Oppenheimer Has Perform On International Flavors & Fragrances (IFF)

Oppenheimer & Co. has a Perform rating on shares of International Flavors & Fragrances IFF. In a note to clients, Oppenheimer writes, "IFF reported 4Q10 adjusted EPS of $0.69 (GAAP $0.68), up 9.9% yoy, $0.03 below our estimate. Sales were 2% above model, up 7.6% yoy (-1% F/X) with strength in LatAm and Asia. However, operating income was 9% below model, falling by 7.0% yoy due to shrinking margin from rising input costs, lower R&D credits and higher incentive compensation ($11M above normal). A low 21% tax rate vs. 27-28% ($0.06 benefit) and reduced interest expense aided EPS growth despite lower EBIT." Shares of IFF lost $3.65 yesterday to close at $54.80, a loss of 6.24%.