NasdaqGS:IPAR

Stock Analysis Report

Executive Summary

Inter Parfums, Inc., together with its subsidiaries, manufactures, markets, and distributes a range of fragrances and fragrance related products.


Snowflake Analysis

Excellent balance sheet with proven track record and pays a dividend.


Similar Companies

Share Price & News

How has Inter Parfums's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: IPAR's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-15.4%

IPAR

-10.4%

US Personal Products

-7.6%

US Market


1 Year Return

-19.7%

IPAR

6.6%

US Personal Products

10.2%

US Market

Return vs Industry: IPAR underperformed the US Personal Products industry which returned 8.1% over the past year.

Return vs Market: IPAR underperformed the US Market which returned 10.5% over the past year.


Shareholder returns

IPARIndustryMarket
7 Day-15.4%-10.4%-7.6%
30 Day-17.1%-4.2%-4.5%
90 Day-18.0%-5.2%-0.6%
1 Year-18.4%-19.7%8.1%6.6%12.5%10.2%
3 Year73.4%64.8%52.1%44.5%37.1%28.3%
5 Year121.1%102.2%48.4%32.6%60.8%43.2%

Price Volatility Vs. Market

How volatile is Inter Parfums's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Inter Parfums undervalued compared to its fair value and its price relative to the market?

30.63x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: IPAR ($60.72) is trading above our estimate of fair value ($30.33)

Significantly Below Fair Value: IPAR is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: IPAR is poor value based on its PE Ratio (31.7x) compared to the Personal Products industry average (15.2x).

PE vs Market: IPAR is poor value based on its PE Ratio (31.7x) compared to the US market (17.2x).


Price to Earnings Growth Ratio

PEG Ratio: IPAR is poor value based on its PEG Ratio (4.7x)


Price to Book Ratio

PB vs Industry: IPAR is overvalued based on its PB Ratio (4.2x) compared to the US Personal Products industry average (1.9x).


Next Steps

Future Growth

How is Inter Parfums forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

6.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: IPAR's forecast earnings growth (6.7% per year) is above the savings rate (1.7%).

Earnings vs Market: IPAR's earnings (6.7% per year) are forecast to grow slower than the US market (13.2% per year).

High Growth Earnings: IPAR's earnings are forecast to grow, but not significantly.

Revenue vs Market: IPAR's revenue (4.3% per year) is forecast to grow slower than the US market (7.6% per year).

High Growth Revenue: IPAR's revenue (4.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: IPAR's Return on Equity is forecast to be low in 3 years time (10%).


Next Steps

Past Performance

How has Inter Parfums performed over the past 5 years?

17.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: IPAR has high quality earnings.

Growing Profit Margin: IPAR's current net profit margins (8.4%) are higher than last year (7.7%).


Past Earnings Growth Analysis

Earnings Trend: IPAR's earnings have grown by 17.8% per year over the past 5 years.

Accelerating Growth: IPAR's earnings growth over the past year (19.9%) exceeds its 5-year average (17.8% per year).

Earnings vs Industry: IPAR earnings growth over the past year (19.9%) underperformed the Personal Products industry 21.4%.


Return on Equity

High ROE: IPAR's Return on Equity (12.9%) is considered low.


Next Steps

Financial Health

How is Inter Parfums's financial position?


Financial Position Analysis

Short Term Liabilities: IPAR's short term assets ($543.3M) exceed its short term liabilities ($167.9M).

Long Term Liabilities: IPAR's short term assets ($543.3M) exceed its long term liabilities ($39.1M).


Debt to Equity History and Analysis

Debt Level: IPAR's debt to equity ratio (4.7%) is considered satisfactory.

Reducing Debt: IPAR's debt to equity ratio has increased from 0.05% to 4.7% over the past 5 years.

Debt Coverage: IPAR's debt is well covered by operating cash flow (262%).

Interest Coverage: IPAR earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: IPAR has a high level of physical assets or inventory.

Debt Coverage by Assets: IPAR's debt is covered by short term assets (assets are 19.4x debt).


Next Steps

Dividend

What is Inter Parfums's current dividend yield, its reliability and sustainability?

