INTL FLAVORS & FRAGRANCES (IFF) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:IFF - US4595061015 - Common Stock
67.47 USD
+0.55 (+0.82%)
67.47 USD
0 (0%)
We assign a fundamental rating of 3 out of 10 to IFF. IFF was compared to 83 industry peers in the Chemicals industry. While IFF is still in line with the averages on profitability rating, there are concerns on its financial health. IFF has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
IFF had positive earnings in the past year.
In the past year IFF had a positive cash flow from operations.
In multiple years IFF reported negative net income over the last 5 years.
Each year in the past 5 years IFF had a positive operating cash flow.
1.2 Ratios
IFF has a Return On Assets of -1.60%. This is comparable to the rest of the industry: IFF outperforms 41.67% of its industry peers.
IFF has a Return On Equity of -2.89%. This is comparable to the rest of the industry: IFF outperforms 45.24% of its industry peers.
IFF's Return On Invested Capital of 3.60% is in line compared to the rest of the industry. IFF outperforms 52.38% of its industry peers.
IFF had an Average Return On Invested Capital over the past 3 years of 2.64%. This is below the industry average of 6.09%.
The 3 year average ROIC (2.64%) for IFF is below the current ROIC(3.60%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.6% | ||
| ROE | -2.89% | ||
| ROIC | 3.6% |
ROA(3y)-4.23%
ROA(5y)-1.87%
ROE(3y)-8.79%
ROE(5y)-3.88%
ROIC(3y)2.64%
ROIC(5y)2.78%
1.3 Margins
IFF's Profit Margin has declined in the last couple of years.
IFF has a Operating Margin (7.94%) which is in line with its industry peers.
IFF's Operating Margin has declined in the last couple of years.
The Gross Margin of IFF (36.38%) is better than 73.81% of its industry peers.
IFF's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.94% | ||
| PM (TTM) | N/A | ||
| GM | 36.38% |
OM growth 3Y11.26%
OM growth 5Y-11.45%
PM growth 3Y-2.73%
PM growth 5Y-24.82%
GM growth 3Y3.87%
GM growth 5Y-2.67%
2. Health
2.1 Basic Checks
IFF has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
IFF has about the same amout of shares outstanding than it did 1 year ago.
IFF has more shares outstanding than it did 5 years ago.
IFF has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.34, we must say that IFF is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 1.34, IFF is not doing good in the industry: 67.86% of the companies in the same industry are doing better.
The Debt to FCF ratio of IFF is 18.22, which is on the high side as it means it would take IFF, 18.22 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of IFF (18.22) is comparable to the rest of the industry.
A Debt/Equity ratio of 0.33 indicates that IFF is not too dependend on debt financing.
The Debt to Equity ratio of IFF (0.33) is better than 72.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | 18.22 | ||
| Altman-Z | 1.34 |
ROIC/WACC0.32
WACC11.16%
2.3 Liquidity
A Current Ratio of 1.44 indicates that IFF should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.44, IFF is doing worse than 72.62% of the companies in the same industry.
A Quick Ratio of 0.87 indicates that IFF may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.87, IFF is doing worse than 73.81% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.44 | ||
| Quick Ratio | 0.87 |
3. Growth
3.1 Past
IFF shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 7.90%.
IFF shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -6.97% yearly.
IFF shows a decrease in Revenue. In the last year, the revenue decreased by -3.01%.
IFF shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 17.44% yearly.
EPS 1Y (TTM)7.9%
EPS 3Y-8.81%
EPS 5Y-6.97%
EPS Q2Q%0.96%
Revenue 1Y (TTM)-3.01%
Revenue growth 3Y-0.49%
Revenue growth 5Y17.44%
Sales Q2Q%-7.9%
3.2 Future
IFF is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 3.31% yearly.
IFF is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -0.79% yearly.
EPS Next Y-1.78%
EPS Next 2Y2.26%
EPS Next 3Y4.29%
EPS Next 5Y3.31%
Revenue Next Year-5.01%
Revenue Next 2Y-3.5%
Revenue Next 3Y-1.35%
Revenue Next 5Y-0.79%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 15.44, IFF is valued correctly.
Compared to the rest of the industry, the Price/Earnings ratio of IFF indicates a somewhat cheap valuation: IFF is cheaper than 67.86% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 26.92. IFF is valued slightly cheaper when compared to this.
IFF is valuated correctly with a Price/Forward Earnings ratio of 15.01.
IFF's Price/Forward Earnings is on the same level as the industry average.
IFF is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.46, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.44 | ||
| Fwd PE | 15.01 |
4.2 Price Multiples
IFF's Enterprise Value to EBITDA is on the same level as the industry average.
The rest of the industry has a similar Price/Free Cash Flow ratio as IFF.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 52.05 | ||
| EV/EBITDA | 12.29 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y2.26%
EPS Next 3Y4.29%
5. Dividend
5.1 Amount
IFF has a Yearly Dividend Yield of 2.39%.
IFF's Dividend Yield is a higher than the industry average which is at 2.48.
IFF's Dividend Yield is comparable with the S&P500 average which is at 2.00.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.39% |
5.2 History
The dividend of IFF decreases each year by -7.24%.
IFF has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)-7.24%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
IFF has negative earnings and hence a negative payout ratio. The dividend may be in danger.
