Perimeter Solutions SA Stock Volatility

PRM Stock  USD 31.77  2.41  8.21%   
Perimeter Solutions' realized and implied volatility are covered along with the standard risk metrics derived from them. Its long-term beta is 1.93, meaning it tends to be significantly more volatile than the overall market. The stock shows above-average price volatility over the last 3 months.

Sharpe Ratio = 0.0851

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For Perimeter Solutions SA, recent data highlights a Market Risk Adjusted Performance of 0.8%, a Risk of 3.67, and a Risk Adjusted Performance of 0.1%. Monthly moving average analysis places it at roughly 6% of its prior performance bandwidth.
Key indicators related to Perimeter Solutions' volatility include:
90 Days Market Risk
Chance Of Distress
90 Days Economic Sensitivity

Key risk metrics for Perimeter Solutions (3 Months):

 Beta
0.42
 Alpha
0.32
 Risk
3.67
 Sharpe Ratio
0.09
 Expected Return
0.31

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Sensitivity To Market

Perimeter Solutions SA beta of 0.42 quantifies how much of its total volatility (3.67%) is attributable to market-wide factors versus idiosyncratic drivers. Perimeter Solutions SA return dispersion over the lookback window shows standard deviation near 3.64% and semi-deviation near 3.04%, providing a baseline for comparison across peer instruments. Options markets imply a forward-looking volatility estimate near 60.0%. This indicates expectations for moderate future movement relative to historical averages. For individual stocks, volatility often rises around earnings, guidance updates, and major company news.
Current 90-day Perimeter Solutions correlation with market (Dow Jones Industrial)
α0.32   β0.42
3 Months Beta |Perimeter Solutions Demand Trend
Current 90-day Perimeter Solutions correlation with market (Dow Jones Industrial)

Downside Risk

Perimeter daily return dispersion, captured by standard deviation, sets the baseline volatility reading for this instrument. High standard deviation indicates a volatile instrument; low standard deviation indicates a more stable one. Shifting the lookback window for Perimeter reveals whether current dispersion is consistent with its longer-term pattern. Changes in Perimeter standard deviation over successive periods may signal shifts in the underlying return regime.
Standard Deviation
    
  3.67  
An important distinction for Perimeter Solutions is between total volatility and downside-only risk. Downside deviation and semi-deviation isolate the loss risk in Perimeter Solutions' daily returns from favorable moves. Total dispersion for Perimeter Solutions captures both favorable and adverse price swings. Downside deviation focuses exclusively on the adverse side of Perimeter Solutions' return distribution. For Perimeter Solutions SA, recent data highlights a Downside Deviation of 3.19, a Downside Variance of 10.17, and a Maximum Drawdown of 23.93.

Perimeter Put Option Risk Profile Based on 2026-07-17 Contracts

For Perimeter Solutions SA, recent data highlights an Option Implied Volatility of 0.60 and an Option Max Pain Price of -1. Protective puts on Perimeter Solutions are a standard downside risk instrument on Perimeter Stock. A put on Perimeter Stock gives the buyer the contractual right to sell Perimeter Solutions shares at the strike before expiration. A put option on Perimeter Solutions functions as an insurance policy for holders of Perimeter Solutions' shares. This protective structure defines the worst-case exit price for Perimeter Solutions while retaining full upside participation.

Perimeter Solutions' PUT expiring on 2026-07-17

   Profit   
       Perimeter Solutions Price At Expiration  

Current Perimeter Solutions Insurance Chain

DeltaGammaOpen IntExpirationCurrent SpreadLast Price
PutPRM260717P00015000-0.0443420.0056112026-07-170.0 - 0.750.0View
PutPRM260717P00017500-0.0619180.00834912026-07-170.0 - 0.950.0View
PutPRM260717P00020000-0.0839130.01221842026-07-170.0 - 1.150.0View
PutPRM260717P00022500-0.1271120.0178785062026-07-170.0 - 1.750.0View
PutPRM260717P00025000-0.1628560.026391112026-07-170.0 - 1.850.0View
PutPRM260717P00030000-0.3489430.05086222026-07-170.4 - 3.50.0View
View All Perimeter Solutions Options

Stock Volatility Analysis

Tracking Perimeter Solutions volatility quantifies the degree of price uncertainty over a given period. Highly volatile stocks like Perimeter Solutions tend to experience wider price swings in both directions. Periods of high volatility for Perimeter Solutions present both elevated risk and wider price ranges for traders. When Perimeter Solutions experiences high volatility, its stock price shifts dramatically in a short period.
Transformation
This analysis covers sixty-one data points across the selected time horizon. The Average Price transformation calculates the mean of Perimeter Solutions's open, high, low, and close for each trading period. By incorporating all four price components equally, it provides a balanced representation of each period's trading activity. Compared to using the closing price alone, the average price reduces the influence of end-of-day positioning and can serve as a smoother input for other technical indicators.

