Perimeter Solutions, Inc. (PRM)
NYSEMaterialsChemicals - SpecialtySnapshot 2026-09-09
$31.23-2.56%
Close 2026-09-09 · 1-day change
NYSEMaterialsChemicals - SpecialtySnapshot 2026-09-09
Broken: Primary pillar broken — Revenue grows at least 25% year over year: FY26 revenue estimate -15.3% vs 25% target.
Perimeter Solutions improved operating income to $72.49M in Q1 2026. Gross profit rose to $50.79M in the same quarter. Analysts expect revenue growth near 25% next year. The company is fixing costs and boosting profits.
The company is still loss making and faces high risks. Debt and litigation could hurt results. Profit gains may not last if costs rise again.
The price is about 31% above our fair value near $26. Analysts expect about 25% revenue growth, which is priced in.
Breaks if: Gross profit falls below $45 million in next quarter
Breaks if: Operating income falls below $50 million in next quarter
Breaks if: Revenue growth falls below 15% in FY26
This is not a price target or investment advice.
A long-form read on the 1–3 year hold thesis. It updates when the weekly evidence changes.
This investment represents a turnaround situation. The company is focusing on expanding its Specialty Products and Fire Safety segments, but recent earnings performance has been weak, which adds uncertainty to the thesis.
The market seems to have priced in a level of fragility due to weak execution quality, but not to an extreme degree. The valuation appears stretched compared to peers, indicating that expectations are somewhat elevated.
Management is on track with its priorities, showing strong growth in the Specialty Products segment and moderate growth in Fire Safety. However, the overall recent financial performance has been weak, which could pose risks in the near term.
The long-term thesis hinges on whether PRM can maintain or improve its guidance in upcoming earnings calls. Additionally, external factors like inflation and the performance of sector bellwethers will play a crucial role in shaping the company's outlook.
The most important moves since the prior daily snapshot.
Yes, our read has weakened. The latest earnings miss has negatively impacted the outlook. This miss indicates that revenue growth is falling short of expectations. The company is now facing increased scrutiny as it struggles to meet its targets.
as of 2026-09-09
Review the evidence to watch, what would become a concern, and what would make it less concerning.
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
In the next 1 to 3 years, PRM's performance will depend on management's execution and external market conditions. Not investment advice.