Reviewing Interparfums (IPAR) & The Competition

Interparfums (NASDAQ:IPAR) is one of 55 publicly-traded companies in the “Personal Care Products” industry, but how does it weigh in compared to its peers? We will compare Interparfums to related companies based on the strength of its valuation, risk, analyst recommendations, earnings, institutional ownership, profitability and dividends.

Earnings and Valuation

This table compares Interparfums and its peers gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Interparfums	$1.49 billion	$168.39 million	25.87
Interparfums Competitors	$8.01 billion	$1.11 billion	8.49

Interparfums’ peers have higher revenue and earnings than Interparfums. Interparfums is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.

Dividends

Interparfums pays an annual dividend of $3.20 per share and has a dividend yield of 2.4%. Interparfums pays out 61.2% of its earnings in the form of a dividend. As a group, “Personal Care Products” companies pay a dividend yield of 3.6% and pay out 47.8% of their earnings in the form of a dividend. Interparfums has raised its dividend for 4 consecutive years. Interparfums lags its peers as a dividend stock, given its lower dividend yield and higher payout ratio.

Insider and Institutional Ownership

55.6% of Interparfums shares are held by institutional investors. Comparatively, 47.9% of shares of all “Personal Care Products” companies are held by institutional investors. 43.6% of Interparfums shares are held by company insiders. Comparatively, 11.7% of shares of all “Personal Care Products” companies are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Risk and Volatility

Interparfums has a beta of 1.08, suggesting that its share price is 8% more volatile than the S&P 500. Comparatively, Interparfums’ peers have a beta of 0.80, suggesting that their average share price is 20% less volatile than the S&P 500.

Profitability

This table compares Interparfums and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Interparfums	11.33%	15.44%	11.05%
Interparfums Competitors	-5.63%	-66.11%	-0.44%

Analyst Ratings

This is a breakdown of current ratings for Interparfums and its peers, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Interparfums	1	5	2	0	2.12
Interparfums Competitors	896	2923	3648	228	2.42

Interparfums presently has a consensus price target of $123.29, indicating a potential downside of 8.87%. As a group, “Personal Care Products” companies have a potential downside of 0.34%. Given Interparfums’ peers stronger consensus rating and higher probable upside, analysts plainly believe Interparfums has less favorable growth aspects than its peers.

Summary

Interparfums peers beat Interparfums on 8 of the 15 factors compared.

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.