Company Overview - Sensient Technologies Corporation (SXT) is positioned to benefit from regulatory changes aimed at banning synthetic dyes, particularly through Robert F. Kennedy Jr.'s Make America Healthy Again initiative [2] - The company's share price was $113.21 as of September 8th, with a trailing P/E of 35.60 [1] Market Opportunity - Sensient is the leading player in natural food colors, which currently account for approximately 60% of its colors segment, contributing to about half of its EBIT [2] - The U.S. market for natural colors has significant growth potential, with current penetration at 33% compared to around 80% in Europe [2] Financial Projections - The transition to natural colors is expected to significantly enhance revenue, as natural colors require up to 10 times more volume than synthetic alternatives and can command nearly double the pricing [3] - Earnings per share (EPS) are projected to increase from approximately $3.00 to $4.52 in 2025 and $5.78 in 2026, suggesting a fair value of around $144.5 per share at a 25x earnings multiple, indicating a 32% upside from current levels near $100 [3] Analyst Coverage and Strategic Positioning - Sensient Technologies remains underfollowed with limited analyst coverage and a concentrated European investor base, which may overlook U.S.-listed ingredient companies [4] - The flavors and extracts division, along with operations in China, supports the remaining 50% of EBIT, providing stability and diversification [4] - Sensient could also be a strategic acquisition target for larger European ingredient companies, presenting another potential growth catalyst [4]