Reviewing X3 (NASDAQ:XTKG) & Perion Network (NASDAQ:PERI)

Perion Network (NASDAQ:PERI) and X3 (NASDAQ:XTKG) 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 earnings, dividends, risk, institutional ownership, valuation, profitability and analyst recommendations.

Analyst Recommendations

This is a summary of current ratings for Perion Network and X3, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Perion Network	0	6	0	0	2.00
X3	0	0	0	0	N/A

Perion Network presently has a consensus target price of $24.60, suggesting a potential upside of 174.55%. Given Perion Network’s higher probable upside, research analysts plainly believe Perion Network is more favorable than X3.

Profitability

This table compares Perion Network and X3’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Perion Network	13.94%	20.70%	14.56%
X3	N/A	N/A	N/A

Insider and Institutional Ownership

68.1% of Perion Network shares are held by institutional investors. Comparatively, 1.9% of X3 shares are held by institutional investors. 2.8% of Perion Network shares are held by company insiders. Comparatively, 23.9% of X3 shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Valuation & Earnings

This table compares Perion Network and X3’s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Perion Network	$743.16 million	0.58	$117.41 million	$2.10	4.27
X3	$16.83 million	0.04	-$109.60 million	N/A	N/A

Perion Network has higher revenue and earnings than X3.

Risk & Volatility

Perion Network has a beta of 1.4, suggesting that its stock price is 40% more volatile than the S&P 500. Comparatively, X3 has a beta of 1.5, suggesting that its stock price is 50% more volatile than the S&P 500.

Summary

Perion Network beats X3 on 8 of the 10 factors compared between the two stocks.

About Perion Network

Perion Network Ltd. provides digital advertising solutions to brands, agencies, and publishers in North America, Europe, and internationally. It offers Wildfire, a content monetization platform; search monetization solutions, including website monetization, search mediation, and app monetization; and cross-channel digital advertising software as a service platform. The company also provides supply management platform; demand management platform for campaign planning and design; analytics platform, which provides information and performance insights; creative platform, a robust media platform; and an AI platform that uses machine learning to bring intelligence to the various phases of campaigns. In addition, it offers an actionable performance monitoring platform to support the various phases of campaign management; an online video player and integrated ad server to upload, manage, and stream video content; content monetization system, which integrates ads within the content layouts at the page level. Further, the company provides a publisher management system that provides analytics and performance optimization tools, as well as reports; search-demand management systems; monetization products that integrate and onboards demand vendors; and AI Systems. Additionally, it offers Intelligent HUB (iHUB), which connects the supply and demand sides of the marketplace; and strategic optimization of relevant traits (SORT), a provisional patent technology that eliminates the need for cookies. The company was formerly known as IncrediMail Ltd. and changed its name to Perion Network Ltd. in November 2011. Perion Network Ltd. was incorporated in 1999 and is headquartered in Holon, Israel.

About X3

X3 Holdings Co Ltd. provides technology solutions and services worldwide. The company offers Global Trade Platform, a digital platform for trading partners, service providers, and government authorities. It also engages in bitcoin cryptomining operations, renewable energy projects, and agriculture technologies and trading. The company was formerly known as Powerbridge Technologies Co., Ltd. and changed its name to X3 Holdings Co Ltd. in January 2024. X3 Holdings Co Ltd. was founded in 1997 and is headquartered in Singapore.