Is Inter Parfums, Inc. overvalued or undervalued?

As of 12 September 2025, the valuation grade for Inter Parfums, Inc. has moved from fair to attractive, indicating a positive shift in its market perception. The company appears to be undervalued, particularly when considering its P/E ratio of 27, which is lower than the peer average of 23.23 for similar companies. Additionally, the EV to EBITDA ratio stands at 18.65, while the industry average is significantly higher, suggesting that the company is generating strong earnings relative to its valuation. The PEG ratio of 1.12 further supports this undervaluation narrative, indicating that the stock is reasonably priced relative to its growth expectations.
In comparison to its peers, e.l.f. Beauty, Inc. is deemed very expensive with a P/E of 80.01, while Reynolds Consumer Products, Inc. shows a P/E of 15.06, which is lower than Inter Parfums. Furthermore, despite recent underperformance with a year-to-date return of -20.79% compared to the S&P 500's 12.22%, the long-term perspective is more favorable, as the company has achieved a remarkable 165.47% return over the past five years, outperforming the S&P 500's 96.61%. This long-term growth potential reinforces the attractiveness of Inter Parfums, Inc. as an investment opportunity.