Inter Parfums Initiated Buy At BWS Financial

In a report published Monday, analyst Hamed Khorsand of BWS Financial initiated coverage of

with a Buy rating and a price target of $45. The company has entered into multi-year exclusive license agreements with its customers to take sole charge of the development, manufacturing and marketing of its fragrance. "IPAR is a special situation growth story in a well established fragrance market," the analyst stated. Despite losing the Burberry line of fragrances in 2013, Inter Parfums has been developing new fragrance lines and adding new customers. The new product lines are expected to roll out over the next few quarters, offering growth to the company's investment story, despite the Fx headwinds. The company intends to launch several new perfumes in 2015, including under the brands of Lanvin, Oscar de la Renta and Jimmy Choo. According to BWS Financial, "New scents usually serve as a catalyst for revenue growth." Not only does the analyst expect the company to be able to post revenue growth in the double digits going forward, he also expects the events planned for the forthcoming 19 months to drive upside for the stock valuation. The high profit margins of this business also benefit investors.