UBS Maintains Neutral Rating on International Flavors & Fragrances Inc. (IFF), PT $83
From Yahoo Finance: 2025-06-11 11:30:00
International Flavors & Fragrances Inc. (NYSE:IFF) is a top wide moat stock to buy, with UBS analyst Joshua Spector maintaining a Neutral rating and $83 target price. The company’s Pharma divestment reduced net debt-to-EBITDA ratio from 4x to 2.8x. Growth, not leverage, is now IFF’s main challenge compared to industry peers.
The analyst noted IFF’s performance relative to industry rivals and the impact of GLP-1s. Spector believes the company’s current portfolio lacks growth drivers to outperform peers, with Food Ingredients division dragging margins and growth. As a result, IFF may deserve a lower valuation due to forecasted reduced growth.
While IFF has seen improved growth in Taste and Scent segments, its Health/Bio segment, including enzymes and probiotics, lags behind. The analyst remains neutral, awaiting clearer signs of IFF’s positioning and market growth potential. International Flavors & Fragrances Inc. is a global leader in innovative ingredients for food, beverage, health, scent, and pharma sectors.
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Read more: UBS Maintains Neutral Rating on International Flavors & Fragrances Inc. (IFF), PT $83