PERIMETER SOLUTIONS INC (PRM) Stock Fundamental Analysis
USA - NYSE:PRM - US71385M1071 - Common Stock
24.15 USD
+0.44 (+1.86%)
24.15 USD
0 (0%)
Overall PRM gets a fundamental rating of 4 out of 10. We evaluated PRM against 82 industry peers in the Chemicals industry. PRM has an average financial health and profitability rating. PRM has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
PRM had positive earnings in the past year.
In the past year PRM had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: PRM reported negative net income in multiple years.
Of the past 5 years PRM 4 years had a positive operating cash flow.
1.2 Ratios
PRM's Return On Assets of 2.95% is fine compared to the rest of the industry. PRM outperforms 64.63% of its industry peers.
Looking at the Return On Equity, with a value of 7.02%, PRM is in the better half of the industry, outperforming 68.29% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 0.85%, PRM is doing worse than 75.61% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.95% | ||
| ROE | 7.02% | ||
| ROIC | 0.85% |
ROA(3y)2.14%
ROA(5y)-3.4%
ROE(3y)4.47%
ROE(5y)-7.84%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
PRM's Profit Margin of 12.26% is amongst the best of the industry. PRM outperforms 91.46% of its industry peers.
Looking at the Operating Margin, with a value of 4.02%, PRM is doing worse than 65.85% of the companies in the same industry.
With an excellent Gross Margin value of 58.25%, PRM belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
PRM's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.02% | ||
| PM (TTM) | 12.26% | ||
| GM | 58.25% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y6.47%
GM growth 5Y10.02%
2. Health
2.1 Basic Checks
PRM has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
PRM has more shares outstanding than it did 1 year ago.
PRM has less shares outstanding than it did 5 years ago.
The debt/assets ratio for PRM has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.43, we must say that PRM is in the distress zone and has some risk of bankruptcy.
PRM has a Altman-Z score of 1.43. This is in the lower half of the industry: PRM underperforms 69.51% of its industry peers.
PRM has a debt to FCF ratio of 4.68. This is a neutral value as PRM would need 4.68 years to pay back of all of its debts.
PRM has a better Debt to FCF ratio (4.68) than 84.15% of its industry peers.
A Debt/Equity ratio of 0.71 indicates that PRM is somewhat dependend on debt financing.
The Debt to Equity ratio of PRM (0.71) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.71 | ||
| Debt/FCF | 4.68 | ||
| Altman-Z | 1.43 |
ROIC/WACC0.1
WACC8.3%
2.3 Liquidity
A Current Ratio of 2.22 indicates that PRM has no problem at all paying its short term obligations.
PRM's Current ratio of 2.22 is fine compared to the rest of the industry. PRM outperforms 60.98% of its industry peers.
A Quick Ratio of 1.72 indicates that PRM should not have too much problems paying its short term obligations.
PRM has a better Quick ratio (1.72) than 71.95% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.22 | ||
| Quick Ratio | 1.72 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 221.24% over the past year.
Looking at the last year, PRM shows a quite strong growth in Revenue. The Revenue has grown by 19.12% in the last year.
PRM shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 18.58% yearly.
EPS 1Y (TTM)221.24%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%234.43%
Revenue 1Y (TTM)19.12%
Revenue growth 3Y15.69%
Revenue growth 5Y18.58%
Sales Q2Q%9.37%
3.2 Future
PRM is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 52.92% yearly.
Based on estimates for the next years, PRM will show a small growth in Revenue. The Revenue will grow by 7.81% on average per year.
EPS Next Y244.29%
EPS Next 2Y87.04%
EPS Next 3Y52.92%
EPS Next 5YN/A
Revenue Next Year11.99%
Revenue Next 2Y9.25%
Revenue Next 3Y7.81%
Revenue Next 5YN/A
3.3 Evolution
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
PRM is valuated rather expensively with a Price/Earnings ratio of 17.63.
PRM's Price/Earnings ratio is in line with the industry average.
When comparing the Price/Earnings ratio of PRM to the average of the S&P500 Index (26.03), we can say PRM is valued slightly cheaper.
Based on the Price/Forward Earnings ratio of 17.71, the valuation of PRM can be described as rather expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of PRM is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 22.27. PRM is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.63 | ||
| Fwd PE | 17.71 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, PRM is valued expensively inside the industry as 81.71% of the companies are valued cheaper.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of PRM indicates a somewhat cheap valuation: PRM is cheaper than 64.63% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.89 | ||
| EV/EBITDA | 41.01 |
4.3 Compensation for Growth
PRM's 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 52.92% in the coming years.
