Vivek Raj Executes Sell Order: Offloads $1.22M In Perimeter Solutions Stock

Vivek Raj, Director at Perimeter Solutions PRM, disclosed an insider sell on May 15, according to a recent SEC filing.

What Happened: Raj's recent move involves selling 102,284 shares of Perimeter Solutions. This information is documented in a Form 4 filing with the U.S. Securities and Exchange Commission on Thursday. The total value is $1,219,910.

Perimeter Solutions shares are trading down 0.0% at $11.97 at the time of this writing on Friday morning.

All You Need to Know About Perimeter Solutions

Perimeter Solutions Inc is a solutions provider for the Fire Safety and Specialty Products industries. The Company's products and operations are managed and reported in two operating segments. Its Fire Safety segment provides fire retardants and firefighting foams, as well as specialized equipment and services typically offered in conjunction with the Company's retardant and foam products. The Specialty Products segment includes operations that develop, produce and market products for non-fire safety markets. Specialty Products segment is Phosphorus Pentasulfide (P2S5) based lubricant additives. P2S5 is also used in pesticide and mining chemicals applications, and emerging electric battery technologies.

Perimeter Solutions: Delving into Financials

Revenue Growth: Over the 3 months period, Perimeter Solutions showcased positive performance, achieving a revenue growth rate of 21.99% as of 31 March, 2025. This reflects a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Materials sector.

Profitability Metrics: Unlocking Value

• Gross Margin: The company excels with a remarkable gross margin of 39.09%, indicating superior cost efficiency and profitability compared to its industry peers.

• Earnings per Share (EPS): Perimeter Solutions's EPS is below the industry average, signaling challenges in bottom-line performance with a current EPS of 0.38.

Debt Management: Perimeter Solutions's debt-to-equity ratio is below the industry average at 0.57, reflecting a lower dependency on debt financing and a more conservative financial approach.

Understanding Financial Valuation:

• Price to Earnings (P/E) Ratio: Perimeter Solutions's P/E ratio of 13.45 is below the industry average, suggesting the stock may be undervalued.

• Price to Sales (P/S) Ratio: With a higher-than-average P/S ratio of 3.1, Perimeter Solutions's stock is perceived as being overvalued in the market, particularly in relation to sales performance.

• EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): The company's EV/EBITDA ratio of 10.53 trails industry averages, indicating a potential disparity in market valuation that could be advantageous for investors.

Market Capitalization Analysis: Falling below industry benchmarks, the company's market capitalization reflects a reduced size compared to peers. This positioning may be influenced by factors such as growth expectations or operational capacity.

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Understanding the Significance of Insider Transactions

Insider transactions serve as a piece of the puzzle in investment decisions, rather than the entire picture.

In legal terms, an "insider" refers to any officer, director, or beneficial owner of more than ten percent of a company's equity securities registered under Section 12 of the Securities Exchange Act of 1934. This can include executives in the c-suite and large hedge funds. These insiders are required to let the public know of their transactions via a Form 4 filing, which must be filed within two business days of the transaction.

When a company insider makes a new purchase, that is an indication that they expect the stock to rise.

Insider sells, on the other hand, can be made for a variety of reasons, and may not necessarily mean that the seller thinks the stock will go down.

Deciphering Transaction Codes in Insider Filings

Delving into transactions, investors typically prioritize those unfolding in the open market, as precisely outlined in Table I of the Form 4 filing. A P in Box 3 indicates a purchase, while S signifies a sale. Transaction code C signals the conversion of an option, and transaction code A denotes a grant, award, or other acquisition of securities from the company.

Check Out The Full List Of Perimeter Solutions's Insider Trades.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.