Interparfums overview and recent share performance
Interparfums (IPAR) shares recently closed at US$90.53, with a return close to flat over the past week but a decline of about 10% over the past month and a 20% drop over the past year.
Over the past 3 months, the stock shows a gain of about 7%, while the year to date return is around 6%. Over a longer horizon, the 3 year total return is about 31% lower, compared with a 42% total return over 5 years.
See our latest analysis for Interparfums.
The recent 10% 1 month share price decline contrasts with a 7% 3 month share price gain and a 5 year total shareholder return of 42%, suggesting long term holders have still seen meaningful value even as near term momentum has cooled.
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With Interparfums trading at US$90.53 and sitting at a 54% discount to an estimated intrinsic value and a 23% discount to analyst targets, should you see this as a mispriced opportunity, or as a sign the market already reflects future growth?
Most Popular Narrative: 18.6% Undervalued
With Interparfums last closing at $90.53 versus a narrative fair value of $111.20, the current pricing gap centers on how durable its growth and margins can be.
Interparfums is significantly expanding its e-commerce and digital marketing capabilities, including targeted programs for channels like Amazon and TikTok, which positions the company to capture incremental market share and drive international sales by engaging directly with global consumers, likely to accelerate revenue and margin growth due to increased reach and higher-margin channels.
Curious what kind of revenue path and margin profile has to hold for that valuation to add up? The core narrative leans on steady growth, resilient profitability, and a richer earnings multiple tied to that outlook.
Result: Fair Value of $111.20 (UNDERVALUED)
Have a read of the narrative in full and understand what's behind the forecasts.
However, this hinges on key assumptions. Setbacks such as weaker than modeled 6.12% revenue growth or pressure on the assumed 11.19% profit margin could quickly challenge it.
Find out about the key risks to this Interparfums narrative.
Next Steps
With sentiment clearly mixed, this is a good moment to check the underlying data yourself and decide how comfortable you are with the balance of opportunity and concern, then weigh up the 4 key rewards and 1 important warning sign
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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