Interparfums Inc. Common Stock (IPAR)
Slow GrowerFairStock Score: 71/100 — STEADY
Key Financials
| Current Price | $86.16 |
| Market Cap | $2.9B |
| P/E Ratio | 16.35 |
| ROE | 19.76% |
| Dividend Yield | 3.5% |
| Sector | Consumer Defensive |
Strengths
- Generates $99 million in annual free cash flow (3.4% yield on market cap)
- High return on equity of 20.3% demonstrating efficient capital deployment
- Conservative balance sheet with debt-to-equity of just 0.19, providing financial flexibility
- Altman Z-Score of 5.2 confirms minimal bankruptcy risk and strong solvency
- Attractive 3.5% dividend yield providing steady income returns
Concerns
- Trades significantly above Graham Number ($57) with negative 62% margin of safety—limited downside protection
AI Analysis
Interparfums Inc. Common Stock is a small-cap consumer defensive company valued at $2.9 billion. Revenue stands at $1.5 billion. From a quality standpoint, Interparfums shows Altman Z-Score of 5.2 confirms fortress-level solvency and strong 20% ROE. On valuation, the stock is reasonably priced at 17.4x earnings, with trades above its Graham Number with a negative 62% margin. Growth dynamics show revenue growing at 6.8% and profit growth of 16.0%. The 3.5% dividend yield adds an income component for patient holders. Our composite FairStock Score of 71/100 reflects above-average fundamentals overall. Investors should weigh the business quality against the current price and their own margin of safety requirements.
Bull Case
Improving fundamentals and sector tailwinds could drive meaningful earnings growth, compressing the effective multiple for patient investors. With $99 million in annual free cash flow (3.4% yield), management has ample capital for buybacks, dividends, or accretive acquisitions.
Bear Case
Macro headwinds or sector-specific disruption could pressure margins, particularly if competitive intensity increases in the consumer defensive space. Regulatory changes, input cost inflation, or demand normalization represent underappreciated risks that could materially impact forward estimates.
Data from SEC filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer