Perion Network (PERI) Declines More Than Market: Some Information for Investors
The latest trading session saw Perion Network (PERI) ending at $25.26, denoting a -1.35% adjustment from its last day's close. The stock's performance was behind the S&P 500's daily loss of 0.17%. Elsewhere, the Dow saw a downswing of 0.58%, while the tech-heavy Nasdaq appreciated by 0.27%.
Shares of the digital media company witnessed a loss of 14.65% over the previous month, trailing the performance of the Computer and Technology sector with its loss of 2.16% and the S&P 500's loss of 3.95%.
The upcoming earnings release of Perion Network will be of great interest to investors. The company's earnings report is expected on November 1, 2023. On that day, Perion Network is projected to report earnings of $0.76 per share, which would represent year-over-year growth of 24.59%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $184.48 million, up 16.3% from the year-ago period.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $3.18 per share and revenue of $741.74 million, indicating changes of +28.74% and +15.85%, respectively, compared to the previous year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Perion Network. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Perion Network is currently a Zacks Rank #3 (Hold).
Looking at valuation, Perion Network is presently trading at a Forward P/E ratio of 8.06. Its industry sports an average Forward P/E of 21.11, so one might conclude that Perion Network is trading at a discount comparatively.
We can also see that PERI currently has a PEG ratio of 0.37. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. By the end of yesterday's trading, the Internet - Content industry had an average PEG ratio of 1.27.
The Internet - Content industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 161, finds itself in the bottom 37% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow PERI in the coming trading sessions, be sure to utilize Zacks.com.
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Perion Network Ltd (PERI) : Free Stock Analysis Report
