Perimeter Solutions (PRM) Soars 1.24% on Insider Buying, Earnings

Perimeter Solutions (PRM) shares surged to a record high today, with an intraday gain of 1.24%.

The strategy of buying PRM shares after they reached a recent high and holding for 1 week showed poor performance over the past 5 years. The annualized return was -4.76%, significantly underperforming the market. This indicates that relying on recent highs as a buying trigger and holding for a short duration is not a profitable strategy for PRM.

One of the key drivers behind the recent increase in Perimeter Solutions' stock price is the insider buying activity. WindAcre Partnership Master Fund LP, a 10% owner, reported the purchase of 254,600 shares valued at $3.56 million in a recent SEC filing. This significant insider transaction indicates confidence in the company's future prospects, contributing to the rise in stock price.

Additionally, Perimeter Solutions reported strong financial performance for the first quarter of 2025, exceeding earnings expectations. This positive financial performance has likely boosted investor confidence, further driving the stock price upward.

Analyst ratings and upgrades have also played a role in the stock's recent surge. Perimeter Solutions received an upgrade to a Zacks Rank #1 (Strong Buy) and a reiterated Buy rating with a $17 price target from Morgan Stanley analyst Daniel Kutz. These positive analyst actions suggest a favorable outlook for the company's stock, further supporting the upward trend in its share price.