Perion Network (PERI) Falls More Steeply Than Broader Market: What Investors Need to Know
The latest trading session saw Perion Network (PERI) ending at $29.14, denoting a -1.25% adjustment from its last day's close. This change lagged the S&P 500's 0.34% loss on the day. On the other hand, the Dow registered a gain of 0.03%, and the technology-centric Nasdaq decreased by 0.56%.
Heading into today, shares of the digital media company had gained 7.66% over the past month, outpacing the Computer and Technology sector's gain of 1.27% and the S&P 500's gain of 2.56% in that time.
The investment community will be paying close attention to the earnings performance of Perion Network in its upcoming release. In that report, analysts expect Perion Network to post earnings of $0.97 per share. This would mark year-over-year growth of 7.78%. Simultaneously, our latest consensus estimate expects the revenue to be $233.11 million, showing a 11.18% escalation compared to the year-ago quarter.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Perion Network. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 2.08% lower within the past month. Perion Network currently has a Zacks Rank of #3 (Hold).
From a valuation perspective, Perion Network is currently exchanging hands at a Forward P/E ratio of 8.94. This expresses a discount compared to the average Forward P/E of 16.87 of its industry.
Investors should also note that PERI has a PEG ratio of 0.41 right now. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Internet - Content was holding an average PEG ratio of 0.86 at yesterday's closing price.
The Internet - Content industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 156, which puts it in the bottom 39% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Perion Network Ltd (PERI) : Free Stock Analysis Report
