Interparfums (NASDAQ:IPAR) & Lifetime Brands (NASDAQ:LCUT) Head-To-Head Analysis

Interparfums (NASDAQ:IPAR) and Lifetime Brands (NASDAQ:LCUT) are both consumer discretionary companies, but which is the superior investment? We will contrast the two businesses based on the strength of their risk, analyst recommendations, institutional ownership, valuation, dividends, earnings and profitability.

Dividends

Interparfums pays an annual dividend of $3.20 per share and has a dividend yield of 3.5%. Lifetime Brands pays an annual dividend of $0.17 per share and has a dividend yield of 1.9%. Interparfums pays out 60.7% of its earnings in the form of a dividend. Lifetime Brands pays out -13.4% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Interparfums has raised its dividend for 4 consecutive years. Interparfums is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Institutional & Insider Ownership

55.6% of Interparfums shares are held by institutional investors. Comparatively, 40.6% of Lifetime Brands shares are held by institutional investors. 43.7% of Interparfums shares are held by insiders. Comparatively, 44.4% of Lifetime Brands shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Analyst Ratings

This is a summary of recent recommendations for Interparfums and Lifetime Brands, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Interparfums	0	3	4	1	2.75
Lifetime Brands	1	1	1	1	2.50

Interparfums currently has a consensus price target of $106.00, suggesting a potential upside of 16.14%. Lifetime Brands has a consensus price target of $7.00, suggesting a potential downside of 21.44%. Given Interparfums’ stronger consensus rating and higher probable upside, analysts clearly believe Interparfums is more favorable than Lifetime Brands.

Profitability

This table compares Interparfums and Lifetime Brands’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Interparfums	11.32%	15.47%	10.82%
Lifetime Brands	-4.22%	8.01%	2.76%

Risk and Volatility

Interparfums has a beta of 1.16, indicating that its stock price is 16% more volatile than the S&P 500. Comparatively, Lifetime Brands has a beta of 1, indicating that its stock price has a similar volatility profile to the S&P 500.

Valuation and Earnings

This table compares Interparfums and Lifetime Brands”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Interparfums	$1.49 billion	1.96	$168.39 million	$5.27	17.32
Lifetime Brands	$647.93 million	0.31	-$26.94 million	($1.27)	-7.02

Interparfums has higher revenue and earnings than Lifetime Brands. Lifetime Brands is trading at a lower price-to-earnings ratio than Interparfums, indicating that it is currently the more affordable of the two stocks.

Summary

Interparfums beats Lifetime Brands on 15 of the 17 factors compared between the two stocks.

About Interparfums

Inter Parfums, Inc., together with its subsidiaries, manufactures, markets, and distributes a range of fragrances and fragrance related products in the United States and internationally. It operates in two segments, European Based Operations and United States Based Operations. The company offers its fragrance and cosmetic products under the Boucheron, Coach, Jimmy Choo, Karl Lagerfeld, Kate Spade, Lanvin, Moncler, Montblanc, Rochas, S.T. Dupont, Van Cleef & Arpels, Abercrombie & Fitch, Anna Sui, Donna Karan, DKNY, Emanual Ungaro, Ferragamo, Graff, GUESS, Hollister, MCM, Oscar de la Renta, Ungaro, and Roberto Cavalli brands, as well as French Connection, Intimate, and Dunhill, Lacoste names. It sells its products to department stores, perfumeries, specialty stores, duty free shops, and domestic and international wholesalers, and distributors, as well as through e-commerce. The company was formerly known as Jean Philippe Fragrances, Inc. and changed its name to Inter Parfums, Inc. in July 1999. Inter Parfums, Inc. was founded in 1982 and is headquartered in New York, New York.

About Lifetime Brands

Lifetime Brands, Inc. designs, sources, and sells branded kitchenware, tableware, and other products for use in the home in the worldwide. The company provides kitchenware products, including kitchen tools and gadgets, cutlery, kitchen scales, thermometers, cutting boards, shears, cookware, pantryware, spice racks, and bakeware; and tableware products comprising dinnerware, stemware, flatware, and giftware. It also provides home solutions, such as thermal beverageware, bath scales, weather and outdoor household, food storage, neoprene travel, and home décor products. The company owns or licenses various brands, including the Farberware, Mikasa, Taylor, KitchenAid, Pfaltzgraff, BUILT NY, Rabbit, Kamenstein, S’well, and Fred & Friends. It serves mass market merchants, specialty stores, department stores, warehouse clubs, grocery stores, off-price retailers, food service distributors, food and beverage outlets, and e-commerce. The company sells its products directly, as well as through its retail websites. Lifetime Brands, Inc. was founded in 1945 and is headquartered in Garden City, New York.