IFF Stock Forecast & Price Target

International Flavors & Fragrances (IFF) demonstrated a notable improvement in financial performance, with Return on Capital (ROC) rising from 2.77% to 5.32% over the last twelve months, with projections anticipating further growth to 6.37% in the near term. The company's taste sales reached $631 million, marking a 3% year-over-year increase, which translates to a 6% increase on a currency-neutral basis, driven by widespread growth across all regions. This positive momentum across IFF's primary business segments underscores its strong market positioning and potential for continued profit generation.

International Flavors & Fragrances (IFF) is projected to experience a revenue decline of 5.56% to $10.68 billion over the next 12 months, primarily due to the divestiture of its Pharma Solutions, Soy Crush, Soy Protein Concentrate, and Lecithin businesses. Despite an almost flat year-over-year net sales revenue of $11.30 billion for the 12 months ending June 2025, the divestitures indicate a loss of key revenue drivers, which may hinder future growth. Additionally, multiple factors have been identified that could negatively impact the company's ability to achieve its financial objectives, further contributing to a negative outlook for the stock.