IFFNEUTRAL

IFF Return on Equity (ROE) Analysis

-5.5%

Updated 417h ago·SEC filings & market data

Key Takeaway

Return on Equity (ROE) measures how much profit a company generates for each dollar of shareholder equity; a negative -5.5% means IFF is currently losing money relative to its invested capital.

Sector Performance

14th percentile

IFF

-5.5%

Sector Median

13.3%

Sector Avg

16.9%

Prior Period

6.1%(Jul 2026)

↓ Declining

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Deep Analysis

Return on Equity (ROE) measures how much profit a company generates for each dollar of shareholder equity; a negative -5.5% means IFF is currently losing money relative to its invested capital.

The sector median is 13.4%, and IFF sits in the 13th percentile among peers, placing it far below typical profitability. The trend is N/A for the year-over-year change, but the quarter-over-quarter change is -190.2%, driven by a drop from 6.1% to -5.5% in the most recent periods. A negative ROE combined with a steep quarterly decline signals significant near-term financial strain and heightened investment risk. This does not support the overall NEUTRAL verdict; instead, it contradicts it, pointing toward a negative outlook on profitability.

Frequently Asked Questions

What does the Return on Equity (ROE) tell investors about IFF?

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.

How is the Return on Equity (ROE) calculated?

Return on Equity (ROE) is calculated as: Net Income / Shareholders' Equity.

Who are IFF's closest peers by Return on Equity (ROE)?

The closest peers by Return on Equity (ROE) include: LOW (-67.1%), MAR (-69.0%), BMBL (-76.9%), WBA (-82.7%), NIO (-84.0%).

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Learn More About Return on Equity (ROE)

What Is Return on Equity (ROE) and Is Higher Always Better?

Return on equity ROE measures how efficiently a company generates profit from shareholder capital. Learn how to decompose ROE using DuPont analysis and why high leverage can make it dangerous—with Apple and JPMorgan examples.

The Formula

Net Income / Shareholders' Equity

Why It Matters

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.