Perimeter Solutions - Heating Up With More Deals

Perimeter Solutions is positioned to benefit from a severe wildfire season, supported by new multi-year contracts with the DLA and Cal FIRE. Q1 2026 revenue grew 74% YoY to $125 million, with adjusted EBITDA up 128%, driven by Fire Safety and Specialty Products segments. PRM's valuation remains elevated, with a forward P/S above the sector median; sustained double-digit revenue growth is required to justify the current price. Risks include high debt, complex founder advisory agreements, and integration uncertainty from the recent MMT acquisition, but growth potential remains compelling for risk-tolerant investors.

In my last article, I was betting on one hot summer, and I expected Perimeter Solutions, Inc. (PRM) to reap the benefits of an intense wildfire season in the U.S. So far, the data is showing