UPDATE: Citigroup Reiterates Neutral Rating, Raises PT on Inter Parfums

In a report published Wednesday, Citigroup reiterated its Neutral rating on Inter Parfums (NASDAQ: IPAR), and raised its price target from $20.00 to $22.00.Citigroup noted, “We rate the shares of Inter Parfums Neutral based primarily on our concerns about the stock's current valuation, which we believe adequately reflects the earnings growth outlook for the company over the next several years. Indeed, while the concentration of Inter Parfums' business has historically been in one primary brand (Burberry), the company's diversification initiatives seem to be gaining traction, and the company's establishment of four new majority-owned distributors in Europe is helping to drive margin improvement. While we acknowledge these new initiatives may impact meaningfully the company's sales and earnings growth going forward beyond our forecast, we believe our current earnings expectations, and thus the company's current stock price, adequately reflect realistic outcomes for each of these factors at this point.”Inter Parfums closed on Tuesday at $21.40.