Swedbank AB Sells 496,111 Shares of Advanced Drainage Systems, Inc. $WMS

Key Points

• Swedbank AB has reduced its stake in Advanced Drainage Systems, Inc. by 36.0%, now holding about 1.14% of the company, worth approximately $96 million.
• Several institutional investors have increased their holdings in Advanced Drainage Systems, with notable increases from Bessemer Group Inc. (up 76.2%) and Teacher Retirement System of Texas (up 97.6%) during the same quarter.
• Analysts maintain a Moderate Buy consensus on Advanced Drainage Systems with an average price target of $152.56, reflecting positive sentiment despite a recent earnings report showing a slight revenue decrease year-over-year.

Swedbank AB decreased its position in shares of Advanced Drainage Systems, Inc. (NYSE:WMS - Free Report) by 36.0% during the first quarter, according to the company in its most recent filing with the SEC. The institutional investor owned 883,789 shares of the construction company's stock after selling 496,111 shares during the quarter. Swedbank AB owned approximately 1.14% of Advanced Drainage Systems worth $96,024,000 at the end of the most recent quarter.

A number of other large investors also recently modified their holdings of WMS. Millennium Management LLC lifted its stake in shares of Advanced Drainage Systems by 92.7% during the 4th quarter. Millennium Management LLC now owns 136,718 shares of the construction company's stock valued at $15,805,000 after buying an additional 65,760 shares in the last quarter. Nomura Holdings Inc. purchased a new position in shares of Advanced Drainage Systems during the 4th quarter valued at $1,082,000. Man Group plc lifted its stake in shares of Advanced Drainage Systems by 3.9% during the 4th quarter. Man Group plc now owns 71,860 shares of the construction company's stock valued at $8,307,000 after buying an additional 2,700 shares in the last quarter. Quantinno Capital Management LP lifted its stake in shares of Advanced Drainage Systems by 4.4% during the 4th quarter. Quantinno Capital Management LP now owns 8,006 shares of the construction company's stock valued at $926,000 after buying an additional 334 shares in the last quarter. Finally, ProShare Advisors LLC lifted its stake in Advanced Drainage Systems by 7.3% in the 4th quarter. ProShare Advisors LLC now owns 3,300 shares of the construction company's stock worth $381,000 after purchasing an additional 224 shares in the last quarter. Hedge funds and other institutional investors own 89.83% of the company's stock.

Analysts Set New Price Targets

Several brokerages have commented on WMS. UBS Group reiterated a "buy" rating and issued a $167.00 price target (up previously from $146.00) on shares of Advanced Drainage Systems in a research note on Friday, August 8th. Barclays boosted their price target on shares of Advanced Drainage Systems from $135.00 to $160.00 and gave the stock an "overweight" rating in a research note on Friday, August 8th. Royal Bank Of Canada began coverage on shares of Advanced Drainage Systems in a research note on Monday, August 11th. They issued an "outperform" rating and a $159.00 price target on the stock. Robert W. Baird set a $166.00 price target on shares of Advanced Drainage Systems in a research note on Friday, August 8th. Finally, KeyCorp boosted their price target on shares of Advanced Drainage Systems from $140.00 to $159.00 and gave the stock an "overweight" rating in a research note on Friday, August 8th. Seven investment analysts have rated the stock with a Buy rating and one has issued a Hold rating to the stock. According to MarketBeat.com, Advanced Drainage Systems has a consensus rating of "Moderate Buy" and a consensus target price of $152.56.

Advanced Drainage Systems Price Performance

Shares of NYSE WMS traded up $1.35 during mid-day trading on Monday, hitting $142.84. 506,031 shares of the company's stock traded hands, compared to its average volume of 864,200. The company's 50-day moving average is $130.58 and its two-hundred day moving average is $118.29. The company has a debt-to-equity ratio of 0.82, a current ratio of 3.22 and a quick ratio of 2.25. The company has a market capitalization of $11.11 billion, a P/E ratio of 25.78, a PEG ratio of 1.88 and a beta of 1.26. Advanced Drainage Systems, Inc. has a 1 year low of $93.92 and a 1 year high of $166.03.

Advanced Drainage Systems (NYSE:WMS - Get Free Report) last announced its earnings results on Thursday, August 7th. The construction company reported $1.95 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.78 by $0.17. The firm had revenue of $829.88 million for the quarter, compared to analysts' expectations of $800.54 million. Advanced Drainage Systems had a net margin of 14.82% and a return on equity of 29.57%. The business's revenue was up 1.8% compared to the same quarter last year. During the same period in the prior year, the company earned $2.06 EPS. Advanced Drainage Systems has set its FY 2026 guidance at EPS. On average, equities analysts anticipate that Advanced Drainage Systems, Inc. will post 6.1 EPS for the current fiscal year.

Advanced Drainage Systems Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Monday, September 15th. Stockholders of record on Friday, August 29th will be issued a $0.18 dividend. This represents a $0.72 annualized dividend and a dividend yield of 0.5%. The ex-dividend date is Friday, August 29th. Advanced Drainage Systems's dividend payout ratio is presently 13.00%.

About Advanced Drainage Systems

Advanced Drainage Systems, Inc designs, manufactures, and markets thermoplastic corrugated pipes and related water management products in North America and internationally. The company operates through Pipe, International, Infiltrator, and Allied Products & Other segments. It offers single, double, and triple wall corrugated polypropylene and polyethylene pipes; plastic leachfield chambers and systems; EZflow synthetic aggregate bundles; wastewater purification through mechanical aeration wastewater for residential and commercial systems; septic tanks and accessories; combined treatment and dispersal systems, including advanced enviro-septic and advanced treatment leachfield systems; and allied products, including storm retention/detention and septic chambers, polyvinyl chloride drainage structures, fittings, and water quality filters and separators.