Perion Network (STU:IW2) Gross Margin %: 30.27% (As of Mar. 2026) — 18% Below Median

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STU:IW2 Perion Network Ltd STU:IW2
70 GF Score
Price €8.35
GF Value €10.62
Valuation Modestly Undervalued
! 2 Warning Signs
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What is Perion Network Gross Margin %?

Perion Network STU:IW2 +2.39% 70 Gross Margin % is 30.27% as of Mar. 2026, which is 18% below its 10-year median of 36.86. GuruFocus rates STU:IW2 with a GF Score™ of 70/100 and a GF Value™ of €10.62 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 498 Interactive Media companies, Perion Network ranks worse than 78.51% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. Perion Network's Gross Profit for the three months ended in Mar. 2026 was €23.7 Mil. Perion Network's Revenue for the three months ended in Mar. 2026 was €78.2 Mil. Therefore, Perion Network's Gross Margin % for the quarter that ended in Mar. 2026 was 30.27%.


The historical rank and industry rank for Perion Network's Gross Margin % or its related term are showing as below:

STU:IW2' s Gross Margin % Range Over the Past 10 Years
Min: 32.91   Med: 36.86   Max: 46.89
Current: 34.4


During the past 13 years, the highest Gross Margin % of Perion Network was 46.89%. The lowest was 32.91%. And the median was 36.86%.

STU:IW2's Gross Margin % is ranked worse than
78.51% of 498 companies
in the Interactive Media industry
Industry Median: 62.125 vs STU:IW2: 34.40

Perion Network had a gross margin of 30.27% for the quarter that ended in Mar. 2026 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Perion Network was 0.30% per year.


Perion Network  (STU:IW2) Gross Margin % Explanation

Warren Buffett believes that firms with excellent long term economics tend to have consistently higher margins.

Durable competitive advantage creates a high Gross Margin % because of the freedom to price in excess of cost. Companies can be categorized by their Gross Margin %

1. Greater than 40% = Durable competitive advantage
2. Less than 40% = Competition eroding margins
3. Less than 20% = no sustainable competitive advantage
Consistency of Gross Margin is key

Perion Network had a gross margin of 30.27% for the quarter that ended in Mar. 2026 => Competition eroding margins


Be Aware

If a company loses its competitive advantages, usually its gross margin declines well before its sales declines. Watching Gross Margin % and Operating Margin % closely helps avoid value trap situations.


Perion Network Gross Margin % Related Terms


Perion Network Gross Margin % Historical Data

* Premium members only.

The historical data trend for Perion Network's Gross Margin % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Perion Network Gross Margin % Chart

Perion Network Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 34.54 37.06 36.65 33.25 34.47

Perion Network Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Gross Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 30.58 33.57 33.65 38.34 30.27

STU:IW2 vs GOOGL, META, SPOT: Gross Margin % Comparison

For the Internet Content & Information subindustry, Perion Network's Gross Margin %, along with its competitors' market caps and Gross Margin % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Perion Network Gross Margin % vs Interactive Media Industry

For the Interactive Media industry and Communication Services sector, Perion Network's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Perion Network's Gross Margin % falls into.


STU:IW2
70GF Score
Perion Network Ltd STU:IW2
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Perion Network Gross Margin % Calculation

Gross Margin is the percentage of Gross Profit out of sales or Revenue.

Perion Network's Gross Margin for the fiscal year that ended in Dec. 2025 is calculated as

Gross Margin % (A: Dec. 2025 )=Gross Profit (A: Dec. 2025 ) / Revenue (A: Dec. 2025 )
=129.5 / 375.698
=(Revenue - Cost of Goods Sold) / Revenue
=(375.698 - 246.195) / 375.698
=34.47 %

Perion Network's Gross Margin for the quarter that ended in Mar. 2026 is calculated as


Gross Margin % (Q: Mar. 2026 )=Gross Profit (Q: Mar. 2026 ) / Revenue (Q: Mar. 2026 )
=23.7 / 78.174
=(Revenue - Cost of Goods Sold) / Revenue
=(78.174 - 54.507) / 78.174
=30.27 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

A positive Gross Profit is only the first step for a company to make a net profit. The gross profit needs to be big enough to also cover related labor, equipment, rental, marketing/advertising, research and development and a lot of other costs in selling the products.

