Inter Parfums Inc (NASDAQ:IPAR) Risk Points versus Consumer Discretionary (XLY)
This is a scatter plot analysis of the critical risk points from the option market for Inter Parfums Inc (NASDAQ:IPAR)
compared to its own past and the Consumer Discretionary ETF. In order to examine the forward looking risk for Inter Parfums Inc (NASDAQ:IPAR) the next 30-days, we must look to the option market.
Now, before we dive into the analysis on IPAR, we make one critical note since we’re talking about options:
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In the “Why This Matters” section at the end of this article on Inter Parfums Inc (NASDAQ:IPAR) , we’re going to take a step back and show in great specificity
that there is actually a lot less “luck” in successful option trading than many people know.
But that’s at the end, now let’s jump back into the risk point charting and number crunching for Inter Parfums Inc (NASDAQ:IPAR) . We start by noting that IPAR is in the household and personal products sector which means along with some other industries we also compare the company to the closest match we could find, which was
the Consumer Discretionary ETF (XLY) as a proxy for Inter Parfums Inc.
We have highlighted the IV30® for XLY and for IPAR in the table below.
|CONTEXT: THE INDICES|
|S&P 500 (SPY)||IV30||10.71%|
|Nasdaq 100 (QQQ)||IV30||13.98%|
|Consumer Discretionary ETF (XLY)||IV30||12.02%|
|Inter Parfums Inc (NASDAQ:IPAR)|
|IPAR 52 Week Low||IV30||22.14%|
|IPAR 52 Week High||IV30||39.78%|
Inter Parfums Inc Implied Risk Scatter Plot
(a new risk chart, built for option traders)
Scatter Plot Risk Legend
The blue point is the current 30-day implied volatility for Inter Parfums Inc.
The black point is the current 30-day implied volatility for the Consumer Discretionary ETF (XLY).
The red point is the 52 week low in IV30® for Inter Parfums Inc.
The green point is the 52 week high in IV30® for Inter Parfums Inc.
The various other scatter plot points in the middle give us risk context outside of the household and personal products sector.
The IV30® is the risk reflected by the option market in the stock price for the next 30 calendar days.
* We can see that the risk as reflected by the option market for the next 30-days for Inter Parfums Inc is above all the indices we have
charted including the Consumer Discretionary ETF (XLY).
* We can further see that the current IV30 for Inter Parfums Inc of 24.67% is closer to the annual low of 22.14% than the annual high of 39.78%.
Simply stated, this means that the option market is pricing less risk than the average over the past year.
* For some context, we note that the annual range in IV30® for the Consumer Discretionary ETF is between [8.88%, 19.14%]
while Inter Parfums Inc has had a range of [22.14%, 39.78%].
Get this same analysis on any ticker here:
A New Kind of Risk Point Chart
This is chart was developed for the trader. It allows us to easily see where the forward looking risk for Inter Parfums Inc (NASDAQ:IPAR) lies relative
to the last year, and the various major stock groupings and the Household and Personal Products sector without using time series data, which can confuse the information.