Standard Lithium (NYSE:SLI) and Perimeter Solutions (NYSE:PRM) Head-To-Head Contrast

Perimeter Solutions (NYSE:PRM) and Standard Lithium (NYSE:SLI) are both small-cap basic materials companies, but which is the superior stock? We will contrast the two companies based on the strength of their earnings, analyst recommendations, institutional ownership, profitability, valuation, dividends and risk.

Earnings and Valuation

This table compares Perimeter Solutions and Standard Lithium”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Perimeter Solutions	$388.43 million	4.68	$67.49 million	($0.23)	-54.43
Standard Lithium	N/A	N/A	$108.82 million	($0.23)	-9.13

Standard Lithium has lower revenue, but higher earnings than Perimeter Solutions. Perimeter Solutions is trading at a lower price-to-earnings ratio than Standard Lithium, indicating that it is currently the more affordable of the two stocks.

Volatility & Risk

Perimeter Solutions has a beta of 2.02, suggesting that its share price is 102% more volatile than the S&P 500. Comparatively, Standard Lithium has a beta of 1.89, suggesting that its share price is 89% more volatile than the S&P 500.

Insider and Institutional Ownership

89.9% of Perimeter Solutions shares are held by institutional investors. Comparatively, 16.8% of Standard Lithium shares are held by institutional investors. 8.7% of Perimeter Solutions shares are held by company insiders. Comparatively, 3.7% of Standard Lithium shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Perimeter Solutions and Standard Lithium, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Perimeter Solutions	0	1	1	0	2.50
Standard Lithium	0	0	1	0	3.00

Perimeter Solutions currently has a consensus target price of $14.50, indicating a potential upside of 15.81%. Standard Lithium has a consensus target price of $3.50, indicating a potential upside of 66.67%. Given Standard Lithium’s stronger consensus rating and higher probable upside, analysts plainly believe Standard Lithium is more favorable than Perimeter Solutions.

Profitability

This table compares Perimeter Solutions and Standard Lithium’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Perimeter Solutions	-14.12%	2.94%	1.41%
Standard Lithium	N/A	-15.67%	-14.05%

Summary

Perimeter Solutions beats Standard Lithium on 6 of the 11 factors compared between the two stocks.

About Perimeter Solutions

Perimeter Solutions, SA manufactures and supplies firefighting products and lubricant additives in the United States, Germany, and internationally. It operates in two segments, Fire Safety and Specialty Products. The Fire Safety segment provides fire retardants and firefighting foams, as well as specialized equipment and services for federal, state, provincial, local/municipal, and commercial customers. The Specialty Products segment produces and sells Phosphorus Pentasulfide, which is primarily used in the preparation of lubricant additives, including a family of compounds called Zinc Dialkyldithiophosphates. The company offers its products under the PHOS-CHEK, FIRE-TROL, AUXQUIMIA, and SOLBERG brands. Perimeter Solutions, SA was founded in 1963 and is headquartered in Clayton, Missouri.

About Standard Lithium

Standard Lithium Ltd. explores for, develops, and processes lithium brine properties in the United States. Its flagship project is the Lanxess project with area of approximately 150,000 acres located in southern Arkansas. The company was formerly known as Patriot Petroleum Corp. and changed its name to Standard Lithium Ltd. in December 2016. Standard Lithium Ltd. was incorporated in 1998 and is headquartered in Vancouver, Canada.