Mizuho recently revised its price target for International Flavors & Fragrances (IFF, Financial), bringing it down to $87 from the previous $95. Despite this adjustment, the firm continues to uphold an Outperform rating on the company's shares.
The changes reflect a broader update in the chemicals, agriculture, and packaging sectors due to a reduction in market multiples. However, Mizuho has not significantly altered its estimates for the next year as it does not foresee a recession on the horizon.
According to Mizuho's analysis, the decrease in oil prices poses a challenge by diminishing the cost advantage for many basic chemical stocks that are linked to gas prices. Additionally, the firm notes potential risks in the near term, as pre-buying activities witnessed in the March quarter for the automotive and electronics sectors could lead to a pullback.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 19 analysts, the average target price for International Flavors & Fragrances Inc (IFF, Financial) is $93.01 with a high estimate of $117.12 and a low estimate of $76.00. The average target implies an upside of 27.16% from the current price of $73.14. More detailed estimate data can be found on the International Flavors & Fragrances Inc (IFF) Forecast page.
Based on the consensus recommendation from 22 brokerage firms, International Flavors & Fragrances Inc's (IFF, Financial) average brokerage recommendation is currently 2.1, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for International Flavors & Fragrances Inc (IFF, Financial) in one year is $81.99, suggesting a upside of 12.1% from the current price of $73.14. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the International Flavors & Fragrances Inc (IFF) Summary page.
