Perion Network (PERI) AI Stock Analysis

• Market Cap: $416.59M
• Dividend Yield: N/A
• Average Volume (3M): 242.17K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.16
• Revenue Growth: -38.18%
• EPS Growth: -107.00%
• Country: US
• Employees: 528
• Sector: Communication Services
• Sector Strength: 97
• Industry: Internet Content & Information
• EPS (TTM): 0.28
• Shares Outstanding: 45,037,180
• 10 Day Avg. Volume: 196,586
• 30 Day Avg. Volume: 242,174
• PEG Ratio: -0.38
• Price to Book (P/B): 0.59
• Price to Sales (P/S): 0.86
• P/FCF Ratio: 6.38K
• Enterprise Value/Market Cap: 0.31
• Enterprise Value/Revenue: 0.31
• Enterprise Value/Gross Profit: 0.92
• Enterprise Value/Ebitda: -45.65
• 1Y Price Target: $14.00
• Price Target Upside: 47.37% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 59 Neutral
• Price Target: $10.00 ▲(5.26% Upside)

Perion Network's overall stock score reflects a mixed outlook. The strong earnings call with robust growth in key segments and strategic initiatives is a significant positive factor. However, financial performance concerns, particularly in profitability and cash flow, weigh heavily on the score. Technical analysis and valuation also present challenges, with bearish momentum and a negative P/E ratio. The company's ability to address these financial and operational challenges will be crucial for future performance.

Positive Factors

Strong Revenue Growth

Consistent revenue growth indicates expanding market reach and product adoption, which is crucial for long-term business sustainability.

Expansion of Share Repurchase Program

Expanding the share repurchase program reflects management's confidence in the company's long-term value and financial health.

Launch of New Products

New product launches enhance Perion's technology offerings, supporting growth and competitive positioning in digital advertising.

Negative Factors

Declining Revenue and Profitability

Declining revenue and profitability can undermine long-term growth prospects and indicate potential operational inefficiencies.

Negative Cash Flow Trends

Negative cash flow trends can limit the company's ability to invest in growth opportunities and manage financial obligations.

GAAP Net Loss

A GAAP net loss indicates financial challenges that may affect the company's ability to sustain operations and invest in future growth.

Perion Network Business Overview & Revenue Model

Company Description

Perion Network Ltd. is a global technology company that specializes in digital advertising and online marketing solutions. The company operates in the digital media sector, providing services that enhance advertising effectiveness and user engagement through various platforms. Perion's core products include proprietary technologies for search, social media, and display advertising, as well as solutions that optimize content distribution and user acquisition across multiple channels.

How the Company Makes Money

Perion Network generates revenue primarily through its digital advertising services. The company operates on a performance-based revenue model, earning income from advertising placements, which include search ads, display ads, and social media ads. Key revenue streams include programmatic advertising, where the company automates the buying and selling of ads, and partnerships with major technology platforms and publishers that enhance its distribution capabilities. Additionally, the company may engage in revenue-sharing arrangements with partners, further diversifying its income sources. The integration of its proprietary technology and data analytics also supports improved targeting and optimization, driving higher returns for advertisers and, consequently, increasing Perion's revenue.

Perion Network Financial Statement Overview

Summary

Perion Network faces challenges with declining revenue and profitability, as reflected in the TTM data. While the balance sheet is strong with low leverage, the negative return on equity and cash flow issues are concerning. The company needs to address operational inefficiencies and improve cash flow management to stabilize its financial performance.

Income Statement

Perion Network's income statement shows a concerning trend with declining revenue and profitability. The TTM data indicates negative net profit and EBIT margins, reflecting operational challenges. The revenue growth rate has turned negative, suggesting a potential downturn in business performance. Historical data shows a strong performance in 2023, but the recent decline raises concerns about sustainability.

Balance Sheet

The balance sheet remains relatively strong with a low debt-to-equity ratio, indicating prudent financial management and low leverage. However, the return on equity has turned negative in the TTM period, which is a concern. The equity ratio remains healthy, suggesting a stable financial position despite recent profitability issues.

