[2] Sedum madagascariense was described by French botanist Joseph Marie Henry Alfred Perrier de la Bâthie in 1923.

S. madagascariense was placed in Sedum section Perrierosedum, named in honour of Perrier de la Bâthie, in 1930 by Alwin Berger.

[1][4] P. madagascariense is known only from Andringitra Massif in the Haute Matsiatra and Ihorombe regions of south-central Madagascar.

[4][5] P. madagascariense is listed as critically endangered by the International Union for the Conservation of Nature under criterion B2ab(iii), based on its small area of occupancy and the decline of its habitat.

Despite occurring within a protected area, it is threatened by wildfires, grazing, and human disturbance from hikers and rock climbers.