Reviewing Interparfums (NASDAQ:IPAR) and Nature’s Sunshine Products (NASDAQ:NATR)

Nature’s Sunshine Products (NASDAQ:NATR) and Interparfums (NASDAQ:IPAR) are both consumer staples companies, but which is the superior investment? We will contrast the two businesses based on the strength of their dividends, risk, analyst recommendations, earnings, profitability, institutional ownership and valuation.

Profitability

This table compares Nature’s Sunshine Products and Interparfums’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Nature’s Sunshine Products	3.68%	12.88%	8.17%
Interparfums	11.17%	15.21%	10.85%

Volatility and Risk

Nature’s Sunshine Products has a beta of 0.81, meaning that its share price is 19% less volatile than the S&P 500. Comparatively, Interparfums has a beta of 1.16, meaning that its share price is 16% more volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent recommendations for Nature’s Sunshine Products and Interparfums, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Nature’s Sunshine Products	0	1	2	0	2.67
Interparfums	2	4	2	1	2.22

Nature’s Sunshine Products currently has a consensus target price of $30.50, indicating a potential upside of 141.30%. Interparfums has a consensus target price of $123.29, indicating a potential upside of 6.57%. Given Nature’s Sunshine Products’ stronger consensus rating and higher possible upside, equities research analysts plainly believe Nature’s Sunshine Products is more favorable than Interparfums.

Insider & Institutional Ownership

79.4% of Nature’s Sunshine Products shares are held by institutional investors. Comparatively, 55.6% of Interparfums shares are held by institutional investors. 3.1% of Nature’s Sunshine Products shares are held by company insiders. Comparatively, 43.6% of Interparfums shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Earnings and Valuation

This table compares Nature’s Sunshine Products and Interparfums”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Nature’s Sunshine Products	$480.14 million	0.46	$19.52 million	$1.01	12.51
Interparfums	$1.49 billion	2.49	$168.39 million	$5.23	22.12

Interparfums has higher revenue and earnings than Nature’s Sunshine Products. Nature’s Sunshine Products is trading at a lower price-to-earnings ratio than Interparfums, indicating that it is currently the more affordable of the two stocks.

Summary

Interparfums beats Nature’s Sunshine Products on 11 of the 14 factors compared between the two stocks.

About Nature’s Sunshine Products

Nature’s Sunshine Products, Inc., a natural health and wellness company, manufactures and sells nutritional and personal care products in Asia, Europe, North America, Latin America, and internationally. It offers general health products related to blood sugar support, bone health, cellular health, cognitive function, joint health, mood, sexual health, sleep, sports and energy, and vision. The company also provides immunity, cardiovascular, and digestive products; and personal care products, such as oils and lotions, aloe vera gels, herbal shampoos, herbal skin treatment, toothpaste, and skin cleansers, as well as weight management products. It offers its products under the Nature’s Sunshine and Synergy WorldWide brands through a sales force of independent consultants. Nature’s Sunshine Products, Inc. was founded in 1972 and is headquartered in Lehi, Utah.

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.