New York-based International Flavors & Fragrances Inc. ( IFF ) recently announced the opening of a new flavors creative facility in Jakarta, Indonesia. Also, the company unveiled plans to open a new sales office and applications laboratories in Chile.
As disclosed, the new flavors facility will expand International Flavors & Fragrances' presence in Indonesia. The facility, scheduled to be build at the company's existing site, will boost the coverage area to 1,500 square meters.
In addition, the new sales office and applications laboratories in Chile will support International Flavors & Fragrances' Flavors business expansion in the region. The total coverage area of the facility will be 300 square meters.
We believe that reviving global economy and better consumer spending is a positive driver for the flavors and fragrances industry. For International Flavors & Fragrances, new business wins, substantial geographical diversifications, wide product lines, continuous accomplishments in research and intense consumer insight have been prime growth factors over time.
For 2014, International Flavors & Fragrances maintained its revenue growth forecast at 4−6%, including 1% growth from Aromor. The Fragrances business is expected to grow modestly in fourth quarter while Flavors business is likely to exhibit strong sales momentum.
The Zacks Consensus Estimate for the stock is pegged at $5.04 for 2014 and $5.47 for 2015, reflecting year-over-year growth of 13.1% and 8.5% respectively.
With a market capitalization of $8.1 billion, International Flavors & Fragrances presently carries a Zacks Rank #3 (Hold). Some better-ranked stocks in the industry include Minerals Technologies Inc. ( MTX ), NL Industries Inc. ( NL ) and Taminco Corporation ( TAM ). All these stocks sport a Zacks Rank #1 (Strong Buy).
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.