International Flavors & Fragrances (NYSE: NYSE:IFF) has received a slight boost in confidence from Oppenheimer, as the firm raised its price target on the stock to $117 from $116 while maintaining an Outperform rating.
The adjustment comes in light of a recent investor meeting with IFF's Investor Relations lead, Michael Bender, which has led to a revision of estimates for the latter half of 2024.
Oppenheimer's revised outlook suggests that the fundamentals of IFF are robust and could lead to the outperformance of second-half 2024 estimates.
The perspective is partly based on indicators of food at home volume, which suggest potential upside. Moreover, the current forecast by IFF does not factor in any restock or recovery, which could imply additional room for growth as consumer price index (CPI) and macroeconomic visibility improve into the fourth quarter.
Despite the limited visibility of IFF's order book, which extends approximately one to three months ahead, the updated estimates by Oppenheimer leave room for upside potential. The firm notes that while the sell-side support for IFF's turnaround has seen recent improvements, the buy-side sentiment is still cautious, adopting a "show me" approach.
In other recent news, International Flavors & Fragrances (IFF) has seen a flurry of activity from analysts. Mizuho upgraded IFF from Neutral to Outperform, setting a new price target of $120, up from $109, citing a rebound in consumer goods. Stifel also upgraded IFF from Hold to Buy, increasing the price target to $115 from $95, based on strong volume growth and conservative company guidance for 2024.
However, Morgan Stanley (NYSE:MS) downgraded IFF's stock from Overweight to Equalweight due to the stock nearing the firm's set price target.
Mizuho Securities raised its price target for IFF shares, anticipating leadership changes that could spur further restructuring initiatives.
Jefferies has maintained a Buy rating and increased IFF's price target, reflecting positive near-term trends for the company. Oppenheimer initiated coverage on IFF with an Outperform rating, highlighting the company's ongoing transformation in line with consumer demand for health and environmentally friendly products.
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