INTL FLAVORS & FRAGRANCES (IFF) Stock Fundamental Analysis
USA - NYSE:IFF - US4595061015 - Common Stock
62.78 USD
+0.78 (+1.26%)
62.78 USD
0 (0%)
IFF gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 82 industry peers in the Chemicals industry. IFF has a bad profitability rating. Also its financial health evaluation is rather negative. IFF is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year IFF was profitable.
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 in the lower half of the industry: IFF underperforms 63.41% of its industry peers.
IFF has a Return On Equity (-2.89%) which is comparable to the rest of the industry.
The Return On Invested Capital of IFF (3.60%) is comparable to the rest of the industry.
Measured over the past 3 years, the Average Return On Invested Capital for IFF is below the industry average of 6.12%.
The last Return On Invested Capital (3.60%) for IFF is above the 3 year average (2.64%), which is a sign of increasing profitability.
| 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
In the last couple of years the Profit Margin of IFF has declined.
With a Operating Margin value of 7.94%, IFF perfoms like the industry average, outperforming 46.34% of the companies in the same industry.
IFF's Operating Margin has declined in the last couple of years.
The Gross Margin of IFF (36.38%) is better than 74.39% 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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), IFF is destroying value.
Compared to 1 year ago, IFF has about the same amount of shares outstanding.
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 1.28, we must say that IFF is in the distress zone and has some risk of bankruptcy.
IFF has a Altman-Z score of 1.28. This is in the lower half of the industry: IFF underperforms 71.95% of its industry peers.
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.
Looking at the Debt to FCF ratio, with a value of 18.22, IFF is in line with its industry, outperforming 52.44% of the companies in the same industry.
IFF has a Debt/Equity ratio of 0.33. This is a healthy value indicating a solid balance between debt and equity.
With a decent Debt to Equity ratio value of 0.33, IFF is doing good in the industry, outperforming 74.39% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | 18.22 | ||
| Altman-Z | 1.28 |
ROIC/WACC0.46
WACC7.8%
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 73.17% 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 73.17% 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%.
Measured over the past years, IFF shows a decrease in Earnings Per Share. The EPS has been decreasing by -6.97% on average per year.
The Revenue has decreased by -3.01% in the past year.
Measured over the past years, IFF shows a quite strong growth in Revenue. The Revenue has been growing by 17.44% on average per year.
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
Based on estimates for the next years, IFF will show a small growth in Earnings Per Share. The EPS will grow by 3.64% on average per year.
The Revenue is expected to decrease by -0.45% on average over the next years.
EPS Next Y-0.27%
EPS Next 2Y2.81%
EPS Next 3Y5.23%
EPS Next 5Y3.64%
Revenue Next Year-5.07%
Revenue Next 2Y-3.13%
Revenue Next 3Y-0.84%
Revenue Next 5Y-0.45%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 14.37, the valuation of IFF can be described as correct.
69.51% of the companies in the same industry are more expensive than IFF, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 26.28, IFF is valued a bit cheaper.
The Price/Forward Earnings ratio is 13.81, which indicates a correct valuation of IFF.
IFF's Price/Forward Earnings ratio is in line with the industry average.
IFF's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 33.61.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.37 | ||
| Fwd PE | 13.81 |
4.2 Price Multiples
IFF's Enterprise Value to EBITDA ratio is in line with the industry average.
IFF's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 48.46 | ||
| EV/EBITDA | 11.65 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y2.81%
EPS Next 3Y5.23%
5. Dividend
5.1 Amount
IFF has a Yearly Dividend Yield of 2.55%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 3.97, IFF pays a bit more dividend than its industry peers.
IFF's Dividend Yield is comparable with the S&P500 average which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.55% |
5.2 History
The dividend of IFF decreases each year by -7.24%.
IFF has paid a dividend for at least 10 years, which is 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 2Y2.81%
EPS Next 3Y5.23%
62.78
+0.78 (+1.26%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners97.28%
Inst Owner Change-9.47%
Ins Owners0.1%
Ins Owner Change0.27%
Market Cap16.09B
Revenue(TTM)11.07B
Net Income(TTM)-412.00M
Analysts78.4
Price Target83.48 (32.97%)
Short Float %1.77%
Short Ratio2.17
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.55% |
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)-2.68%
PT rev (3m)-10.12%
EPS NQ rev (1m)-0.39%
EPS NQ rev (3m)-3.38%
EPS NY rev (1m)0.06%
EPS NY rev (3m)0.02%
Revenue NQ rev (1m)-0.11%
Revenue NQ rev (3m)-1.48%
Revenue NY rev (1m)-0.03%
Revenue NY rev (3m)-0.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.37 | ||
| Fwd PE | 13.81 | ||
| P/S | 1.45 | ||
| P/FCF | 48.46 | ||
| P/OCF | 17.88 | ||
| P/B | 1.13 | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.65 |
EPS(TTM)4.37
EY6.96%
EPS(NY)4.55
Fwd EY7.24%
FCF(TTM)1.3
FCFY2.06%
OCF(TTM)3.51
OCFY5.59%
SpS43.2
BVpS55.57
TBVpS-0.8
PEG (NY)N/A
PEG (5Y)N/A
Graham Number73.92
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 | 1.28 |
F-Score6
WACC7.8%
ROIC/WACC0.46
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-0.27%
EPS Next 2Y2.81%
EPS Next 3Y5.23%
EPS Next 5Y3.64%
Revenue 1Y (TTM)-3.01%
Revenue growth 3Y-0.49%
Revenue growth 5Y17.44%
Sales Q2Q%-7.9%
Revenue Next Year-5.07%
Revenue Next 2Y-3.13%
Revenue Next 3Y-0.84%
Revenue Next 5Y-0.45%
EBIT growth 1Y11.27%
EBIT growth 3Y10.71%
EBIT growth 5Y4%
EBIT Next Year25.12%
EBIT Next 3Y11.1%
EBIT Next 5Y7.11%
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 3 / 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%.