Projected Return Density Against Market

Over a 90-day investment horizon, Perimeter Solutions has a beta of 0.4183 indicating as returns on the market go up, Perimeter Solutions's average returns tend to increase less than the benchmark. However, during a bear market, the loss from holding Perimeter Solutions SA tends to be smaller as well.
Market risk ties Perimeter Solutions to macro cycles, whereas company or sector-specific developments represent independent drivers. Volatility metrics help measure this balance. For Perimeter Solutions SA, recent data highlights a Downside Deviation of 3.19, a Mean Deviation of 2.45, and an Option Implied Volatility of 0.60.
Perimeter Solutions SA has an alpha of 0.3214, implying that it can generate a 0.3214 percent excess return over Dow Jones Industrial after adjusting for the inherent market risk (beta).
   Predicted Return Distribution   
       Density  
Perimeter Solutions' volatility is typically evaluated with standard deviation and beta. Standard deviation reflects how far Perimeter Solutions' returns usually move from the mean over the selected horizon.

What Drives Perimeter Solutions' Price Volatility?

Industry Dynamics

Sector-level catalysts in the Metals & Mining sector often set the baseline volatility regime for Perimeter Solutions.

Political and Economic Environment

Interest-rate path changes, geopolitical developments, and macro surprises influence investor risk tolerance.

Perimeter Solutions' Company-Specific Factors

Execution updates, margin trends, and corporate actions can shift near-term return dispersion for Perimeter Solutions'.

Stock Risk Measures

Over a 90-day investment horizon, the coefficient of variation of Perimeter Solutions is 1174.43. The daily returns are distributed with a variance of 13.46 and standard deviation of 3.67. The mean deviation of Perimeter Solutions SA is currently at 2.44. For similar time horizon, the selected benchmark (Dow Jones Industrial) has volatility of 0.92
α
Alpha over Dow Jones
0.32
β
Beta against Dow Jones0.42
σ
Overall volatility
3.67
Ir
Information ratio 0.09

Stock Return Volatility

Perimeter Solutions daily volatility tracks how widely stock returns have moved around the mean across the selected time frame. The firm reflects 3.669% volatility on return distribution over a 90-day horizon. On the other hand, Dow Jones Industrial reported 0.9164% volatility on return distribution over a 90-day investment horizon.
 Performance 
       Timeline  

Related Correlations Analysis


Correlation Matchups

Over a given time period, the two securities move together when the Correlation Coefficient is positive. Conversely, the two assets move in opposite directions when the Correlation Coefficient is negative. Determining your positions' relationship to each other is valuable for analyzing and projecting your portfolio's future expected return and risk.

High positive correlations

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High negative correlations

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Risk-Adjusted Indicators

Return momentum in Perimeter Stock is more useful when tested against peer-relative fundamentals and risk. Reviewing Perimeter Solutions' risk-adjusted indicators gives a clearer view of whether returns are being earned efficiently. These indicators are quantitative in nature and measure volatility and risk-adjusted expected returns across different positions.

Risk Metrics, Assumptions & Methodology

Drawdown depth for Perimeter Solutions defines the worst peak-to-trough loss observed, framing downside volatility in practical terms. Comparing drawdown depth across market phases shows whether downside risk is regime-dependent. Perimeter Solutions has a market cap of 5.18 billion, P/E of 24.81, ROE of -15.7%.

Perimeter Solutions SA inputs come from periodic company reporting and market reference feeds and are mapped into a consistent reporting framework. Volatility and downside metrics are estimated from historical return dispersion.

Editorial review and methodology oversight provided by: Ellen Johnson, Member of Macroaxis Editorial Board

Volatility Profile Summary

Recent data suggests that Perimeter Solutions SA is more volatile than Dow Jones Industrial by approximately 3.99x over the selected horizon. This differential reflects the relative dispersion of returns and frames how the asset responds to broader market conditions. Observed price behavior indicates modest directional movement within the current volatility regime. Across the current 90-day horizon, that places the security below 32% of the broader equity and portfolio universe on a pure volatility basis. This positioning reflects relative dispersion compared to peers rather than extreme instability.

Perimeter Solutions SA with characteristics aligned to broad market upside participation. This short-horizon analysis focuses on what the latest move may imply for immediate market context. It is intended to separate routine noise from more speculative bursts in price action. a very speculative upward sentiment. Return distributions derived from historical modeling outline a range of potential outcomes over the selected 90-day horizon. View Perimeter Solutions probability analysis.

Poor diversification
The correlation between Perimeter Solutions and Dow Jones is 0.78, which Macroaxis classifies as Poor diversification for the selected horizon. In portfolio terms, the overlap shows how much shared movement remains after combining both positions.

Additional Risk Indicators

Secondary risk indicators for Perimeter Solutions SA evaluate exposure beyond standard deviation, beta, or one headline volatility measure. These measures support both standalone risk assessment and portfolio-level analysis.

Perimeter Solutions Suggested Diversification Pairs

A pair-trading setup around Perimeter Solutions shifts the return benchmark from the broad market to a second position, altering the risk profile. The advantage is that adverse movement in one leg may be partly offset by the other when correlation and thesis alignment hold.
Pair strategies reduce risk, but not all risk is diversifiable through pairing. Market-level risk for Perimeter Solutions persists even in a well-constructed pair. The benefit is in offsetting Perimeter Solutions' company-specific risk, which can be meaningfully reduced by selecting a second position that moves independently of Perimeter Solutions SA.