We publish no single base value for International Flavors & Fragrances. Our valuation methods put it between $9.69 and $25.58 a share. The valuation code's reason: no point fair value: the two anchors behind it compound the same growth rate and differ only in how they end — a perpetuity at the terminal rate against a multiple on the final year — so the midpoint between them measures terminal treatment rather than what the business is worth. The published range is the same reading with the false precision removed: read it as the span the method supports, and treat neither edge as a point estimate.
| Method | Value | vs price | Basis |
|---|---|---|---|
| Discounted cash flow | $9.69 | -87.9% | free cash flow $499.00m, growth -16.67% for 5 years, then fading to 3% over 5 more, discounted at 9.5%; stress floor $12.64 |
| Exit multiple (P/E) | $25.58 | -68.2% | earnings per share $3.16 valued at 19.38× (the stock's own median P/E) in 5 years, discounted back |
| Sum of the parts | — | — | no sum of the parts: this run holds no segment disclosure for the name |
| Price to sales | — | — | not reached: the cash-flow or earnings methods produced an anchor, so this fallback was not run |
| Tangible book | — | — | used only for lenders, where book value is the business |
| Price to FFO (REITs) | — | — | used only for REITs |
Each working is rebuilt by code from the valuation's own figures and checked against the published value.
The discount rate:
| Risk-free rate | 5.13% (10-year US Treasury yield) |
| Company's own beta | 0.86 (5 years of monthly returns against the S&P 500; standard error 0.21) |
| Peer beta | 1.00 (median of 5 S&P 500 Specialty Chemicals companies) |
| Blend of own and peers | 0.95 (31% own, 69% peers, weighted by how precisely the company's own beta is measured) |
| Adjusted beta | 0.97 (0.67 × 0.95 + 0.33, pulled toward the market's 1.0) |
| Equity risk premium | 4.5% |
| Discount rate = risk-free + adjusted beta × premium | 9.50% |
Free cash flow grows -16.67% a year for 5 years, then fades in equal steps toward 3% over 5 more; each year is discounted by 1 ÷ (1 + rate)^year:
| Year | Growth | Free cash flow | Discount factor | Present value |
|---|---|---|---|---|
| Now | — | $499.00m | — | — |
| Year 1 | -16.67% | $415.82m | 0.9133 | $379.76m |
| Year 2 | -16.67% | $346.50m | 0.8341 | $289.01m |
| Year 3 | -16.67% | $288.74m | 0.7618 | $219.95m |
| Year 4 | -16.67% | $240.61m | 0.6957 | $167.39m |
| Year 5 | -16.67% | $200.50m | 0.6354 | $127.39m |
| Year 6 | -13.39% | $173.65m | 0.5803 | $100.76m |
| Year 7 | -10.11% | $156.09m | 0.5300 | $82.72m |
| Year 8 | -6.84% | $145.42m | 0.4840 | $70.38m |
| Year 9 | -3.56% | $140.25m | 0.4420 | $61.99m |
| Year 10 | -0.28% | $139.85m | 0.4037 | $56.46m |
| Terminal value = year-10 cash flow × (1 + 3%) ÷ (9.50% − 3%) | $2.22bn |
| Terminal value in today's money | $895.35m |
| Present value of years 1–10 | $1.56bn |
| Total present value | $2.45bn |
| Shares outstanding | 253.00m |
| Value per share = total ÷ shares | $9.69 |
How the DCF value moves with the discount rate and the starting growth (the middle cell is the published value):
| Discount rate | Growth -21.67% | Growth -16.67% | Growth -11.67% |
|---|---|---|---|
| 8.50% | $8.09 | $10.95 | $14.90 |
| 9.50% | $7.27 | $9.69 | $13.01 |
| 10.50% | $6.64 | $8.75 | $11.60 |
The same DCF at each beta, starting growth unchanged:
| Beta | Value | Discount rate | DCF value |
|---|---|---|---|
| Company's own beta | 0.86 | 9.00% | $10.26 |
| Peer beta | 1.00 | 9.63% | $9.55 |
| Adjusted beta (used) | 0.97 | 9.50% | $9.69 |
Earnings per share grow on the same fading path as the DCF:
| Year | Growth | Earnings per share |
|---|---|---|
| Now | — | $3.16 |
| Year 1 | -16.67% | $2.64 |
| Year 2 | -10.77% | $2.35 |
| Year 3 | -6.64% | $2.20 |
| Year 4 | -3.75% | $2.11 |
| Year 5 | -1.72% | $2.08 |
| Earnings per share in year 5 | $2.08 |
| Exit P/E (the stock's own median P/E) | 19.38× |
| Value in 5 years = earnings × P/E | $40.26 |
| Discounted at 9.50% over 5 years: ÷ 1.5739 | $25.58 |
We publish no single base value for International Flavors & Fragrances. Our valuation methods put it between $9.69 and $25.58 a share. The valuation code's reason: no point fair value: the two anchors behind it compound the same growth rate and differ only in how they end — a perpetuity at the terminal rate against a multiple on the final year — so the midpoint between them measures terminal treatment rather than what the business is worth. The published range is the same reading with the false precision removed: read it as the span the method supports, and treat neither edge as a point estimate.
One-year price simulation: a 10% chance the price is below $61.10 and a 10% chance it is above $119.05 in a year; a 59% chance it is higher than today's $80.38, from 25.89% volatility. The simulation assumes the price drifts up at our discount rate of 9.5% a year.
At $80.38 the price implies free cash flow growing 19.2% a year for five years and then fading toward 3% over five more; its revenue has grown -16.7%.
| Week | Price | Base value |
|---|---|---|
| 2 Oct 2026 | $82.42 | — |
| 9 Oct 2026 | $84.55 | — |
| 16 Oct 2026 | $90.68 | — |
| 23 Oct 2026 | $94.15 | — |
| 30 Oct 2026 | $93.02 | — |
| 6 Nov 2026 | $82.62 | — |
| 12 Nov 2026 | $80.38 | — |
Data as of 12 Nov 2026; financials to 30 Sep 2026. Sources: company filings via EODHD, SEC EDGAR, US Treasury. How these values are computed. Not investment advice.
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