Valued at a market cap of $19.9 billion, International Flavors & Fragrances Inc. (IFF) manufactures and markets food, beverage, health and biosciences, scent, pharma solutions, and complementary adjacent products internationally. Based in New York, the company operates in four segments: Nourish, Health & Biosciences, Scent, and Pharma Solutions.

Shares of IFF have significantly underperformed the broader market over the past 52 weeks. IFF has crumbled 20.6% over this period, while the broader S&P 500 Index ($SPX) has gained 12.5%. Moreover, shares of IFF are down 8.1% on a YTD basis, compared to SPX’s 1.3% return.

Zooming in further, International Flavors & Fragrances has also lagged behind the Materials Select Sector SPDR ETF Fund’s (XLB) 4.7% drop over the past 52 weeks and 3.5% rise on a YTD basis.

International Flavors & Fragrances fell 7.1% following the release of its Q1 2025 on May 6. Strong growth in the Taste, Pharma Solutions, Health and Biosciences, and Scent segments was offset by a 7% decline in the Food Ingredients segment, resulting in a 1.9% year-over-year decline in quarterly net sales to $2.8 billion. Its adjusted EPS rose 6.2% from the prior-year quarter to $1.20, surpassing the analysts’ estimate of $1.12. 

Looking ahead to fiscal 2025, IFF expects revenue to range between $10.6 billion and $10.9 billion. 

For the fiscal year ending in December 2025, analysts expect IFF’s adjusted EPS to drop 2.1% year-over-year to $4.22. The company's earnings surprise history is mixed. It beat the consensus estimates in three of the past four quarters while missing on another occasion. 

Among the 18 analysts covering the stock, the consensus rating is a “Moderate Buy.” That’s based on 13 “Strong Buy” ratings, one “Moderate Buy,” three “Holds,” and one “Strong Sell.”

On May 13, Morgan Stanley (MS) lowered IFF's price target to $98 while maintaining an “Overweight” rating on the stock. 

As of writing, International Flavors & Fragrances is trading below the mean price target of $89.50. The Street-high price target of $109 implies a potential upside of 40.2% from the current price levels.