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Perion Network (PERI) Stock Moves -1.93%: What You Should Know

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In the latest trading session, Perion Network (PERI - Free Report) closed at $22.35, marking a -1.93% move from the previous day. This move was narrower than the S&P 500's daily loss of 2.37%. Meanwhile, the Dow lost 1.35%, and the Nasdaq, a tech-heavy index, lost 0.24%.

Coming into today, shares of the digital media company had gained 2.29% in the past month. In that same time, the Computer and Technology sector lost 9.03%, while the S&P 500 lost 6.51%.

Perion Network will be looking to display strength as it nears its next earnings release. In that report, analysts expect Perion Network to post earnings of $0.52 per share. This would mark year-over-year growth of 85.71%. Our most recent consensus estimate is calling for quarterly revenue of $158.01 million, up 30.55% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2 per share and revenue of $631.79 million. These totals would mark changes of +96.08% and +32.04%, respectively, from last year.

Any recent changes to analyst estimates for Perion Network should also be noted by investors. 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.

Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

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. Within the past 30 days, our consensus EPS projection has moved 6.93% higher. Perion Network is currently a Zacks Rank #2 (Buy).

Valuation is also important, so investors should note that Perion Network has a Forward P/E ratio of 11.41 right now. For comparison, its industry has an average Forward P/E of 21.24, which means Perion Network is trading at a discount to the group.

Also, we should mention that PERI has a PEG ratio of 0.46. 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. PERI's industry had an average PEG ratio of 1.6 as of yesterday's close.

The Internet - Content industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 43, putting it in the top 18% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our 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.

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