IPAR
Inter Parfums, Inc.
$123.23
Platform & Compounding FCF
85%
Two-stage FCF DCF
Moderate
·
Conviction
Fair Value
Trading 18.6% below fair value
You pay
$123.23
Bear
$104.41
Fair
$151.47
Bull
$200.96
Bear
$104.41
-15.3%
8% stage 1 growth, 11% discount
Fair
$151.47
+22.9%
13% stage 1 growth, 11% discount
Bull
$200.96
+63.1%
16% stage 1 growth, 11% discount
Key Value Driver
FCF growth rate (13% base case)
Terminal Value % of EV
41%
Implied Market Multiple
20.3x
Market is pricing in (growth)
9.2%
vs 12.7% base
Summary
Our base-case estimate uses a two-stage discounted cash flow model based on free cash flow. We then blend that result with the average analyst price target of $129.00 from 19 analysts, using a 25% weight on analyst consensus. That produces an estimated intrinsic value of $151.47 per share.
Key Risks
- P/E alone misleads — earnings depressed by growth investment
- Cyclical or commodity businesses may be misclassified as platforms
- Terminal value dominance suggests sensitivity to long-run assumptions