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PERIMETER SOLUTIONS INC (PRM) Stock Fundamental Analysis

NYSE:PRM - New York Stock Exchange, Inc. - LU2391723694 - Common Stock - Currency: USD

10  -0.82 (-7.58%)

After market: 10 0 (0%)

Fundamental Rating

3

Taking everything into account, PRM scores 3 out of 10 in our fundamental rating. PRM was compared to 85 industry peers in the Chemicals industry. PRM scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. PRM has a valuation in line with the averages, but on the other hand it scores bad on growth.


Dividend Valuation Growth Profitability Health

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3

1. Profitability

1.1 Basic Checks

PRM had negative earnings in the past year.
PRM had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: PRM reported negative net income in multiple years.
The reported operating cash flow has been mixed in the past 5 years: PRM reported negative operating cash flow in multiple years.
PRM Yearly Net Income VS EBIT VS OCF VS FCFPRM Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2019 2020 2021 2022 2023 0 -200M -400M -600M

1.2 Ratios

The Return On Assets of PRM (-6.63%) is worse than 79.52% of its industry peers.
Looking at the Return On Equity, with a value of -16.33%, PRM is doing worse than 80.72% of the companies in the same industry.
Industry RankSector Rank
ROA -6.63%
ROE -16.33%
ROIC N/A
ROA(3y)-6.3%
ROA(5y)-4.09%
ROE(3y)-15.66%
ROE(5y)-10.94%
ROIC(3y)N/A
ROIC(5y)N/A
PRM Yearly ROA, ROE, ROICPRM Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2019 2020 2021 2022 2023 0 -20 -40 -60

1.3 Margins

In the last couple of years the Profit Margin of PRM has grown nicely.
In the last couple of years the Operating Margin of PRM has grown nicely.
The Gross Margin of PRM (55.39%) is better than 95.18% of its industry peers.
In the last couple of years the Gross Margin of PRM has declined.
PRM does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
Industry RankSector Rank
OM N/A
PM (TTM) N/A
GM 55.39%
OM growth 3Y25.85%
OM growth 5YN/A
PM growth 3Y43.26%
PM growth 5YN/A
GM growth 3Y-3.32%
GM growth 5YN/A
PRM Yearly Profit, Operating, Gross MarginsPRM Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2019 2020 2021 2022 2023 0 -50 -100 -150

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5

2. Health

2.1 Basic Checks

PRM does not have a ROIC to compare to the WACC, probably because it is not profitable.
PRM has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
PRM Yearly Shares OutstandingPRM Yearly Shares OutstandingYearly Shares Outstanding 2019 2020 2021 2022 2023 50M 100M 150M
PRM Yearly Total Debt VS Total AssetsPRM Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2019 2020 2021 2022 2023 500M 1B 1.5B 2B 2.5B

2.2 Solvency

PRM has an Altman-Z score of 0.51. This is a bad value and indicates that PRM is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.51, PRM is doing worse than 79.52% of the companies in the same industry.
The Debt to FCF ratio of PRM is 4.07, which is a neutral value as it means it would take PRM, 4.07 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 4.07, PRM is in the better half of the industry, outperforming 78.31% of the companies in the same industry.
A Debt/Equity ratio of 0.79 indicates that PRM is somewhat dependend on debt financing.
PRM has a Debt to Equity ratio (0.79) which is comparable to the rest of the industry.
Industry RankSector Rank
Debt/Equity 0.79
Debt/FCF 4.07
Altman-Z 0.51
ROIC/WACCN/A
WACC6.37%
PRM Yearly LT Debt VS Equity VS FCFPRM Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2019 2020 2021 2022 2023 0 200M 400M 600M 800M 1B

2.3 Liquidity

PRM has a Current Ratio of 3.91. This indicates that PRM is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 3.91, PRM belongs to the top of the industry, outperforming 90.36% of the companies in the same industry.
PRM has a Quick Ratio of 2.95. This indicates that PRM is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of PRM (2.95) is better than 91.57% of its industry peers.
Industry RankSector Rank
Current Ratio 3.91
Quick Ratio 2.95
PRM Yearly Current Assets VS Current LiabilitesPRM Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2019 2020 2021 2022 2023 100M 200M 300M

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1

3. Growth

3.1 Past

PRM shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -251.67%.
EPS 1Y (TTM)-251.67%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%244.44%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%45.03%

3.2 Future

The Earnings Per Share is expected to grow by 65.97% on average over the next years. This is a very strong growth
PRM is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -1.00% yearly.
EPS Next Y172.7%
EPS Next 2Y65.97%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-6.29%
Revenue Next 2Y-1%
Revenue Next 3YN/A
Revenue Next 5YN/A

3.3 Evolution

PRM Yearly Revenue VS EstimatesPRM Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2019 2020 2021 2022 2023 2024 2025 2026 100M 200M 300M 400M 500M
PRM Yearly EPS VS EstimatesPRM Yearly EPS VS EstimatesYearly EPS VS Estimates 2019 2020 2021 2022 2023 2024 2025 2026 0 0.5 -0.5