Cash Flow

Cash flow analysis reveals a significant decline in free cash flow growth in the TTM period, which is troubling. The operating cash flow to net income ratio is negative, indicating cash flow challenges. However, the free cash flow to net income ratio remains positive, suggesting some resilience in cash generation despite profitability issues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	424.10M	498.29M	743.15M	640.26M	478.50M	328.06M
Gross Profit	140.17M	165.45M	272.38M	237.25M	165.28M	107.96M
EBITDA	-2.84M	21.83M	152.00M	127.50M	55.33M	22.18M
Net Income	-4.76M	12.61M	117.41M	99.22M	38.71M	10.22M
Balance Sheet
Total Assets	907.18M	916.45M	1.08B	870.22M	713.23M	358.68M
Cash, Cash Equivalents and Short-Term Investments	318.98M	373.33M	472.68M	429.63M	321.65M	60.36M
Total Debt	22.98M	22.30M	7.65M	11.48M	13.39M	35.06M
Total Liabilities	218.92M	196.69M	359.12M	287.08M	246.27M	174.56M
Stockholders Equity	688.26M	719.76M	718.15M	583.13M	466.96M	184.12M
Cash Flow
Free Cash Flow	25.89M	67.00K	154.65M	121.07M	70.57M	21.54M
Operating Cash Flow	34.82M	6.94M	155.46M	122.12M	71.11M	22.05M
Investing Cash Flow	21.77M	62.60M	-133.35M	-46.82M	-243.47M	-8.81M
Financing Cash Flow	-89.25M	-100.91M	-10.82M	-3.26M	229.05M	-4.05M

Perion Network Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 9.50
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PERI, the sentiment is Positive. The current price of 9.5 is above the 20-day moving average (MA) of 9.41, above the 50-day MA of 9.46, and above the 200-day MA of 9.50, indicating a bullish trend. The MACD of -0.09 indicates Positive momentum. The RSI at 52.66 is Neutral, neither overbought nor oversold. The STOCH value of 53.86 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PERI.

Perion Network Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SSTK	74 Outperform	$769.79M	12.03	10.76%	6.02%	13.06%	66.19%
TBLA	74 Outperform	$1.09B	52.27	2.63%	―	10.96%	―
OPRA	72 Outperform	$1.25B	15.34	8.73%	5.73%	30.00%	-9.72%
FVRR	63 Neutral	$804.75M	38.21	6.18%	―	12.68%	133.00%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
PERI	59 Neutral	$416.59M	―	-0.67%	―	-38.18%	-107.00%
TTGT	57 Neutral	$375.94M	―	―	―	―	―

Perion Network Corporate Events

Perion Network Reports Strong Q3 2025 Results with Significant CTV Growth

On November 12, 2025, Perion Network Ltd. announced its financial results for the third quarter ending September 30, 2025, reporting a total revenue of $110.5 million, an 8% year-over-year increase. The company highlighted strong performance in its growth engines, particularly in CTV, which saw a 75% year-over-year increase in revenue. Despite a GAAP net loss of $4.1 million, Perion’s adjusted EBITDA rose by 63% year-over-year, reflecting confidence in its long-term growth and cash generation strategy, as evidenced by the expansion of its share repurchase program to $200 million.

Perion Network Unveils DOOH Player to Enhance Advertising Solutions

On November 4, 2025, Perion Network Ltd. announced the launch of the Perion DOOH Player, a next-generation solution completing its full-stack technology for Digital-Out-of-Home (DOOH) and Retail Media. This launch is a significant milestone in Perion’s strategy to unify ad delivery, optimization, and monetization across multiple channels, enhancing its presence in high-growth media environments. The DOOH Player integrates with Perion’s existing systems, allowing media owners to manage ad campaigns efficiently and maximize revenue. This development strengthens Perion’s position as a technology leader, offering scalable solutions that drive measurable efficiency and revenue gains for publishers while expanding its footprint in the digital signage ecosystem.

Perion Partners with Albertsons to Enhance Retail Media Campaigns

On September 25, 2025, Perion Network Ltd. announced a strategic partnership with Albertsons Media Collective to leverage Albertsons’ first-party retail audiences through high-impact display and Digital Out-Of-Home (DOOH) campaigns. This collaboration allows advertisers to engage over 100 million shoppers across more than 2,200 stores, enhancing Perion’s retail media capabilities and offering a scalable alternative to traditional advertising models. The partnership aims to improve the shopper experience with personalized content and real-time offers, strengthening Perion’s position in the retail media landscape.

Perion Network Unveils AI-Powered SODA to Boost Publisher Revenue

On September 11, 2025, Perion Network Ltd. announced the launch of SODA, an AI-powered suite designed to enhance revenue for publishers and reduce waste for advertisers. This new technology, already adopted by Mediatransports, aims to redefine supply and demand interactions in digital advertising, offering improved efficiency and monetization opportunities for publishers.