International Flavors & Fragrances Inc (IFF) is overvalued and LyondellBasell Industries NV (LYB) is slightly undervalued.
Against our estimates of intrinsic value, LYB trades at the wider discount: a margin of safety of +14%, against -717% for IFF.
Values as of the 22 Sept 2026 close.
Its through-the-cycle earnings (8.9% median margin), capitalised at 8.8% with no growth, values the shares at $10.51; the price of $85.79 is 717% above that value.
Leak Score 24/100 on 9 of 12 signals
Discounting its cash flows at 6.6% (average of 2 methods) values the shares at $69.16; the price of $59.24 is 14% below that value, and 84% of that value comes from beyond year five.
Leak Score 30/100 on 2 of 12 signals
| Metric | IFF | LYB |
|---|---|---|
| Verdict | Overvalued | Slightly undervalued |
| Price | $85.79 | $59.24 |
| Intrinsic value | $10.51 | $69.16 |
| Margin of safety | -717% | +14% |
| Leak Score | 24/100 (9/12) | 30/100 (2/12) |
| Market cap | $21.9B | $19.1B |
| Revenue growth, 5 years | 16.5% | 1.7% |
| Operating margin | 10.5% | 7.8% |
| Net margin | 2.8% | -1.1% |
| Return on equity | 1.8% | -2.3% |
| Debt to equity | 0.45 | 1.33 |
| P/E | 79.6x | — |
| Forward P/E | 21.5x | 9.5x |
| P/B | 1.6x | 1.8x |
| Dividend yield | 1.9% | 5.3% |