Perimeter Solutions, Inc.
🔔 Watch stock
Assessment
Our Rating
A journalistic assessment by our editorial team at the time of the deep dive — it rates the company, not the entry point. Not investment advice and not a solicitation to buy or sell.
The business works in principle, but one material question is open. As long as it stays open, our findings do not carry a quality verdict.
Why this colour
Anyone buying today buys an excellent niche business carrying a mortgage that runs to 2031 and gets expensive precisely when the stock does what you bought it for. Caution here does not mean bad company; it means price the fee into your return expectation before you buy — 18 percent of every increase over the prior-year mark goes to five directors, plus a fixed 2,357,061 shares a year through 2027. If you wait, check three things in every filing: how high is the line "Founders advisory fees payable" ($364.3 million on March 31, 2026)? How many shares are outstanding (163,127,063 on March 31, 2026)? And how much cash comes in from operations after the fee has been paid? Add the question of whether the $682.3 million spent on MMT translates into revenue and margin. The decision is yours.
What the thesis turns on
Assessment: Opportunities & Risks
Perimeter Solutions is the alignment trap in its purest form: five founders earn only when the share price rises — but they earn 18 percent of that rise on 157,137,410 shares, reset every year through 2031. For 2025 that came to $469.1 million against $652.9 million of group revenue; the $435.2 million fair value charge turned a notional $234.2 million operating profit into a $200.9 million operating loss and a $206.4 million net loss. The bill was settled with 13,387,002 new shares and $95.7 million in cash, pushing first-quarter 2026 operating cash flow to −$89.0 million. Underneath sits a genuinely good business with a 59.4 percent fire safety segment margin, long government contracts and a freshly acquired medical device manufacturing arm — funded with $550 million of new debt. Not investment advice.
Operating earning power
The Fire Safety segment earned Segment Adjusted EBITDA of $290.5 million on $488.9 million of revenue in 2025 — a 59.4 percent margin. Group revenue grew from $322.1 million in 2023 to $652.9 million in 2025 and by a further 73.6 percent to $125.1 million in the first quarter of 2026. Without the founder fee, 2025 operating income would have been $234.2 million.
Founder compensation and dilution
The 2019 agreement pays a fixed 2,357,061 shares a year through the end of 2027 and, through the end of 2031, 18 percent of the share price increase on 157,137,410 shares. For 2025 that was $469.1 million, or 71.9 percent of annual revenue, settled with 13,387,002 shares and $95.7 million in cash. Shares outstanding rose 9.2 percent in one quarter, and the remaining liability stood at $364.3 million on March 31, 2026.
Earnings quality
The earnings line measures the company’s own share price: in 2023 the founder fee lifted operating income by $108.5 million, in 2024 it cost $198.3 million, in 2025 $435.2 million, and in the first quarter of 2026 it added back $76.4 million. Without it, the first quarter of 2026 would have shown an operating loss of $3.9 million rather than $72.5 million of operating income.
Balance sheet and leverage
After the $682.3 million MMT acquisition, 82.7 percent of total assets consists of goodwill ($1,365.4 million) and intangible assets ($1,250.0 million). Senior notes total $1,225.0 million, interest expense rose from $9.6 million to $24.4 million in the first quarter of 2026, and cash fell from $325.9 million to $91.6 million as of March 31, 2026.
Customer base
Forty-three percent of 2025 revenue came from two U.S. agencies (USDA Forest Service 32 percent, Bureau of Land Management 11 percent). Against that stands unusually long contractual cover: a five-year agreement with both since September 2025 and two further five-year agreements in April 2026, including the Defense Logistics Agency deal worth up to roughly $500 million.
Valuation
Roughly $5.6 billion of market capitalization (data as of July 25, 2026) equals 7.9 times trailing twelve-month revenue of $705.9 million and 4.6 times book value; enterprise value sits at 21 to 22 times the $331.7 million of Segment Adjusted EBITDA reported for 2025. Defensible for the margin, but little slack for a stock carrying this fee structure.
Worth Noting
Perimeter Solutions reached our research list via our in-house stock scanner: rank 12 in the U.S. selection of the Big Earnings Surprise list (81 hits), RS rating 91, as of July 25, 2026. Scanner lists are recalculated daily, so the ranking is a dated snapshot. The criterion measures the deviation of reported from estimated earnings per share — both figures are adjusted and leave the founder fee out.
Identity risk: the company was named "Perimeter Solutions, SA" and registered in Luxembourg until November 20, 2024; since then it has been a Delaware corporation called "Perimeter Solutions, Inc." (SEC CIK 1880319, filing Forms 10-K and 10-Q). The ticker PRM belonged to a different company before the listing on November 9, 2021 — price histories before that date do not belong to this business.
