Advanced Drainage Systems, Inc. (NYSE:WMS) Stock Rated “Moderate Buy” by Wall Street Analysts

Shares of Advanced Drainage Systems, Inc. (NYSE:WMS) have earned a consensus recommendation of “Moderate Buy” from the ten brokerages that are covering the company, MarketBeat.com reports. Two investment analysts have rated the stock with a hold rating and eight have issued a buy rating on the company. The average twelve-month target price among brokerages that have updated their coverage on the stock in the last year is $184.40.

Several equities research analysts recently commented on the stock. Oppenheimer reiterated an “outperform” rating and set a $180.00 target price (down from $185.00) on shares of Advanced Drainage Systems in a research report on Friday. National Bank Financial set a $190.00 target price on shares of Advanced Drainage Systems in a research note on Monday, August 24th. DA Davidson lowered their price target on shares of Advanced Drainage Systems from $190.00 to $180.00 and set a “buy” rating on the stock in a report on Friday. Zacks Research raised shares of Advanced Drainage Systems from a “strong sell” rating to a “hold” rating in a report on Monday, July 27th. Finally, Barclays decreased their target price on shares of Advanced Drainage Systems from $191.00 to $183.00 and set an “overweight” rating on the stock in a report on Friday.

Advanced Drainage Systems Stock Performance

Shares of WMS stock opened at $124.11 on Friday. Advanced Drainage Systems has a 12 month low of $119.53 and a 12 month high of $179.32. The firm has a market cap of $9.36 billion, a PE ratio of 23.60, a P/E/G ratio of 1.60 and a beta of 1.30. The company has a quick ratio of 1.18, a current ratio of 2.12 and a debt-to-equity ratio of 0.95. The company’s fifty day simple moving average is $130.03 and its 200-day simple moving average is $143.09.

Advanced Drainage Systems (NYSE:WMS) last announced its earnings results on Thursday, November 5th. The construction company reported $1.88 EPS for the quarter, topping the consensus estimate of $1.81 by $0.07. Advanced Drainage Systems had a net margin of 14.00% and a return on equity of 28.28%. The business had revenue of $889.41 million during the quarter, compared to the consensus estimate of $921.79 million. During the same quarter in the previous year, the firm posted $1.97 EPS. Advanced Drainage Systems’s revenue was up 4.6% compared to the same quarter last year. Equities research analysts expect that Advanced Drainage Systems will post 6.57 EPS for the current fiscal year.

Advanced Drainage Systems Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, December 15th. Shareholders of record on Tuesday, December 1st will be given a $0.20 dividend. The ex-dividend date is Tuesday, December 1st. This represents a $0.80 annualized dividend and a yield of 0.6%. Advanced Drainage Systems’s payout ratio is presently 13.82%.

More Advanced Drainage Systems News

Here are the key news stories impacting Advanced Drainage Systems this week:

• Positive Sentiment: ADS declared a quarterly dividend of $0.20 per share, payable December 15, with a December 1 ex-dividend date. The annualized payout is $0.80 per share, a 0.6% yield.
• Neutral Sentiment: Royal Bank of Canada, Oppenheimer and Barclays lowered their price targets to $163, $180 and $183, respectively, but maintained “outperform” or “overweight” ratings. The revised targets still imply substantial upside from the cited $124.11 share price. Royal Bank of Canada rating information Oppenheimer rating information Barclays rating information
• Negative Sentiment: Fiscal Q2 2027 revenue of $889.4 million fell short of the roughly $921.8 million estimate. EPS was $1.88—above one consensus estimate of $1.81, but below Zacks’ $1.89 estimate—and down from $1.97 a year earlier. Reports also cited a cut to guidance, contributing to the sharp post-results decline in shares. Second-quarter results announcement Earnings coverage

Institutional Trading of Advanced Drainage Systems

A number of institutional investors and hedge funds have recently modified their holdings of the business. BlackRock Inc. bought a new stake in Advanced Drainage Systems during the second quarter valued at approximately $1,172,482,000. Bamco Inc. NY purchased a new stake in shares of Advanced Drainage Systems in the 2nd quarter worth $106,800,000. Hill City Capital LP purchased a new stake in shares of Advanced Drainage Systems in the 2nd quarter worth $75,341,000. Bank of New York Mellon Corp bought a new position in Advanced Drainage Systems in the 2nd quarter worth $74,104,000. Finally, Pictet Asset Management Holding SA lifted its position in Advanced Drainage Systems by 33.4% during the third quarter. Pictet Asset Management Holding SA now owns 1,505,017 shares of the construction company’s stock valued at $190,712,000 after purchasing an additional 377,043 shares in the last quarter. Institutional investors own 89.83% of the company’s stock.

Advanced Drainage Systems Company Profile

Advanced Drainage Systems, Inc (NYSE: WMS) is a manufacturer of water management products and solutions. The company produces thermoplastic corrugated pipe, fittings, drainage structures, stormwater chambers and related products used to manage the collection, conveyance, storage and treatment of water.

Its products serve a range of markets, including residential, commercial, agricultural, infrastructure and environmental applications. Advanced Drainage Systems supplies solutions for stormwater management, septic and wastewater systems, highway and road construction, land development, agriculture and erosion control.

Founded in 1966 and headquartered in Hilliard, Ohio, the company serves customers through a manufacturing and distribution network primarily covering the United States and Canada, with additional international operations.