International Flavors Price To Earning vs. Return On Asset

IFF Stock  USD 90.82  0.11  0.12%   
Based on International Flavors' profitability indicators, International Flavors Fragrances may not be well positioned to generate adequate gross income at this time. It has a very high probability of underperforming in December. Profitability indicators assess International Flavors' ability to earn profits and add value for shareholders. At this time, International Flavors' Operating Cash Flow Sales Ratio is most likely to slightly decrease in the upcoming years. The International Flavors' current Days Of Sales Outstanding is estimated to increase to 78.17, while EV To Sales is projected to decrease to 2.23. At this time, International Flavors' Change To Netincome is most likely to increase significantly in the upcoming years.
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.50.3207
Way Up
Slightly volatile
For International Flavors profitability analysis, we use financial ratios and fundamental drivers that measure the ability of International Flavors to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well International Flavors Fragrances utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between International Flavors's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of International Flavors Fragrances over time as well as its relative position and ranking within its peers.
  

International Flavors' Revenue Breakdown by Earning Segment

Check out Risk vs Return Analysis.
Is Specialty Chemicals space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of International Flavors. If investors know International will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about International Flavors listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
1.346
Dividend Share
2.01
Earnings Share
(9.08)
Revenue Per Share
44.769
Quarterly Revenue Growth
0.037
The market value of International Flavors is measured differently than its book value, which is the value of International that is recorded on the company's balance sheet. Investors also form their own opinion of International Flavors' value that differs from its market value or its book value, called intrinsic value, which is International Flavors' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because International Flavors' market value can be influenced by many factors that don't directly affect International Flavors' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between International Flavors' value and its price as these two are different measures arrived at by different means. Investors typically determine if International Flavors is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, International Flavors' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

International Flavors Return On Asset vs. Price To Earning Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining International Flavors's current stock value. Our valuation model uses many indicators to compare International Flavors value to that of its competitors to determine the firm's financial worth.
International Flavors Fragrances is rated fourth overall in price to earning category among its peers. It is rated below average in return on asset category among its peers . The ratio of Price To Earning to Return On Asset for International Flavors Fragrances is about  1,961 . The International Flavors' current Return On Assets is estimated to increase to -0.08. Comparative valuation analysis is a catch-all technique that is used if you cannot value International Flavors by discounting back its dividends or cash flows. It compares the stock's price multiples to nearest competition to determine if the stock is relatively undervalued or overvalued.

International Return On Asset vs. Price To Earning

Price to Earnings ratio is typically used for current valuation of a company and is one of the most popular ratios that investors monitor daily. Holding a low PE stock is less risky because when a company's profitability falls, it is likely that earnings will also go down as well. In other words, if you start from a lower position, your downside risk is limited. There are also some investors who believe that low Price to Earnings ratio reflects the low pricing because a given company is in trouble. On the other hand, a higher PE ratio means that investors are paying more for each unit of profit.

International Flavors

P/E

 = 

Market Value Per Share

Earnings Per Share

 = 
31.58 X
Generally speaking, the Price to Earnings ratio gives investors an idea of what the market is willing to pay for the company's current earnings.
Return on Asset or ROA shows how effective is the management of the company in generating income from utilizing all of the assets at their disposal. It is a useful ratio to evaluate the performance of different departments of a company as well as to understand management performance over time.

International Flavors

Return On Asset

 = 

Net Income

Total Assets

 = 
0.0161
Return on Asset measures overall efficiency of a company in generating profits from its total assets. It is expressed as the percentage of profits earned per dollar of Asset. A low ROA typically means that a company is asset-intensive and therefore will needs more money to continue generating revenue in the future.

International Return On Asset Comparison

International Flavors is currently under evaluation in return on asset category among its peers.

International Flavors Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in International Flavors, profitability is also one of the essential criteria for including it into their portfolios because, without profit, International Flavors will eventually generate negative long term returns. The profitability progress is the general direction of International Flavors' change in net profit over the period of time. It can combine multiple indicators of International Flavors, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
Last ReportedProjected for Next Year
Accumulated Other Comprehensive Income-1.9 B-1.8 B
Operating Income-2.1 B-2 B
Income Before Tax-2.5 B-2.4 B
Total Other Income Expense Net-408 M-387.6 M
Net Loss-2.6 B-2.4 B
Income Tax Expense45 M42.8 M
Net Loss-1.7 B-1.6 B
Net Income From Continuing Ops22 M20.9 M
Non Operating Income Net Other66.7 M70 M
Interest Income386.4 M405.7 M
Net Interest Income-441 M-418.9 M
Change To Netincome2.5 B2.6 B
Net Loss(10.06)(9.56)
Income Quality(0.56)(0.53)
Net Income Per E B T 1.02  0.56 

International Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on International Flavors. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of International Flavors position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the International Flavors' important profitability drivers and their relationship over time.

Use International Flavors in pair-trading

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if International Flavors position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in International Flavors will appreciate offsetting losses from the drop in the long position's value.

International Flavors Pair Trading

International Flavors Fragrances Pair Trading Analysis

The ability to find closely correlated positions to International Flavors could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace International Flavors when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back International Flavors - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling International Flavors Fragrances to buy it.
The correlation of International Flavors is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as International Flavors moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if International Flavors moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for International Flavors can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your International Flavors position

In addition to having International Flavors in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

Did You Try This Idea?

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Oil And Gas
Oil And Gas Theme
Companies involved in drilling, production, and distribution of oil and gas pipelines. The Oil And Gas theme has 42 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Oil And Gas Theme or any other thematic opportunities.
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When determining whether International Flavors is a strong investment it is important to analyze International Flavors' competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact International Flavors' future performance. For an informed investment choice regarding International Stock, refer to the following important reports:
Check out Risk vs Return Analysis.
You can also try the Fundamental Analysis module to view fundamental data based on most recent published financial statements.
To fully project International Flavors' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of International Flavors at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include International Flavors' income statement, its balance sheet, and the statement of cash flows.
Potential International Flavors investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although International Flavors investors may work on each financial statement separately, they are all related. The changes in International Flavors's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on International Flavors's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.