Perion Network (PERI) Surpasses Market Returns: Some Facts Worth Knowing
Perion Network (PERI) closed the latest trading day at $31.25, indicating a +0.94% change from the previous session's end. This change outpaced the S&P 500's 0.04% gain on the day. Meanwhile, the Dow gained 0.14%, and the Nasdaq, a tech-heavy index, lost 0.03%.
Prior to today's trading, shares of the digital media company had gained 7.02% over the past month. This has outpaced the Computer and Technology sector's gain of 4.9% and the S&P 500's gain of 5.28% in that time.
The upcoming earnings release of Perion Network will be of great interest to investors. The company is expected to report EPS of $0.97, up 7.78% from the prior-year quarter. Simultaneously, our latest consensus estimate expects the revenue to be $233.11 million, showing a 11.18% escalation compared to the year-ago quarter.
PERI's full-year Zacks Consensus Estimates are calling for earnings of $3.27 per share and revenue of $742.07 million. These results would represent year-over-year changes of +32.39% and +15.9%, respectively.
Investors should also take note of any recent adjustments to analyst estimates 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 exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Perion Network is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, Perion Network is currently trading at a Forward P/E ratio of 9.48. This signifies a discount in comparison to the average Forward P/E of 19.51 for its industry.
Investors should also note that PERI has a PEG ratio of 0.43 right now. 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. Internet - Content stocks are, on average, holding a PEG ratio of 0.84 based on yesterday's closing prices.
The Internet - Content industry is part of the Computer and Technology sector. At present, this industry carries a Zacks Industry Rank of 87, placing it within the top 35% of over 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.
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Perion Network Ltd (PERI) : Free Stock Analysis Report
