating margin lower than prior year

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%

Terry Smith quality gate

Passes 0/5 Terry Smith thresholds

2 of 5 thresholds not computable from filed data.

What Growth Is Priced In

Implied revenue growth (10Y)

27.4%

stretched

The annual FCF growth rate today's price requires over a 10-year horizon (discount rate 10%, terminal growth 2.5%).

Dilution drag: 0.0% — per-share value needs a total required return of 27.4% once share-count change is priced in.

vs. own 6-year median revenue growth: -0.5%

Cost-of-equity sensitivity (implied growth at different discount rates)

r = 8%

22.0%

r = 10% (base)

27.4%

r = 12%

32.1%

Net debt / market cap: 23.8%

Base FCF: $256M3Y mean FCF: $599.7M

Valuation History

Current multiple vs historical range at each filing date. Band spans 25th-75th percentile.

P / E

Price / diluted EPS

N/A
25.0xmed 33.9x120.9x

P / S

Price / revenue per share

1.9xCheap
1.6xmed 2.7x3.2x

P / B

Price / book value per share

1.5xCheap
1.3xmed 1.7x6.2x

P / GP

Price / gross profit per share

5.3xCheap
5.1xmed 6.6x8.7x

P / FCF

Price / free cash flow per share

82.2xExpensive
19.9xmed 31.0x82.2x

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

Profitability

Gross profitability (GP / assets)

0.16

Primary signal (Novy-Marx).

21st pctl of 34 SIC 28 peers

Return on equity

-2.6%

Gross margin

36.2%

36th pctl of 34 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)

Anti-fragile safety

Balance-sheet safety

Composite anti-fragile check.

PASS

Debt / equity

0.80

50th pctl of 31 SIC 28 peers (best = lowest)

Current ratio

2.06×

39th pctl of 34 SIC 28 peers

Quick ratio

0.45×

Net cash

-$5.13B

Cash & equivalents minus total debt.

Cash-flow health

Free cash flow

$256.00M

Operating cash flow minus capex.

Positive free cash flow

PASS

FCF / net income

1.71

Cash-backing of earnings.

FCF/NI divergence

Unfavorable divergence (yellow flag).

PASS

Accruals healthy

Cash-backed earnings.

PASS

SBC / revenue

0.8%

Stock-based comp intensity.

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

Piotroski F-Score

F-Score

6 / 9

Fundamental-strength score (0-9).

Lifecycle Phase History

20202025
Value
Hypergrowth
Startup
Decline