Frequently Asked Questions Learn more about Gross Margin % →
What does a Gross Margin % of 30.27% mean?
Perion Network (STU:IW2) has a Gross Margin % of 30.27% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Perion Network and its competitors. This is 18% below median its historical median of 36.86. Over the past decade, Perion Network's Gross Margin % has ranged from 32.91 to 46.89. According to the industry distribution chart, Perion Network ranks #391 out of 498 companies in the Interactive Media industry, placing it in the top 78.5%.
Is Perion Network's Gross Margin % too high?
Perion Network's current Gross Margin % of 30.27% is 18% below median its 10-year median of 36.86. Over the past 10 years, this metric has ranged from a low of 32.91 to a high of 46.89. The Interactive Media industry median Gross Margin % is 62.13. Perion Network's value of 30.27% is 51.3% below this industry median. Based on the distribution chart, Perion Network ranks #391 out of 498 companies in the Interactive Media industry, which is in the bottom quartile relative to peers. Overall, Perion Network has a GF Score™ of 70/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Perion Network's Gross Margin % compare to GOOGL and META?
According to the Interactive Media industry distribution chart, Perion Network ranks #391 out of 498 companies for Gross Margin %. This places Perion Network in the lower half of its industry. The industry median Gross Margin % is 62.13. Perion Network's value of 30.27% is 51.3% below this benchmark. Historically, Perion Network's own Gross Margin % has ranged from 32.91 to 46.89 over the past decade. While the company's 10-year median is 36.86 vs. the industry median of 62.13, Perion Network has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Gross Margin % for an Interactive Media company?
The median Gross Margin % among Interactive Media companies is 62.13, based on 498 companies in the industry. Companies in the top quartile (top 25%) have a Gross Margin % significantly above this median, while those in the bottom quartile fall well below. However, Gross Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Perion Network's current Gross Margin % of 30.27% is 51.3% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Gross Margin % mean?
A high Gross Margin % can signal that a stock is expensive relative to its fundamentals. Gross margin is the ratio of total gross profit to net sales. View historical data on Perion Network and its competitors. For the Interactive Media industry, the median Gross Margin % is 62.13 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Perion Network's current Gross Margin % is 30.27%, which is 18% below median its own 10-year median of 36.86. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Perion Network stock overvalued right now?
Based on GuruFocus' analysis, Perion Network (STU:IW2) is currently considered Modestly Undervalued. The stock's GF Value™ is €10.62, compared to a current price of €8.35 — trading 21.4% below its estimated fair value. The current Gross Margin % is 30.27%, which is 18% below median its 10-year median of 36.86 and 51.3% below the Interactive Media industry median of 62.13. Perion Network's overall GF Score™ is 70/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Gross Margin % calculated?
Gross Margin % is calculated from a company's financial statements. For Perion Network (STU:IW2), the current Gross Margin % is 30.27% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Perion Network (STU:IW2) Overvalued in 2026?

Based on GuruFocus' analysis, Perion Network stock appears to be undervalued. The current stock price of €8.35 is trading 21.4% below its estimated GF Value™ of €10.62. GuruFocus considers Perion Network to be Modestly Undervalued.

Key valuation signals for STU:IW2:

  • Gross Margin %: 30.27% (18% below median its 10-year median of 36.86)
  • GF Value™: €10.62 vs. price of €8.35 (21.4% below fair value)
  • GF Score™: 70/100 with 2 warning signs
  • Industry Position: 51.3% below the Interactive Media median (#391 of 498)

No single metric tells the full story. See the STU:IW2 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Perion Network Business Description

Other Exchanges PERI:USAPERI:Israel
Address 2 Leonardo Da Vinci Street, Tel Aviv, ISR, 6473309
Perion Network Ltd is a technology company. It offers online advertising and search solutions to brands, agencies, and publishers through desktop, mobile, and social channels. It connects advertisers to consumers across digital advertising channels, including search advertising, social, display, video, digital audio, digital out of home (DOOH), and Connected TV (CTV) advertising. The company earns prime revenue from search advertising and display advertising services. It operates in the business segment of High Impact Advertising solutions. Geographically, the company generates a majority of its revenue from the United States and the rest from other regions.
70GF Score

Get the complete analysis for STU:IW2

Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€8.35
Price
€10.62
GF Value