Data status and recency: the most recent periodic report is the Form 10-Q for the quarter ended March 31, 2026, filed May 6, 2026. Every filing submitted afterwards was reviewed (Form 8-K of May 28, 2026 on the annual meeting, Forms 4 and 144 on insider transactions); no newer periodic report existed on July 25, 2026. Valuation figures are orders of magnitude as of July 25, 2026, not daily quotes.
Stock Watch
This analysis is as of August 29, 2026. Stock Watch will tell you what's changed at PRM since then.
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Price history
Chart
Interactive price chart (TradingView).
52-week range: 20.70 $ to 37.80 $ · Last price: 32.20 $ (As of: September 17, 2026)
Key figures
Key figures at a glance
Every figure we hold for this stock, grouped by topic. The question mark next to a label explains what the number means.
Basics
Performance
Technical Indicators
Calculated from the price history · as of 09/18/2026
Valuation
Profitability
Balance Sheet & Safety
Growth
Dividend
This stock currently pays no dividend.
Quality & Screener
Highlighted are things our editorial team noticed: green = stands out as strong, red = deserves a closer look. No single metric is a verdict on its own — always read it in context.
Comparison
Industry comparison
The stock alongside the largest companies in the same group. The median row is the middle value of the companies shown above — not of the whole industry.
Industry: Specialty Chemicals
| Company | Market cap ($B) | P/E | EV/EBITDA | Gross Margin % | EBIT Margin % | Sales Growth (Year) % | Perf. 1Y % |
|---|---|---|---|---|---|---|---|
| Perimeter Solutions, Inc. PRM | 5.3 | – | 25.6 | 54.7 | 64.7 | 16.4 | 49.1 |
| Linde plc LIN | 212.0 | 30.6 | 17.5 | 48.4 | 28.5 | 3.0 | -3.2 |
| Sherwin-Williams Co SHW | 77.7 | 31.5 | 19.5 | 49.0 | 14.2 | 2.1 | -7.5 |
| Ecolab Inc ECL | 76.7 | 37.6 | 21.6 | 44.2 | 16.9 | 2.2 | 3.5 |
| Air Products and Chemicals Inc APD | 64.1 | 30.2 | 48.8 | 32.1 | 23.6 | -0.5 | 1.1 |
| PPG Industries Inc PPG | 23.5 | 15.3 | 10.4 | 41.2 | 13.7 | 0.2 | -0.6 |
| International Flavors & Fragrances Inc. IFF | 21.7 | 26.8 | 59.0 | 36.6 | 10.1 | -5.2 | 37.3 |
| LyondellBasell Industries NV LYB | 21.1 | – | 16.7 | 12.9 | 3.5 | -25.2 | 27.6 |
| Sociedad Quimica y Minera de Chile SA SQM | 20.5 | 25.3 | 8.6 | 42.2 | 41.1 | 0.9 | 60.5 |
| Median of companies shown | 23.5 | 30.2 | 19.5 | 42.2 | 16.9 | 0.9 | 3.5 |
Based on the most recently reported figures. Only stocks from the same trading venue are lined up, so the market caps are counted in one currency. Compare in a chart →
Fiscal years
Annual Figures
Fiscal years from the audited annual reports, oldest first. EBIT is the operating profit before interest and taxes; total assets are everything the company owns.
Revenue, operating income and net income per fiscal year $M
Revenue Operating income Net income
| Fiscal Year | Revenue ($M) | EBIT ($M) | Net Income ($M) | EPS ($) | Operating Cash Flow ($M) | Equity ($M) | Total Assets ($M) |
|---|---|---|---|---|---|---|---|
| 2019 | 239 | -6 | -42 | -0.27 | 0 | 262 | 1,145 |
| 2020 | 340 | 71 | 24 | 0.15 | 71 | 291 | 1,138 |
| 2021 | 362 | -600 | -662 | -4.21 | 72 | 1,093 | 2,591 |
| 2022 | 361 | 130 | 92 | 0.52 | -40 | 1,139 | 2,457 |
| 2023 | 322 | 94 | 67 | 0.41 | 0 | 1,152 | 2,315 |
| 2024 | 561 | -4 | -6 | -0.04 | 188 | 1,157 | 2,416 |
| 2025 | 653 | -201 | -206 | -1.39 | 238 | 1,133 | 2,653 |
Quarters
Quarterly Figures
Each bar is one quarter, the last one is the most recent. Use the switch to step through the individual figures.
Revenue & Profit
Cash Flow
Balance Sheet
Margins
Per Share
Click the chart or tab into it, then use ← and → to step through the periods.
None of the selected stocks reports this metric. Pick another metric or switch between annual and quarterly.
· Total · per year
These companies report in different currencies — switch on “Indexed” or pick a margin for a fair comparison.
The figures could not be loaded right now.
