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Should Value Investors Buy Perion Network (PERI) Stock?
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While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.
One stock to keep an eye on is Perion Network (PERI - Free Report) . PERI is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock has a Forward P/E ratio of 10.37. This compares to its industry's average Forward P/E of 24.28. Over the past year, PERI's Forward P/E has been as high as 29.14 and as low as 9.31, with a median of 15.98.
PERI is also sporting a PEG ratio of 0.41. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. PERI's PEG compares to its industry's average PEG of 1.19. Within the past year, PERI's PEG has been as high as 1.17 and as low as 0.37, with a median of 0.64.
Investors should also recognize that PERI has a P/B ratio of 1.92. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. This stock's P/B looks solid versus its industry's average P/B of 5.37. PERI's P/B has been as high as 3.82 and as low as 1.54, with a median of 1.94, over the past year.
Finally, our model also underscores that PERI has a P/CF ratio of 13.79. This metric focuses on a firm's operating cash flow and is often used to find stocks that are undervalued based on the strength of their cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 46.09. Over the past 52 weeks, PERI's P/CF has been as high as 29.14 and as low as 11.13, with a median of 15.47.
Investors could also keep in mind Tencent Music Entertainment Group (TME - Free Report) , an Internet - Content stock with a Zacks Rank of # 2 (Buy) and Value grade of A.
Tencent Music Entertainment Group is currently trading with a Forward P/E ratio of 9.43 while its PEG ratio sits at 0.53. Both of the company's metrics compare favorably to its industry's average P/E of 24.28 and average PEG ratio of 1.19.
Over the past year, TME's P/E has been as high as 26.90, as low as 8.99, with a median of 14.27; its PEG ratio has been as high as 8.05, as low as 0.50, with a median of 0.64 during the same time period.
Additionally, Tencent Music Entertainment Group has a P/B ratio of 0.89 while its industry's price-to-book ratio sits at 5.37. For TME, this valuation metric has been as high as 1.89, as low as 0.66, with a median of 1.08 over the past year.
Value investors will likely look at more than just these metrics, but the above data helps show that Perion Network and Tencent Music Entertainment Group are likely undervalued currently. And when considering the strength of its earnings outlook, PERI and TME sticks out as one of the market's strongest value stocks.
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Should Value Investors Buy Perion Network (PERI) Stock?
While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.
One stock to keep an eye on is Perion Network (PERI - Free Report) . PERI is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock has a Forward P/E ratio of 10.37. This compares to its industry's average Forward P/E of 24.28. Over the past year, PERI's Forward P/E has been as high as 29.14 and as low as 9.31, with a median of 15.98.
PERI is also sporting a PEG ratio of 0.41. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. PERI's PEG compares to its industry's average PEG of 1.19. Within the past year, PERI's PEG has been as high as 1.17 and as low as 0.37, with a median of 0.64.
Investors should also recognize that PERI has a P/B ratio of 1.92. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. This stock's P/B looks solid versus its industry's average P/B of 5.37. PERI's P/B has been as high as 3.82 and as low as 1.54, with a median of 1.94, over the past year.
Finally, our model also underscores that PERI has a P/CF ratio of 13.79. This metric focuses on a firm's operating cash flow and is often used to find stocks that are undervalued based on the strength of their cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 46.09. Over the past 52 weeks, PERI's P/CF has been as high as 29.14 and as low as 11.13, with a median of 15.47.
Investors could also keep in mind Tencent Music Entertainment Group (TME - Free Report) , an Internet - Content stock with a Zacks Rank of # 2 (Buy) and Value grade of A.
Tencent Music Entertainment Group is currently trading with a Forward P/E ratio of 9.43 while its PEG ratio sits at 0.53. Both of the company's metrics compare favorably to its industry's average P/E of 24.28 and average PEG ratio of 1.19.
Over the past year, TME's P/E has been as high as 26.90, as low as 8.99, with a median of 14.27; its PEG ratio has been as high as 8.05, as low as 0.50, with a median of 0.64 during the same time period.
Additionally, Tencent Music Entertainment Group has a P/B ratio of 0.89 while its industry's price-to-book ratio sits at 5.37. For TME, this valuation metric has been as high as 1.89, as low as 0.66, with a median of 1.08 over the past year.
Value investors will likely look at more than just these metrics, but the above data helps show that Perion Network and Tencent Music Entertainment Group are likely undervalued currently. And when considering the strength of its earnings outlook, PERI and TME sticks out as one of the market's strongest value stocks.