Primoris Services Treynor Ratio
| PRIM Stock | | | USD 171.60 -0.93 -0.54% |
The Treynor Ratio measures excess return per unit of systematic risk (beta) rather than total risk. It is calculated as (Portfolio Return - Risk-Free Rate) / Beta, isolating how well the asset compensates investors for market exposure that cannot be diversified away. Below is Primoris Services's current Treynor Ratio with peer comparisons and related risk metrics.
Current Treynor Ratio Value
A Treynor Ratio of 0.1328 for Primoris Services signals positive return per unit of systematic risk. Primoris Services has been compensated for its market exposure, though the margin is modest.
Treynor Ratio | = | ER[a] - RFRBETA |
| = | 0.1328 | |
| ER[a] | = | Expected return on investing in Primoris Services |
| BETA | = | Beta coefficient between Primoris Services and the market |
| RFR | = | Risk Free Rate of return. Typically T-Bill Rate |
Treynor Ratio Peers Comparison
The peer group averages 0.12 for Treynor Ratio, with Primoris Services at 0.1328 falling above that level. Readings span -0.9142 (Fluor) to 1.61 (Tetra Tech). Primoris Services has earned more return per unit of systematic risk than the peer average.
Treynor Ratio Relative To Other Indicators
The chart below plots Treynor Ratio against Maximum Drawdown for Primoris Services and its peers. Each point represents one equity — position along the horizontal axis shows Treynor Ratio while the vertical axis shows Maximum Drawdown. Equities that cluster in different quadrants carry distinct risk-return profiles. Use the dropdowns to swap in other indicators for either axis.
Primoris Services shows nearly
126.32 of Maximum Drawdown per unit of Treynor Ratio (
0.13 versus
16.78 ). This indicates Maximum Drawdown substantially exceeds Treynor Ratio for Primoris Services.
Methodology, Assumptions & Data Sources
The current Treynor Ratio for Primoris Services is 0.1328. The Treynor Ratio for Primoris Services applies a standardized calculation to daily closing prices and, where applicable, volume data across the selected period. Inputs are drawn from end-of-day closing prices reported by supported exchanges, adjusted for splits and dividends where applicable. Primoris Services operates in the industrials sector, which may exhibit distinct volatility and momentum characteristics relative to the broader market. The calculation assumes continuous price data across the selected period. All readings are presented as reference data.
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