Comparing Interparfums (NASDAQ:IPAR) & Hengan International Group (OTCMKTS:HEGIY)

Hengan International Group (OTCMKTS:HEGIY) and Interparfums (NASDAQ:IPAR) are both mid-cap consumer discretionary companies, but which is the better stock? We will compare the two companies based on the strength of their analyst recommendations, institutional ownership, valuation, profitability, dividends, risk and earnings.

Risk & Volatility

Hengan International Group has a beta of 0.14, meaning that its stock price is 86% less volatile than the S&P 500. Comparatively, Interparfums has a beta of 1.25, meaning that its stock price is 25% more volatile than the S&P 500.

Dividends

Hengan International Group pays an annual dividend of $0.84 per share and has a dividend yield of 4.5%. Interparfums pays an annual dividend of $3.20 per share and has a dividend yield of 3.9%. Interparfums pays out 62.6% of its earnings in the form of a dividend. Interparfums has raised its dividend for 4 consecutive years.

Profitability

This table compares Hengan International Group and Interparfums’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Hengan International Group	N/A	N/A	N/A
Interparfums	11.24%	16.31%	11.22%

Valuation & Earnings

This table compares Hengan International Group and Interparfums”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Hengan International Group	$3.15 billion	1.37	$319.73 million	N/A	N/A
Interparfums	$1.45 billion	1.82	$164.36 million	$5.11	16.11

Hengan International Group has higher revenue and earnings than Interparfums.

Insider & Institutional Ownership

0.0% of Hengan International Group shares are owned by institutional investors. Comparatively, 55.6% of Interparfums shares are owned by institutional investors. 43.7% of Interparfums shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Analyst Ratings

This is a breakdown of current ratings and target prices for Hengan International Group and Interparfums, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Hengan International Group	0	0	0	0	0.00
Interparfums	0	2	5	1	2.88

Interparfums has a consensus price target of $121.00, suggesting a potential upside of 47.00%. Given Interparfums’ stronger consensus rating and higher probable upside, analysts plainly believe Interparfums is more favorable than Hengan International Group.

Summary

Interparfums beats Hengan International Group on 12 of the 16 factors compared between the two stocks.

About Hengan International Group

Hengan International Group Company Limited, an investment holding company, manufactures, distributes, and sells personal hygiene products in the People's Republic of China and internationally. The company offers pocket handkerchiefs, box and soft tissue papers, kitchen towels/papers, toilet rolls, first-aid products, enema, garbage and food bags, preservation papers, table cloths and disposable toilet brush, sanitary napkins, pantiliners, overnight pants, wet tissues, maternal and child care products, adult and baby diapers, and cleansing products. It is also involved in the trading of various products for ladies, pregnant women, infants, and kids, as well as disposable fiber-based products; and engages in the ecommerce business. In addition, the company manufactures and distributes heat and power; and manufactures, distributes, and sells gas, protective equipment, medical instrument, skin care products, antiseptics, and household products. Hengan International Group Company Limited was founded in 1985 and is headquartered in Jinjiang, the People's Republic of China.

About Interparfums

Inter Parfums, Inc., together with its subsidiaries, manufactures, markets, and distributes a range of fragrances and fragrance related products in the United States and internationally. It operates in two segments, European Based Operations and United States Based Operations. The company offers its fragrance and cosmetic products under the Boucheron, Coach, Jimmy Choo, Karl Lagerfeld, Kate Spade, Lanvin, Moncler, Montblanc, Rochas, S.T. Dupont, Van Cleef & Arpels, Abercrombie & Fitch, Anna Sui, Donna Karan, DKNY, Emanual Ungaro, Ferragamo, Graff, GUESS, Hollister, MCM, Oscar de la Renta, Ungaro, and Roberto Cavalli brands, as well as French Connection, Intimate, and Dunhill, Lacoste names. It sells its products to department stores, perfumeries, specialty stores, duty free shops, and domestic and international wholesalers, and distributors, as well as through e-commerce. 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 1982 and is headquartered in New York, New York.