Contrasting Great Elm Capital Group (GEC) and Perion Network (PERI)

Great Elm Capital Group (NASDAQ: GEC) and Perion Network (NASDAQ:PERI) are both small-cap computer and technology companies, but which is the superior business? We will compare the two companies based on the strength of their profitability, dividends, earnings, risk, analyst recommendations, valuation and institutional ownership.

Analyst Ratings

This is a summary of current recommendations and price targets for Great Elm Capital Group and Perion Network, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Great Elm Capital Group 0 0 0 0 N/A
Perion Network 0 1 0 0 2.00

Institutional and Insider Ownership

39.6% of Great Elm Capital Group shares are owned by institutional investors. Comparatively, 19.4% of Perion Network shares are owned by institutional investors. 6.6% of Great Elm Capital Group shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares Great Elm Capital Group and Perion Network’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Great Elm Capital Group N/A -28.99% -21.24%
Perion Network -11.31% 8.57% 4.95%

Earnings and Valuation

This table compares Great Elm Capital Group and Perion Network’s gross revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio EBITDA Earnings Per Share Price/Earnings Ratio
Great Elm Capital Group $4.93 million 17.18 -$7.25 million $3.21 1.14
Perion Network $290.67 million 0.32 $24.96 million ($0.42) -2.88

Perion Network has higher revenue and earnings than Great Elm Capital Group. Perion Network is trading at a lower price-to-earnings ratio than Great Elm Capital Group, indicating that it is currently the more affordable of the two stocks.

Summary

Great Elm Capital Group beats Perion Network on 5 of the 9 factors compared between the two stocks.

About Great Elm Capital Group

Great Elm Capital Group, Inc., formerly Unwired Planet, Inc., is a holding company. The Company makes investments in businesses and assets in various industries. The Company’s investment for long-term value creation is in the asset management business. The Company continues to explore other opportunities in the investment management business, including other business development companies (BDCs) that trade at a discount to their net asset value. The Company intends to build a diversified investment company consisting of the following three business lines: investment management, financial products and merchant banking. It is embarking on a program of creating bespoke financial products and creating a pipeline of acquisition opportunities. The Company’s subsidiary is Great Elm Capital Corporation (GECC).

About Perion Network

Perion Network Ltd. is a global technology company. It is engaged in delivering advertising solutions to brands and publishers. It operates through High Impact Advertising solutions segment. It provides execution, ranging from high-impact advertisement formats to branded search, and a unified social and mobile programmatic platform. Its business solutions include Undertone, Codefuel, Growmobile, IncrediMail and Smilebox. Undertone offers engaging digital advertising, which is designed to capture consumer attention and drive engagement, delivering these advertisements across a portfolio of Websites and mobile applications. CodeFuel is an engagement and monetization suite delivering solutions for both content publishers and advertisers. Growmobile offers automated marketing solutions ranging from social advertising to user engagement. IncrediMail is a unified messaging application. Smilebox is a photo sharing and social expression product and offers various formats, themes and styles.

Receive News & Ratings for Great Elm Capital Group Inc. Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Great Elm Capital Group Inc. and related companies with MarketBeat.com's FREE daily email newsletter.

Leave a Reply