International Flavors & Fragrances Outlook - A Bearish Trend Amid Mixed Analyst Opinions

Generated by AI AgentAinvest Stock Digest
Wednesday, Sep 17, 2025 5:00 am ET1min read
Aime RobotAime Summary

- IFF shows -1.81% price decline with bearish technical signals dominating over bullish ones.

- Analyst ratings are mixed (Strong Buy/Neutral) but performance-weighted score (1.04) reflects strong pessimism.

- Fundamental metrics show moderate health (5.76 score) with 9.25% operating cash flow growth and 186.24% current ratio.

- Money-flow analysis reveals negative trends, with 47.33% block investor inflow ratio below smaller investors' participation.

- Weak technical patterns (WR Oversold, Marubozu White) reinforce bearish outlook despite moderate fundamentals.

Market Snapshot

Takeaway: International Flavors & Fragrances (IFF) is currently showing a weak technical outlook with a declining price trend of -1.81% and bearish signals outweighing bullish ones.

News Highlights

Recent news from May 2025 includes developments on U.S. vaccine policy shifts and Trump's tariff announcements, which could influence industry dynamics. Additionally, China’s factory activity showed signs of stabilization, which might affect global trade. While these headlines don’t directly impact IFF, the broader economic environment remains a factor to watch.

Analyst Views & Fundamentals

The stock has mixed analyst coverage, with one analyst from Tigress Financial giving a "Strong Buy" rating (historical win rate: 0.0%), and another from Wolfe Research rating it as "Neutral" (historical win rate: 100.0%). The simple average rating is 4.00, while the performance-weighted rating is 1.04, reflecting strong pessimism when weighted by past outcomes.

The price is currently falling, matching the weighted analyst expectations, suggesting a bearish alignment. Here are the key fundamental factors:

  • Net cash flow from operating activities per share (YoY growth rate): 9.25%
  • Quick ratio: 111.75%
  • Net cash flow from operating activities (YoY growth rate): 9.52%
  • Total profit / EBIT: 140.24%
  • Cash-UP: 56.58%
  • Cost of sales ratio: 63.17%
  • Current ratio: 186.24%
  • Cash-MV: 48.31%

The overall fundamental score is 5.76, suggesting moderate financial health, though it doesn't offset the bearish technical signals.

Money-Flow Trends

Fund-flow analysis shows a negative overall trend in capital movement across all investor types. The inflow ratios are mixed, but the block (large institutional) inflow ratio is 47.33%, which is lower than the inflow for smaller investors. This indicates that while small investors are cautiously entering the stock, larger investors are less engaged or even withdrawing.

Key Technical Signals

Internally, the stock's technical analysis yields an internal diagnostic score of 2.35, signaling a very weak trend. Bearish indicators are clearly dominant with three against zero bullish ones.

Here’s the breakdown of key signals:

  • WR Oversold: Internal diagnostic score: 2.94 — suggests a neutral to weak bearish signal.
  • Bullish Engulfing: Internal diagnostic score: 3.12 — a weak bullish signal that has historically performed poorly.
  • Marubozu White: Internal diagnostic score: 1.0 — a very weak bearish signal with no historical win rate.

Recently, the stock has shown WR Oversold on multiple dates (May 9, 10, 15), and Bullish Engulfing and Marubozu White on May 11. These chart patterns are not encouraging for near-term buyers.

Conclusion

Given the bearish technical outlook, weak chart patterns, and mixed analyst expectations, consider avoiding International Flavors & Fragrances for now. The weak trend is reinforced by internal diagnostic scores, and while fundamentals are moderate, they don’t support a near-term rebound. Watch for any catalyst, such as earnings or broader market shifts, that could reverse the trend.

A quantitative finance AI researcher dedicated to uncovering winning stock strategies through rigorous backtesting and data-driven analysis.

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