IFF INTERNATIONAL FLAVORS & FRAGRANCES INC

Price Chart

Executive Summary

Benchmark initiated coverage on IFF at Buy with a $100 price target, implying 36% upside from the current $73.56 close. The firm is one of the most active covering the stock, with a 54% accuracy rate on 1,703 calls and an average return of 6%. Consensus on IFF is overwhelmingly bullish: 15 of 21 analysts rate it Buy (71.4%), 6 Hold, and none Sell. The mean price target is $91.16, with a range of $71 to $105, placing Benchmark's $100 target well above the mean. Momentum is lopsided — only one analyst action in the past 30 days (this initiation) and zero downgrades — but near-term EPS revisions have turned negative (9 downgrades vs 1 upgrade for the current quarter), creating a divergence. Insider buying adds a confirming bullish signal, with executives Fribourg and Fyrwald purchasing over $2M in March and June. However, the short interest ratio of 75.1% reflects heavy bearish positioning, making the analyst call a potential contrarian bet against crowded shorts. The high short interest combined with insider accumulation creates a tactical squeeze opportunity for traders willing to look past near-term earnings caution.

Impact Score

Consensus & Targets

The consensus among 21 analysts covering IFF is strongly bullish: 5 Strong Buy, 10 Buy, and 6 Hold, with zero Sell/Strong Sell ratings. That translates to 71.4% Buy-equivalent ratings and 28.6% Hold, reflecting broad optimism despite recent share weakness.

The mean price target is $91.16, median $92, with a high of $105 and a low of $71. At $73.56, the stock trades at a 19.3% discount to the mean target. Benchmark's $100 target ranks near the top of the range, above both the mean and median, and is just 4.8% below the street-high of $105.

Recent Analyst Activity

In the past 30 days, there has been 1 upgrade (this initiation) and 0 downgrades. EPS revision trends are mixed: long-term estimates have risen (10 up, 3 down for the current fiscal year; 12 up, 3 down for next year), but near-term quarterly estimates are under pressure — the current quarter has 9 downward revisions vs 1 upward, and the next quarter has 6 down vs 4 up. This suggests analysts are hedging on short-term execution while looking past it for the year.

Firm Track Record — Benchmark

Benchmark accuracy: 54% on 1703 calls | avg return: 6%

Industry benchmark: mean 51% ± 11%. Top tier: ≥61% (mean + 1σ). Based on 13 firms with ≥5 scored calls.

Benchmark has a 54% accuracy rate on 1,703 rated stocks, with an average return of 6%. Among firms covering IFF, the best performers by accuracy are Mizuho (75% on 4 calls) and Stifel (60% on 5 calls), while the worst are JP Morgan (0% on 5) and Baird (0% on 2). Benchmark's accuracy places it in the middle-to-upper tier, ahead of UBS (38%), BofA (33%), and Barclays (22%).

Earnings Estimates

Cross-Platform Signals

Insider trades align strongly with the bullish call: CEO Fyrwald bought $933k in March and $62k in March, and director Fribourg bought $995k in March and $1M on June 1 — a clear cluster of insider accumulation. Institutional flows show a mixed picture: Renaissance Technologies nearly exited (-96.6%), while Norges Bank both entered and exited. Short interest is extreme — 75.1% short ratio — implying heavy bearish bets. The convergence of insider buying and analyst initiation against extreme short interest creates a potential squeeze setup, but the institutional exits add caution.

Documents Analyzed

Report based on filing metadata.

US Market Status