PEG (NY)0.07
PEG (5Y)N/A
EPS Next 2Y87.04%
EPS Next 3Y52.92%
5. Dividend
5.1 Amount
No dividends for PRM!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
24.15
+0.44 (+1.86%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners88.21%
Inst Owner Change-3.74%
Ins Owners8.67%
Ins Owner Change5.51%
Market Cap3.54B
Revenue(TTM)636.34M
Net Income(TTM)78.03M
Analysts80
Price Target26.52 (9.81%)
Short Float %2.89%
Short Ratio3.25
Dividend
| Industry Rank | Sector 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)2
Avg EPS beat(2)33%
Min EPS beat(2)20.28%
Max EPS beat(2)45.71%
EPS beat(4)4
Avg EPS beat(4)119.63%
Min EPS beat(4)20.28%
Max EPS beat(4)314.52%
EPS beat(8)6
Avg EPS beat(8)101.71%
EPS beat(12)9
Avg EPS beat(12)132.21%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)23.19%
Min Revenue beat(2)15.31%
Max Revenue beat(2)31.08%
Revenue beat(4)3
Avg Revenue beat(4)13.09%
Min Revenue beat(4)-4.91%
Max Revenue beat(4)31.08%
Revenue beat(8)6
Avg Revenue beat(8)20.86%
Revenue beat(12)9
Avg Revenue beat(12)15.18%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)13.04%
PT rev (3m)40.54%
EPS NQ rev (1m)12.5%
EPS NQ rev (3m)-0.74%
EPS NY rev (1m)7.34%
EPS NY rev (3m)17.59%
Revenue NQ rev (1m)6.39%
Revenue NQ rev (3m)-1.59%
Revenue NY rev (1m)3.36%
Revenue NY rev (3m)4%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.63 | ||
| Fwd PE | 17.71 | ||
| P/S | 5.56 | ||
| P/FCF | 20.89 | ||
| P/OCF | 16.56 | ||
| P/B | 3.18 | ||
| P/tB | N/A | ||
| EV/EBITDA | 41.01 |
EPS(TTM)1.37
EY5.67%
EPS(NY)1.36
Fwd EY5.65%
FCF(TTM)1.16
FCFY4.79%
OCF(TTM)1.46
OCFY6.04%
SpS4.35
BVpS7.59
TBVpS-5.67
PEG (NY)0.07
PEG (5Y)N/A
Graham Number15.29
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.95% | ||
| ROE | 7.02% | ||
| ROCE | 1.07% | ||
| ROIC | 0.85% | ||
| ROICexc | 0.99% | ||
| ROICexgc | 20.36% | ||
| OM | 4.02% | ||
| PM (TTM) | 12.26% | ||
| GM | 58.25% | ||
| FCFM | 26.6% |
ROA(3y)2.14%
ROA(5y)-3.4%
ROE(3y)4.47%
ROE(5y)-7.84%
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
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y6.47%
GM growth 5Y10.02%
F-Score7
Asset Turnover0.24
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.71 | ||
| Debt/FCF | 4.68 | ||
| Debt/EBITDA | 8.27 | ||
| Cap/Depr | 63.16% | ||
| Cap/Sales | 6.96% | ||
| Interest Coverage | 0.69 | ||
| Cash Conversion | 223.24% | ||
| Profit Quality | 216.92% | ||
| Current Ratio | 2.22 | ||
| Quick Ratio | 1.72 | ||
| Altman-Z | 1.43 |
F-Score7
WACC8.3%
ROIC/WACC0.1
Cap/Depr(3y)17.09%
Cap/Depr(5y)16.01%
Cap/Sales(3y)2.7%
Cap/Sales(5y)2.6%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)221.24%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%234.43%
EPS Next Y244.29%
EPS Next 2Y87.04%
EPS Next 3Y52.92%
EPS Next 5YN/A
Revenue 1Y (TTM)19.12%
Revenue growth 3Y15.69%
Revenue growth 5Y18.58%
Sales Q2Q%9.37%
Revenue Next Year11.99%
Revenue Next 2Y9.25%
Revenue Next 3Y7.81%
Revenue Next 5YN/A
EBIT growth 1Y134.53%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year45.36%
EBIT Next 3Y17.11%
EBIT Next 5YN/A
FCF growth 1Y1129.67%
FCF growth 3Y40.29%
FCF growth 5YN/A
OCF growth 1Y3057.92%
OCF growth 3Y37.57%
OCF growth 5YN/A
PERIMETER SOLUTIONS INC / PRM FAQ
What is the fundamental rating for PRM stock?
ChartMill assigns a fundamental rating of 4 / 10 to PRM.
What is the valuation status of PERIMETER SOLUTIONS INC (PRM) stock?
ChartMill assigns a valuation rating of 5 / 10 to PERIMETER SOLUTIONS INC (PRM). This can be considered as Fairly Valued.
Can you provide the profitability details for PERIMETER SOLUTIONS INC?
PERIMETER SOLUTIONS INC (PRM) has a profitability rating of 4 / 10.
What is the financial health of PERIMETER SOLUTIONS INC (PRM) stock?
The financial health rating of PERIMETER SOLUTIONS INC (PRM) is 5 / 10.