Perion Network (PERI) Soars 7.6%: Is Further Upside Left in the Stock?

Perion Network (PERI) shares rallied 7.6% in the last trading session to close at $27. This move can be attributable to notable volume with a higher number of shares being traded than in a typical session. This compares to the stock's 4.2% loss over the past four weeks.

The recent surge in Perion’s share price reflects investors bullish sentiment after the company released its preliminary results for the fourth quarter 2022. Perion reported its fourth quarter 2022 revenues is expected to grow 30% year over year to $205 million and the Adjusted EBITDA growth of 60% year over year.

This digital media company is expected to post quarterly earnings of $0.65 per share in its upcoming report, which represents a year-over-year change of +47.7%. Revenues are expected to be $201.65 million, up 27.6% from the year-ago quarter.

While earnings and revenue growth expectations are important in evaluating the potential strength in a stock, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.

For Perion Network, the consensus EPS estimate for the quarter has remained unchanged over the last 30 days. And a stock's price usually doesn't keep moving higher in the absence of any trend in earnings estimate revisions. So, make sure to keep an eye on PERI going forward to see if this recent jump can turn into more strength down the road.

The stock currently carries a Zacks Rank #1 (Strong Buy). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>

Perion Network is a member of the Zacks Internet - Content industry. One other stock in the same industry, Airbnb, Inc. (ABNB), finished the last trading session 4.5% higher at $88.72. ABNB has returned -8.8% over the past month.

For Airbnb, Inc., the consensus EPS estimate for the upcoming report has changed -100% over the past month to $0.25. This represents a change of +212.5% from what the company reported a year ago. Airbnb, Inc. currently has a Zacks Rank of #4 (Sell).

Zacks Names "Single Best Pick to Double"

From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.

It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.

This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.

Free: See Our Top Stock And 4 Runners Up

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

Airbnb, Inc. (ABNB) : Free Stock Analysis Report

To read this article on click here.

Zacks Investment Research

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

More Related Articles

Info icon

This data feed is not available at this time.

Sign up for Smart Investing to get the latest news, strategies and tips to help you invest smarter.