DP-99.27%
EPS Next 2Y2.26%
EPS Next 3Y4.29%
67.47
+0.55 (+0.82%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners96.7%
Inst Owner Change-7.22%
Ins Owners0.11%
Ins Owner Change0.4%
Market Cap17.28B
Revenue(TTM)11.07B
Net Income(TTM)-412.00M
Analysts78.4
Price Target83.98 (24.47%)
Short Float %3.38%
Short Ratio3.59
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.39% |
Yearly Dividend2.01
Dividend Growth(5Y)-7.24%
DP-99.27%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.11%
Min EPS beat(2)1.65%
Max EPS beat(2)2.57%
EPS beat(4)4
Avg EPS beat(4)6.58%
Min EPS beat(4)1.65%
Max EPS beat(4)17.85%
EPS beat(8)6
Avg EPS beat(8)7.38%
EPS beat(12)8
Avg EPS beat(12)4.43%
EPS beat(16)12
Avg EPS beat(16)5.62%
Revenue beat(2)2
Avg Revenue beat(2)1.26%
Min Revenue beat(2)1.25%
Max Revenue beat(2)1.28%
Revenue beat(4)3
Avg Revenue beat(4)1.13%
Min Revenue beat(4)-0.49%
Max Revenue beat(4)2.48%
Revenue beat(8)6
Avg Revenue beat(8)1.3%
Revenue beat(12)8
Avg Revenue beat(12)0.3%
Revenue beat(16)11
Avg Revenue beat(16)0.53%
PT rev (1m)0.44%
PT rev (3m)-3.13%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-1.13%
EPS NY rev (1m)-1.51%
EPS NY rev (3m)-1.46%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.51%
Revenue NY rev (1m)0.05%
Revenue NY rev (3m)0.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.44 | ||
| Fwd PE | 15.01 | ||
| P/S | 1.56 | ||
| P/FCF | 52.05 | ||
| P/OCF | 19.2 | ||
| P/B | 1.21 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.29 |
EPS(TTM)4.37
EY6.48%
EPS(NY)4.5
Fwd EY6.66%
FCF(TTM)1.3
FCFY1.92%
OCF(TTM)3.51
OCFY5.21%
SpS43.23
BVpS55.61
TBVpS-0.8
PEG (NY)N/A
PEG (5Y)N/A
Graham Number73.94
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.6% | ||
| ROE | -2.89% | ||
| ROCE | 4.05% | ||
| ROIC | 3.6% | ||
| ROICexc | 3.7% | ||
| ROICexgc | 11.77% | ||
| OM | 7.94% | ||
| PM (TTM) | N/A | ||
| GM | 36.38% | ||
| FCFM | 3% |
ROA(3y)-4.23%
ROA(5y)-1.87%
ROE(3y)-8.79%
ROE(5y)-3.88%
ROIC(3y)2.64%
ROIC(5y)2.78%
ROICexc(3y)2.69%
ROICexc(5y)2.87%
ROICexgc(3y)8.73%
ROICexgc(5y)10.4%
ROCE(3y)2.97%
ROCE(5y)3.14%
ROICexgc growth 3Y12.38%
ROICexgc growth 5Y-16.53%
ROICexc growth 3Y26.54%
ROICexc growth 5Y-10.72%
OM growth 3Y11.26%
OM growth 5Y-11.45%
PM growth 3Y-2.73%
PM growth 5Y-24.82%
GM growth 3Y3.87%
GM growth 5Y-2.67%
F-Score6
Asset Turnover0.43
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | 18.22 | ||
| Debt/EBITDA | 2.57 | ||
| Cap/Depr | 58.68% | ||
| Cap/Sales | 5.13% | ||
| Interest Coverage | 3.29 | ||
| Cash Conversion | 48.73% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.44 | ||
| Quick Ratio | 0.87 | ||
| Altman-Z | 1.34 |
F-Score6
WACC11.16%
ROIC/WACC0.32
Cap/Depr(3y)44.36%
Cap/Depr(5y)45.27%
Cap/Sales(3y)4.17%
Cap/Sales(5y)3.94%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)7.9%
EPS 3Y-8.81%
EPS 5Y-6.97%
EPS Q2Q%0.96%
EPS Next Y-1.78%
EPS Next 2Y2.26%
EPS Next 3Y4.29%
EPS Next 5Y3.31%
Revenue 1Y (TTM)-3.01%
Revenue growth 3Y-0.49%
Revenue growth 5Y17.44%
Sales Q2Q%-7.9%
Revenue Next Year-5.01%
Revenue Next 2Y-3.5%
Revenue Next 3Y-1.35%
Revenue Next 5Y-0.79%
EBIT growth 1Y11.27%
EBIT growth 3Y10.71%
EBIT growth 5Y4%
EBIT Next Year21.95%
EBIT Next 3Y9.32%
EBIT Next 5Y6.09%
FCF growth 1Y-26.71%
FCF growth 3Y-16.66%
FCF growth 5Y5.67%
OCF growth 1Y-10.27%
OCF growth 3Y-9.36%
OCF growth 5Y8.89%
INTL FLAVORS & FRAGRANCES / IFF FAQ
What is the fundamental rating for IFF stock?
ChartMill assigns a fundamental rating of 3 / 10 to IFF.
What is the valuation status of INTL FLAVORS & FRAGRANCES (IFF) stock?
ChartMill assigns a valuation rating of 4 / 10 to INTL FLAVORS & FRAGRANCES (IFF). This can be considered as Fairly Valued.
What is the profitability of IFF stock?
INTL FLAVORS & FRAGRANCES (IFF) has a profitability rating of 4 / 10.
Can you provide the financial health for IFF stock?
The financial health rating of INTL FLAVORS & FRAGRANCES (IFF) is 3 / 10.
Can you provide the dividend sustainability for IFF stock?
The dividend rating of INTL FLAVORS & FRAGRANCES (IFF) is 3 / 10 and the dividend payout ratio is -99.27%.