2.25%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: IPAR's dividend (2.17%) is higher than the bottom 25% of dividend payers in the US market (1.52%).

High Dividend: IPAR's dividend (2.17%) is low compared to the top 25% of dividend payers in the US market (3.9%).


Stability and Growth of Payments

Stable Dividend: IPAR's dividends per share have been stable in the past 10 years.

Growing Dividend: IPAR's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (57.5%), IPAR's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

26.1yrs

Average management tenure


CEO

Jean Madar (58yo)

23.1yrs

Tenure

US$994,638

Compensation

Mr. Jean Madar founded Inter Parfums Inc. in 1989 and has been its Chief Executive Officer since January 1997. Mr. Madar serves as Chief Executive Officer at Inter Parfums USA, LLC. He serves as Chief Exec ...


CEO Compensation Analysis

Compensation vs Market: Jean's total compensation ($USD994.64K) is below average for companies of similar size in the US market ($USD3.92M).

Compensation vs Earnings: Jean's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Jean Madar
Chairman23.1yrsUS$994.64k22.38% $412.7m
Philippe Bénacin
Vice Chairman28.4yrsUS$1.03m21.76% $401.1m
Russell Greenberg
Executive VP25yrsUS$1.07mno data
Frédéric Garcia-Pelayo
Executive VP & COO of Interparfums SA0yrsUS$1.04mno data
Michelle Habert
Controller & Secretary0yrsno datano data

26.1yrs

Average Tenure

59.5yo

Average Age

Experienced Management: IPAR's management team is seasoned and experienced (26.1 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Jean Madar
Chairman23.1yrsUS$994.64k22.38% $412.7m
Philippe Bénacin
Vice Chairman28.4yrsUS$1.03m21.76% $401.1m
Russell Greenberg
Executive VP25yrsUS$1.07mno data
Patrick Choël
Independent Director13.7yrsUS$75.48k0.0087% $161.1k
Robert Bensoussan-Torres
Independent Director22.9yrsUS$54.62k0.017% $322.2k
Francois Heilbronn
Independent Director32.1yrsUS$59.21k0.11% $1.9m
Philippe Santi
Director20.2yrsUS$1.03mno data
Gilbert Harrison
Independent Director1.8yrsUS$34.02kno data
Michel Dyens
Independent Director0yrsUS$25.58k0.0064% $117.2k
Véronique Gabaï-Pinsky
Independent Director2.4yrsUS$21.00kno data

22.9yrs

Average Tenure

60.5yo

Average Age

Experienced Board: IPAR's board of directors are seasoned and experienced ( 22.9 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Inter Parfums, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Inter Parfums, Inc.
  • Ticker: IPAR
  • Exchange: NasdaqGS
  • Founded: 1985
  • Industry: Personal Products
  • Sector: Household
  • Market Cap: US$1.844b
  • Shares outstanding: 31.46m
  • Website: https://www.interparfumsinc.com

Number of Employees


Location

  • Inter Parfums, Inc.
  • 551 Fifth Avenue
  • Suite 1500
  • New York
  • New York
  • 10176
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
IPARNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDFeb 1988
JF1DB (Deutsche Boerse AG)YesCommon StockDEEURFeb 1988

Biography

Inter Parfums, Inc., together with its subsidiaries, manufactures, markets, and distributes a range of fragrances and fragrance related products. The company operates in two segments, European Based Operations and United States Based Operations. It offers its fragrance and cosmetic products under the Boucheron, Coach, Jimmy Choo, Karl Lagerfeld, Lanvin, Montblanc, Paul Smith, Repetto, Rochas, S.T. Dupont, Van Cleef & Arpels, Abercrombie & Fitch, Agent Provocateur, Anna Sui, bebe, Dunhill, Hollister, French Connection, Graff, GUESS, Lily Aldridge, and Oscar de la Renta brand names, as well as under the Intimate and Aziza names. It sells its products to department stores, perfumeries, specialty stores, domestic and international wholesalers, and distributors. 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 1985 and is headquartered in New York, New York. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/26 23:53
End of Day Share Price2020/02/26 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.