Perimeter Solutions (NYSE:PRM) Downgraded by Zacks Research to Strong Sell

Zacks Research lowered shares of Perimeter Solutions (NYSE:PRM) from a hold rating to a strong sell rating in a report issued on Monday,Zacks.com reports.

A number of other research analysts also recently commented on the stock. Weiss Ratings upgraded shares of Perimeter Solutions from a “sell (d+)” rating to a “hold (c-)” rating in a research note on Wednesday, July 29th. Morgan Stanley boosted their target price on shares of Perimeter Solutions from $35.00 to $40.00 and gave the stock an “overweight” rating in a research report on Monday, May 11th. CJS Securities started coverage on shares of Perimeter Solutions in a research note on Tuesday, June 9th. They issued a “market outperform” rating and a $48.00 target price on the stock. JPMorgan Chase & Co. reduced their price target on shares of Perimeter Solutions from $50.00 to $45.00 and set an “overweight” rating on the stock in a research report on Monday, August 3rd. Finally, Wall Street Zen downgraded Perimeter Solutions from a “buy” rating to a “hold” rating in a research note on Sunday, July 12th. Four research analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $41.75.

Perimeter Solutions Price Performance

Shares of NYSE PRM opened at $34.57 on Monday. The company has a quick ratio of 0.93, a current ratio of 1.57 and a debt-to-equity ratio of 1.19. Perimeter Solutions has a fifty-two week low of $17.67 and a fifty-two week high of $38.17. The business has a 50 day moving average price of $34.32 and a two-hundred day moving average price of $29.64. The firm has a market cap of $5.66 billion, a PE ratio of -15.50 and a beta of 1.91.

Perimeter Solutions (NYSE:PRM) last announced its earnings results on Friday, July 31st. The company reported $0.35 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.43 by ($0.08). The business had revenue of $213.81 million during the quarter, compared to analyst estimates of $216.89 million. Perimeter Solutions had a negative net margin of 44.86% and a positive return on equity of 19.15%. Sell-side analysts expect that Perimeter Solutions will post 1.58 earnings per share for the current fiscal year.

Insider Activity at Perimeter Solutions

In related news, CEO Haitham Khouri sold 117,511 shares of the business’s stock in a transaction that occurred on Friday, May 22nd. The stock was sold at an average price of $31.19, for a total transaction of $3,665,168.09. Following the completion of the transaction, the chief executive officer owned 1,874,615 shares in the company, valued at $58,469,241.85. The trade was a 5.90% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, major shareholder Windacre Partnership Llc sold 3,393,479 shares of the business’s stock in a transaction that occurred on Friday, June 26th. The shares were sold at an average price of $34.66, for a total value of $117,617,982.14. Following the transaction, the insider owned 18,461,121 shares of the company’s stock, valued at $639,862,453.86. This represents a 15.53% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 5,935,514 shares of company stock valued at $202,902,090 over the last ninety days. Corporate insiders own 13.10% of the company’s stock.

Institutional Investors Weigh In On Perimeter Solutions

A number of hedge funds have recently added to or reduced their stakes in PRM. Balance Capital Partners L.P. acquired a new position in Perimeter Solutions during the 4th quarter valued at about $69,115,000. Principal Financial Group Inc. grew its position in Perimeter Solutions by 15.0% in the 1st quarter. Principal Financial Group Inc. now owns 12,513,159 shares of the company’s stock worth $305,572,000 after purchasing an additional 1,634,158 shares during the last quarter. Janus Henderson Group PLC increased its stake in shares of Perimeter Solutions by 54.9% in the fourth quarter. Janus Henderson Group PLC now owns 3,691,773 shares of the company’s stock valued at $101,634,000 after purchasing an additional 1,308,602 shares during the period. Invesco Ltd. increased its stake in shares of Perimeter Solutions by 157.3% in the fourth quarter. Invesco Ltd. now owns 1,294,686 shares of the company’s stock valued at $35,643,000 after purchasing an additional 791,558 shares during the period. Finally, Arrowstreet Capital Limited Partnership raised its holdings in shares of Perimeter Solutions by 50.4% during the third quarter. Arrowstreet Capital Limited Partnership now owns 2,132,167 shares of the company’s stock valued at $47,739,000 after buying an additional 714,816 shares during the last quarter. 89.93% of the stock is currently owned by institutional investors.

Perimeter Solutions Company Profile

Perimeter Solutions Ltd. (NYSE: PRM) is a global specialty chemicals company focused on delivering performance-driven solutions for the oil and gas, coatings, plastics, water treatment and packaging markets. Established as an independent publicly traded company in December 2019 following its spin-off from NewMarket Corporation, Perimeter Solutions has positioned itself as a leading provider of highly engineered chemical products designed to optimize upstream oil recovery, protect infrastructure and enhance the performance of industrial processes.

The company’s core product portfolio spans several key segments.