NEW YORK & TEL AVIV, Israel - Perion Network Ltd. (NASDAQ:PERI), a global technology company specializing in digital advertising, has announced a share repurchase program with plans to buy back up to $50 million of its ordinary shares. This initiative is set to commence following the release of Perion's audited financial results for the year 2023, which is expected in March 2024.
CEO Tal Jacobson expressed confidence in the company's valuation, stating that the current market price does not reflect Perion's business strength. The share repurchase is seen as a step to deliver value to shareholders, supported by the company's profitable growth and robust balance sheet. Jacobson also mentioned that this move aligns with Perion's mergers and acquisitions strategy.
The repurchase program allows for the acquisition of shares through open market purchases, private transactions, or other legal methods, based on market conditions, regulatory requirements, and available capital. There is no obligation to purchase a minimum number of shares, and the program may be adjusted, paused, or stopped at any time.
Perion Network connects advertisers with consumers through its technology across all key digital channels, which converge at its intelligent HUB (iHUB). This hub links the company's demand and supply assets, aiming to benefit both brands and publishers.
The information in this article is based on a press release.
InvestingPro Insights
As Perion Network Ltd. (NASDAQ:PERI) gears up to initiate its $50 million share repurchase program, the latest real-time data and insights from InvestingPro provide a deeper look into the company's financial health and market performance. With a market capitalization of approximately $1.11 billion USD and a trailing P/E ratio of 8.16, the company presents an attractive valuation in the digital advertising space. The PEG ratio, which combines the P/E ratio with the expected earnings growth rate, stands at a compelling 0.68, suggesting that the stock may be undervalued relative to its growth potential.
InvestingPro Tips highlight several key aspects of Perion's financial stance. Notably, the company holds more cash than debt, which is a reassuring sign for investors looking for financial stability. Additionally, Perion's stock is currently trading near its 52-week low, despite the company being profitable over the last twelve months and analysts predicting profitability for this year. This could indicate a potential buying opportunity for value investors, especially considering the company's robust revenue growth of 16.07% over the last twelve months as of Q1 2023.
For investors seeking more comprehensive analysis and additional insights, there are 10 more InvestingPro Tips available for PERI, which can be accessed at https://www.investing.com/pro/PERI. These tips could provide further guidance on the company's stock performance and future outlook. Moreover, users can benefit from an exclusive offer by using the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
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