International Flavors & Fragrances Inc (IFF) is overvalued and Sherwin-Williams Co (SHW) is overvalued.
Both trade above our estimate of their intrinsic value. SHW is the closer of the two: -125%, 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 9.7% (average of 3 methods) values the shares at $146.16; the price of $328.35 is 125% above that value, and 73% of that value comes from beyond year five.
Leak Score 71/100 on 9 of 12 signals
| Metric | IFF | SHW |
|---|---|---|
| Verdict | Overvalued | Overvalued |
| Price | $85.79 | $328.35 |
| Intrinsic value | $10.51 | $146.16 |
| Margin of safety | -717% | -125% |
| Leak Score | 24/100 (9/12) | 71/100 (9/12) |
| Market cap | $21.9B | $79.7B |
| Revenue growth, 5 years | 16.5% | 5.1% |
| Operating margin | 10.5% | 16.5% |
| Net margin | 2.8% | 11.0% |
| Return on equity | 1.8% | 65.1% |
| Debt to equity | 0.45 | 3.90 |
| P/E | 79.6x | 30.3x |
| Forward P/E | 21.5x | 24.2x |
| P/B | 1.6x | 20.7x |
| Dividend yield | 1.9% | 0.9% |