Massachusetts Financial Services Co. MA Buys 115,633 Shares of Advanced Drainage Systems, Inc. $WMS

Key Points

• Massachusetts Financial Services Co. MA increased its stake in Advanced Drainage Systems by 298.2% in Q4, buying 115,633 shares to hold 154,409 shares (about 0.20% of the company) worth roughly $22.36 million.
• Sell-side analysts have been raising targets and ratings—multiple firms lifted price targets (e.g., UBS to $215, RBC to $205)—leaving a consensus rating of "Moderate Buy" and an average target of $191.
• Advanced Drainage beat quarterly expectations with EPS of $1.27 vs. $1.11 est. and revenue of $693.35M, showing strong profitability (ROE 27.72%, net margin 15.75%) while trading near $147.86 and yielding 0.5% annually.

Massachusetts Financial Services Co. MA grew its stake in shares of Advanced Drainage Systems, Inc. (NYSE:WMS - Free Report) by 298.2% during the fourth quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund owned 154,409 shares of the construction company's stock after buying an additional 115,633 shares during the period. Massachusetts Financial Services Co. MA owned approximately 0.20% of Advanced Drainage Systems worth $22,363,000 as of its most recent filing with the Securities and Exchange Commission.

Other hedge funds and other institutional investors have also recently added to or reduced their stakes in the company. Northwestern Mutual Wealth Management Co. boosted its holdings in Advanced Drainage Systems by 352.0% during the second quarter. Northwestern Mutual Wealth Management Co. now owns 226 shares of the construction company's stock worth $26,000 after buying an additional 176 shares during the last quarter. Mather Group LLC. bought a new position in Advanced Drainage Systems during the third quarter worth about $28,000. Annis Gardner Whiting Capital Advisors LLC bought a new position in Advanced Drainage Systems during the third quarter worth about $33,000. Cullen Frost Bankers Inc. boosted its holdings in Advanced Drainage Systems by 1,242.1% during the third quarter. Cullen Frost Bankers Inc. now owns 255 shares of the construction company's stock worth $35,000 after buying an additional 236 shares during the last quarter. Finally, Caitong International Asset Management Co. Ltd bought a new position in Advanced Drainage Systems during the third quarter worth about $36,000. Institutional investors own 89.83% of the company's stock.

Wall Street Analysts Forecast Growth

A number of research firms have recently commented on WMS. Royal Bank Of Canada raised their price target on Advanced Drainage Systems from $176.00 to $205.00 and gave the stock an "outperform" rating in a research report on Friday, February 6th. Oppenheimer raised their price target on Advanced Drainage Systems from $180.00 to $200.00 and gave the stock an "outperform" rating in a research report on Monday, February 9th. Robert W. Baird set a $205.00 price target on Advanced Drainage Systems in a research report on Friday, February 6th. KeyCorp raised their price target on Advanced Drainage Systems from $180.00 to $198.00 and gave the stock an "overweight" rating in a research report on Friday, February 6th. Finally, UBS Group set a $215.00 price target on Advanced Drainage Systems and gave the stock a "buy" rating in a research report on Friday, February 6th. Seven equities research analysts have rated the stock with a Buy rating and one has given a Hold rating to the stock. According to data from MarketBeat, Advanced Drainage Systems has an average rating of "Moderate Buy" and a consensus target price of $191.00.

Advanced Drainage Systems Trading Down 5.0%

NYSE WMS opened at $147.86 on Thursday. The stock's 50-day moving average is $152.93 and its 200-day moving average is $149.35. Advanced Drainage Systems, Inc. has a one year low of $100.60 and a one year high of $179.32. The firm has a market cap of $11.52 billion, a P/E ratio of 24.60, a P/E/G ratio of 1.66 and a beta of 1.37. The company has a debt-to-equity ratio of 0.72, a current ratio of 4.12 and a quick ratio of 3.08.

Advanced Drainage Systems (NYSE:WMS - Get Free Report) last announced its earnings results on Thursday, February 5th. The construction company reported $1.27 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.11 by $0.16. Advanced Drainage Systems had a return on equity of 27.72% and a net margin of 15.75%.The business had revenue of $693.35 million for the quarter, compared to analyst estimates of $686.37 million. During the same quarter last year, the firm earned $1.09 EPS. Advanced Drainage Systems's revenue for the quarter was up .4% compared to the same quarter last year. Sell-side analysts anticipate that Advanced Drainage Systems, Inc. will post 6.1 earnings per share for the current fiscal year.

Advanced Drainage Systems Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Monday, March 16th. Investors of record on Monday, March 2nd were given a $0.18 dividend. This represents a $0.72 dividend on an annualized basis and a yield of 0.5%. The ex-dividend date of this dividend was Monday, March 2nd. Advanced Drainage Systems's dividend payout ratio (DPR) is currently 11.98%.

Advanced Drainage Systems Profile

Advanced Drainage Systems, Inc NYSE: WMS is a leading manufacturer and supplier of water management solutions in North America. Headquartered in Hilliard, Ohio, the company specializes in the design, production and distribution of high-density polyethylene (HDPE) drainage pipe and related products. Its core business addresses stormwater management, on-site septic systems and erosion control for residential, commercial and infrastructure projects.

The company's product portfolio includes corrugated plastic pipe, tubing, fittings, geocells, geogrids and stormwater structures such as inlets, manholes and detention/retention systems.

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