Hedgeye CEO Keith McCullough is adding International Flavors & Fragrances (IFF) to the short side of Investing Ideas. Below is a brief note.
Looking to broaden your short book ahead of Deep #Pod4 Earnings Season? On green is when professional short sellers do that. We fade the FOMO.
New idea from one of our best Pod Analysis Short Sellers, Industrials analyst Jay Van Sciver: Intl Flavors & Fragrances (IFF). Here's a summary excerpt from his Institutional Research note:
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We were surprised by the evident weakness in IFF’s quarter-end positioning. Incremental data and field work have increased our confidence in the bear thesis. We have assumed that investors would see the N&B deal as a bit desperate - faddish assets pursued to paper over the troubled Frutarom deal. IFF may look defensive, but it isn’t. Mature, ‘seasoned’ business lines have trended flat to down, while poor capital allocation aimed at offsetting core trends have likely destroyed billions in shareholder value. |
Sellem at lower-highs within Bearish @Hedgeye TREND signals,
KM