Source: fundamental data
| Quarter | EPS (Earnings Per Share) | EPS YoY (%) | Sales ($M) | Sales YoY (%) | Net Margin (%) | OCF ($M) | FCF ($M) |
|---|---|---|---|---|---|---|---|
| 2024: Q2 | 0.16 | 633.30 | 127 | 67.20 | 17.00 | 9 | 5 |
| 2024: Q3 | -0.61 | -441.10 | 288 | 102.20 | -30.90 | 183 | 179 |
| 2024: Q4 | 0.99 | 1,514.30 | 86 | 45.00 | 167.20 | -6 | -12 |
| 2025: Q1 | 0.36 | 614.30 | 72 | 22.00 | 78.70 | 24 | 19 |
| 2025: Q2 | 0.39 | 143.80 | 163 | 27.80 | -19.80 | -3 | -31 |
| 2025: Q3 | 0.82 | 233.60 | 315 | 9.40 | -28.70 | 208 | 203 |
| 2025: Q4 | 0.13 | -86.90 | 103 | 19.20 | -136.50 | 16 | 9 |
| 2026: Q1 | 0.06 | -83.30 | 125 | 73.60 | 58.30 | -89 | -95 |
| 2026: Q2 | -1.11 | -384.60 | 214 | 31.50 | -84.90 | -1 | -13 |
What Do These Terms Mean?
- EPS (Earnings Per Share):
- Quarterly profit divided by the total share count — how much of the profit works out to a single share.
- YoY (Year over Year):
- Change versus the same quarter a year ago — this is how you compare without seasonal distortion (e.g. the holiday shopping season).
- Sales:
- All revenue for the quarter, before any costs are deducted — the top line of the income statement.
- Net Margin:
- What percentage of sales is left over as profit in the end. Negative means the company is posting a loss.
- OCF (Operating Cash Flow):
- The cash that actually flows into the till from the core business during the quarter — harder to dress up than book profit.
- FCF (Free Cash Flow):
- Operating cash flow minus capital expenditures — the money that's genuinely free to use, say for paying down debt, buybacks, or dividends.
Screening
Appears in These Scanners
This stock currently matches 15 of our scanner strategies — each hit links to the scanner.
Growth
Quality & Balance Sheet
Momentum & Trend
- 21-EMA Trend
- Above the 50- & 200-SMA
- Gary Antonacci: Dual Momentum (Stock Adaptation)
- Mark Minervini: Trend Criteria — 1 Month
- Oliver Kell: Strength on Down Day
- RS Leader (≥90)
- Richard Moglen: Top Performers 3/6 Month
- Stan Weinstein: Checklist
- Stan Weinstein: Stage 2
- Strength on Stress Days
Research
Only genuine hits from verified scanners count; pure ranking metrics (P/E, P/S, and similar, which just sort the whole universe) don't count as a hit. View all scanners
Outlook
Analysts & Price Target
Combined picture of the price targets and recommendations of every analyst covering the stock. Price targets are expectations for the next 12 months, not promises — and they often follow the price rather than predict it.
Distribution of Recommendations
Estimates by Fiscal Year
| Fiscal Year | EPS Estimate ($) | EPS Range ($) | Revenue Estimate ($M) | Expected Growth | Analysts |
|---|---|---|---|---|---|
| 12/31/2026 | 1.55 | 1.42 – 1.71 | 882 | 15.4% | 4 |
| 12/31/2027 | 1.83 | 1.63 – 1.91 | 996 | 18.7% | 4 |
Average of the analyst estimates for the coming fiscal years. The range shows how far the most optimistic and the most cautious estimate sit apart — the wider it is, the less certain the expectation.
Valuation
What is priced in?
Instead of guessing what the stock is worth, we turn the question around: what free cash flow growth has to happen for today’s market value to add up? The assumptions behind it can be moved.
Today’s market value implies roughly 20.5% growth in free cash flow per year over ten years (assumptions: discount rate 10.0%, terminal growth 2.5%).
| Free cash flow (last twelve months) | $103.8M |
|---|---|
| Market cap | $5.31B |
| Free cash flow in year ten | $670.8M |
| Terminal value as a share of market value | 66.6% |
For comparison: over the past five years free cash flow grew by 26.9% per year.
It shows which assumption is built into today’s price, not whether that assumption will hold. Every assumption can be changed with the sliders; the figures move with them.
A simplified model calculation — not a forecast and not a recommendation.
AI classification
AI Rating
In den sechs ausgewerteten SEC-Berichten von Perimeter Solutions (2 Geschäftsberichte 10-K, 4 Quartalsberichte 10-Q) kommen die Begriffe „artificial intelligence“, „machine learning“, „AI“ und „generative“ kein einziges Mal vor — weder in der Geschäftsbeschreibung noch in den Risikofaktoren; das Geschäft besteht aus Brandschutzmitteln, Phosphorpentasulfid-Chemie und Medizintechnik-Fertigungsanlagen.
