Perion Network Ltd. Stock Upgraded (PERI)

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.

NEW YORK ( TheStreet) -- Perion Network (Nasdaq: PERI) has been upgraded by TheStreet Ratings from hold to buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures, reasonable valuation levels, solid stock price performance and increase in net income. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity.

  • EXCLUSIVE OFFER: Jim Cramer's Protégé, Dave Peltier, only buys Stocks Under $10 that he thinks could potentially double. See what he's trading today with a 14-day FREE pass.

Highlights from the ratings report include:
  • PERI's very impressive revenue growth greatly exceeded the industry average of 45.9%. Since the same quarter one year prior, revenues leaped by 92.3%. Growth in the company's revenue appears to have helped boost the earnings per share.
  • Although PERI's debt-to-equity ratio of 0.26 is very low, it is currently higher than that of the industry average. Along with the favorable debt-to-equity ratio, the company maintains an adequate quick ratio of 1.28, which illustrates the ability to avoid short-term cash problems.
  • This stock has managed to rise its share value by 43.65% over the past twelve months. Regarding the stock's future course, although almost any stock can fall in a broad market decline, PERI should continue to move higher despite the fact that it has already enjoyed a very nice gain in the past year.
  • The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Internet Software & Services industry. The net income increased by 8365.0% when compared to the same quarter one year prior, rising from $0.02 million to $1.69 million.
.

Perion Network Ltd., together with its subsidiaries, operates as a digital media company that provides products and services to consumers. The company has a P/E ratio of 15.1, below the S&P 500 P/E ratio of 17.7. Perion Network has a market cap of $74 million and is part of the technology sector and computer software & services industry. Shares are up 87.6% year to date as of the close of trading on Friday.

You can view the full Perion Network Ratings Report or get investment ideas from our investment research center.

-- Written by a member of TheStreet Ratings Staff

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.

FREE for a limited time only: Get TheStreet Ratings #1 Stock Report NOW!.
null

If you liked this article you might like

5 Breakout Stocks to Buy for Big Gains

13 Stocks to Buy for the Second Half of 2015

3 Stocks Under $10 Making Big Moves Higher

Stocks Fall but S&P 500 Finishes Year With Double-Digit Percentage Gains

Stocks Sell Off in Final Hour as Oil Dictates 2014's Winners and Losers