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5

4. Valuation

4.1 Price/Earnings Ratio

PRM reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
The Price/Forward Earnings ratio is 15.12, which indicates a correct valuation of PRM.
The rest of the industry has a similar Price/Forward Earnings ratio as PRM.
PRM is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.68, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE N/A
Fwd PE 15.12
PRM Price Earnings VS Forward Price EarningsPRM Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 0 10 -10 20

4.2 Price Multiples

Based on the Price/Free Cash Flow ratio, PRM is valued cheaply inside the industry as 89.16% of the companies are valued more expensively.
Industry RankSector Rank
P/FCF 7.58
EV/EBITDA N/A
PRM Per share dataPRM EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 2 -2 4 -4 6 -6

4.3 Compensation for Growth

The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as PRM's earnings are expected to grow with 65.97% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y65.97%
EPS Next 3YN/A

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0

5. Dividend

5.1 Amount

PRM does not give a dividend.
Industry RankSector Rank
Dividend Yield N/A

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PERIMETER SOLUTIONS INC

NYSE:PRM (2/21/2025, 8:04:01 PM)

After market: 10 0 (0%)

10

-0.82 (-7.58%)

Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)02-20 2025-02-20/bmo
Earnings (Next)05-09 2025-05-09/bmo
Inst Owners87.18%
Inst Owner Change6.43%
Ins Owners8.3%
Ins Owner Change-0.53%
Market Cap1.46B
Analysts76.67
Price Target16.32 (63.2%)
Short Float %1.76%
Short Ratio2.11
Dividend
Industry RankSector Rank
Dividend Yield N/A
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)313.73%
Min EPS beat(2)-196.63%
Max EPS beat(2)824.09%
EPS beat(4)2
Avg EPS beat(4)83.79%
Min EPS beat(4)-318.04%
Max EPS beat(4)824.09%
EPS beat(8)5
Avg EPS beat(8)138.49%
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)21.48%
Min Revenue beat(2)-1.03%
Max Revenue beat(2)43.99%
Revenue beat(4)3
Avg Revenue beat(4)28.63%
Min Revenue beat(4)-1.03%
Max Revenue beat(4)56.19%
Revenue beat(8)6
Avg Revenue beat(8)16.23%
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)3.23%
EPS NQ rev (1m)-20%
EPS NQ rev (3m)36.84%
EPS NY rev (1m)3.23%
EPS NY rev (3m)3.23%
Revenue NQ rev (1m)7.74%
Revenue NQ rev (3m)3.55%
Revenue NY rev (1m)0.51%
Revenue NY rev (3m)3.1%
Valuation
Industry RankSector Rank
PE N/A
Fwd PE 15.12
P/S 2.74
P/FCF 7.58
P/OCF 7.14
P/B 1.46
P/tB N/A
EV/EBITDA N/A
EPS(TTM)-0.91
EYN/A
EPS(NY)0.66
Fwd EY6.62%
FCF(TTM)1.32
FCFY13.19%
OCF(TTM)1.4
OCFY14.01%
SpS3.65
BVpS6.84
TBVpS-6.43
PEG (NY)N/A
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA -6.63%
ROE -16.33%
ROCE N/A
ROIC N/A
ROICexc N/A
ROICexgc N/A
OM N/A
PM (TTM) N/A
GM 55.39%
FCFM 36.11%
ROA(3y)-6.3%
ROA(5y)-4.09%
ROE(3y)-15.66%
ROE(5y)-10.94%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y25.85%
OM growth 5YN/A
PM growth 3Y43.26%
PM growth 5YN/A
GM growth 3Y-3.32%
GM growth 5YN/A
F-Score6
Asset Turnover0.22
Health
Industry RankSector Rank
Debt/Equity 0.79
Debt/FCF 4.07
Debt/EBITDA N/A
Cap/Depr 18.11%
Cap/Sales 2.22%
Interest Coverage N/A
Cash Conversion N/A
Profit Quality N/A
Current Ratio 3.91
Quick Ratio 2.95
Altman-Z 0.51
F-Score6
WACC6.37%
ROIC/WACCN/A
Cap/Depr(3y)14.51%
Cap/Depr(5y)14.34%
Cap/Sales(3y)2.67%
Cap/Sales(5y)2.78%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-251.67%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%244.44%
EPS Next Y172.7%
EPS Next 2Y65.97%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%45.03%
Revenue Next Year-6.29%
Revenue Next 2Y-1%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-174.52%
EBIT growth 3Y23.65%
EBIT growth 5YN/A
EBIT Next Year890.55%
EBIT Next 3Y110.11%
EBIT Next 5YN/A
FCF growth 1Y1490.93%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y6401.48%
OCF growth 3Y-86.03%
OCF growth 5YN/A