View the full file — quotes, sources, reviewed filings
Filings Reviewed: 10-K 2026-02-26 · 10-K 2025-02-20 · 10-Q 2026-05-06 · 10-Q 2025-10-30 · 10-Q 2025-08-07 · 10-Q 2025-05-08
Rated on July 25, 2026 · How the Rating Is Built
Growth
Growth Score
Ten checks against the annual reports — each one passed counts a point.
- Revenue grows by more than 15% a year over three years 21.9%
- More than 10% revenue growth is expected for the coming year -41.1%
- Share count grows by less than 3% a year -5.3%
- Revenue growth plus cash-flow margin add up to at least 40 ("Rule of 40") 48.3%
- Gross margin at 40% or higher and without meaningful erosion 57.5%
- Goodwill from acquisitions does not grow faster than revenue 40.2%
- Net debt below twice EBITDA failed
- Operating cash flow covers the profits of the last three years 572 m
- Return on capital at 15% or higher, or up versus two years ago -8.1%
- Insiders hold at least 10% or are net buyers 9.1%
A criterion without figures counts neither as passed nor as failed; a score is only produced from 7 judgeable criteria upwards. Source: fundamental data. All ten criteria in detail
Quality check
AAQS
4/10The AAQS (AlleAktien Quality Score) checks 10 quality criteria on growth, profitability, and balance-sheet strength — per the methodology developed and published by AlleAktien, calculated by us from our own fundamental data. A stock counts as a quality stock from 9 out of 10 points. Where a company has a shorter listing history, we calculate over the fiscal years available (at least five).
- Sales growth 10Y > 5% 18.2%
- Exp. sales growth 3Y > 5% 23.5%
- EBIT growth 10Y > 5% –
- Exp. EBIT growth 3Y > 5% 23.5%
- Net debt < 4x EBIT –
- EBIT positive, 10Y straight 3
- Max. EBIT decline < 50% 100.0%
- Return on equity > 15% –
- ROCE > 15% -8.1%
- Expected return > 10% 28.3%
View stocks with the full AAQS score · Read the methodology at AlleAktien
Source: fundamental data
The company
About the Company
Perimeter Solutions, Inc. manufactures and supplies firefighting products, electronic components, lubricant additives, and engineered machinery in the United States, Germany, and internationally. It operates in two segments, Fire Safety and Specialty Products. The Fire Safety segment provides fire retardants and firefighting foams, as well as specialized equipment and services for federal, state, provincial, local/municipal, and commercial customers. The Specialty Products segment develops, produces, and markets products for non-fire safety markets, including phosphorus pentasulfide based lubricant additives used in pesticide and mining chemicals applications, and electric battery technologies. This segment also offers engineered machinery and associated aftermarket consumables parts, and services, as well as original equipment manufacturing, and automation solutions for medical devices such as complex catheters, guidewires and microcoils, as well as aftermarket parts, services, and consumables. The company was founded in 1963 and is headquartered in Clayton, Missouri.
- Employees
- 356
- Headquarters
- Clayton, MO
- Address
- 8000 Maryland Avenue, 63105 Clayton, United States
- Phone
- 314 396 7343
- Website
- perimeter-solutions.com
- IPO Date
- 11/09/2021
- ISIN
- US71385M1071
- Stock Split
- 1:6 on 08/02/2007
Management
| Name | Title | Birth Year |
|---|---|---|
| Haitham R. Khouri | CEO & Director | 1981 |
| Kyle Sable | CFO & Principal Accounting Officer | 1982 |
| Noriko Yokozuka | General Counsel, Corporate Secretary, Chief Administrative & Compliance Officer | 1977 |
| Jeffrey A. Emery | President of Fire Safety | 1976 |
| Grant William Bowman | President of Specialty Products | 1980 |
| Seth Barker | Head of Investor Relations and VP of Financial Planning & Analysis | – |
| Shannon Horn | Business Director of North America Retardant & Services | 1975 |
Executives per the latest required filings; titles kept in their original language. Source: fundamental data.
Filings
Company Filings (8-K)
An 8-K is the filing a US company must use to disclose material events immediately — takeovers, changes at the top, major contracts or payment troubles, for instance. The links open the original document at the US Securities and Exchange Commission (SEC).
- 07/31/2026 Perimeter Solutions, Inc. (PRM): Results of Operations and Financial Condition; Financial Statements and Exhibits SEC ↗
Data as of: September 17, 2026 · Source: fundamental data & SEC filings (annual and quarterly reports, 10-K/10-Q)
Note: pure fact-based analysis, not investment advice and not a solicitation to buy or sell. All figures without guarantee.