Perion Network (PERI) Increases Yet Falls Behind Market: What Investors Need to Know
Perion Network (PERI) closed the latest trading day at $22.52, indicating a +0.94% change from the previous session's end. This move lagged the S&P 500's daily gain of 1.03%. Meanwhile, the Dow gained 0.34%, and the Nasdaq, a tech-heavy index, added 1.51%.
Prior to today's trading, shares of the digital media company had lost 5.23% over the past month. This has lagged the Computer and Technology sector's gain of 2.52% and the S&P 500's gain of 3.21% in that time.
The investment community will be paying close attention to the earnings performance of Perion Network in its upcoming release. The company's earnings per share (EPS) are projected to be $0.61, reflecting a 1.67% increase from the same quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $176.04 million, indicating a 21.28% increase compared to the same quarter of the previous year.
For the full year, the Zacks Consensus Estimates project earnings of $3.34 per share and a revenue of $869.8 million, demonstrating changes of +0.3% and +17.04%, respectively, from the preceding year.
Investors might also notice recent changes to analyst estimates for Perion Network. These latest adjustments often mirror the shifting dynamics of short-term business patterns. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 4.65% higher within the past month. Perion Network is currently sporting a Zacks Rank of #1 (Strong Buy).
Valuation is also important, so investors should note that Perion Network has a Forward P/E ratio of 6.67 right now. This expresses a discount compared to the average Forward P/E of 17.68 of its industry.
We can additionally observe that PERI currently boasts a PEG ratio of 0.3. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. As the market closed yesterday, the Internet - Content industry was having an average PEG ratio of 1.6.
The Internet - Content industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 60, putting it in the top 24% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these 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.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Perion Network Ltd (PERI) : Free Stock Analysis Report
