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PERI or SSTK: Which Is the Better Value Stock Right Now?
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Investors with an interest in Internet - Content stocks have likely encountered both Perion Network (PERI - Free Report) and Shutterstock (SSTK - Free Report) . But which of these two stocks is more attractive to value investors? We'll need to take a closer look to find out.
There are plenty of strategies for discovering value stocks, but we have found that pairing a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system produces the best returns. The Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Currently, both Perion Network and Shutterstock are holding a Zacks Rank of # 1 (Strong Buy). This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that these stocks have improving earnings outlooks. But this is only part of the picture for value investors.
Value investors also try to analyze a wide range of traditional figures and metrics to help determine whether a company is undervalued at its current share price levels.
Our Value category highlights undervalued companies by looking at a variety of key metrics, including the popular P/E ratio, as well as the P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that have been used by value investors for years.
PERI currently has a forward P/E ratio of 11.92, while SSTK has a forward P/E of 13.37. We also note that PERI has a PEG ratio of 0.48. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. SSTK currently has a PEG ratio of 2.29.
Another notable valuation metric for PERI is its P/B ratio of 2.55. 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. By comparison, SSTK has a P/B of 4.14.
These metrics, and several others, help PERI earn a Value grade of B, while SSTK has been given a Value grade of C.
Both PERI and SSTK are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that PERI is the superior value option right now.
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PERI or SSTK: Which Is the Better Value Stock Right Now?
Investors with an interest in Internet - Content stocks have likely encountered both Perion Network (PERI - Free Report) and Shutterstock (SSTK - Free Report) . But which of these two stocks is more attractive to value investors? We'll need to take a closer look to find out.
There are plenty of strategies for discovering value stocks, but we have found that pairing a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system produces the best returns. The Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Currently, both Perion Network and Shutterstock are holding a Zacks Rank of # 1 (Strong Buy). This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that these stocks have improving earnings outlooks. But this is only part of the picture for value investors.
Value investors also try to analyze a wide range of traditional figures and metrics to help determine whether a company is undervalued at its current share price levels.
Our Value category highlights undervalued companies by looking at a variety of key metrics, including the popular P/E ratio, as well as the P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that have been used by value investors for years.
PERI currently has a forward P/E ratio of 11.92, while SSTK has a forward P/E of 13.37. We also note that PERI has a PEG ratio of 0.48. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. SSTK currently has a PEG ratio of 2.29.
Another notable valuation metric for PERI is its P/B ratio of 2.55. 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. By comparison, SSTK has a P/B of 4.14.
These metrics, and several others, help PERI earn a Value grade of B, while SSTK has been given a Value grade of C.
Both PERI and SSTK are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that PERI is the superior value option right now.