UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC Purchases 1,049,697 Shares of Advanced Drainage Systems, Inc. $WMS

Key Points

• UBS Asset Management significantly increased its stake in Advanced Drainage Systems, Inc. by 50.8%, acquiring an additional 1,049,697 shares, totaling approximately 4.01% ownership valued at $338.36 million.
• Several analysts have raised their target prices for WMS, with UBS Group setting a new target of $167.00, indicating strong market optimism for the company.
• Advanced Drainage Systems announced a quarterly dividend of $0.18 per share, reflecting a 0.5% yield and a low payout ratio of 13%.

UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its stake in shares of Advanced Drainage Systems, Inc. (NYSE:WMS - Free Report) by 50.8% in the 1st quarter, according to its most recent Form 13F filing with the SEC. The institutional investor owned 3,114,224 shares of the construction company's stock after buying an additional 1,049,697 shares during the period. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC owned about 4.01% of Advanced Drainage Systems worth $338,360,000 as of its most recent SEC filing.

Several other hedge funds also recently modified their holdings of WMS. NBC Securities Inc. bought a new stake in Advanced Drainage Systems during the 1st quarter worth $26,000. Bessemer Group Inc. raised its position in Advanced Drainage Systems by 76.2% in the first quarter. Bessemer Group Inc. now owns 266 shares of the construction company's stock valued at $29,000 after purchasing an additional 115 shares during the last quarter. Banque Cantonale Vaudoise acquired a new stake in shares of Advanced Drainage Systems during the first quarter valued at about $66,000. Signaturefd LLC grew its holdings in shares of Advanced Drainage Systems by 110.7% during the first quarter. Signaturefd LLC now owns 670 shares of the construction company's stock worth $73,000 after purchasing an additional 352 shares during the last quarter. Finally, Mascagni Wealth Management Inc. bought a new stake in shares of Advanced Drainage Systems during the fourth quarter worth about $74,000. Institutional investors and hedge funds own 89.83% of the company's stock.

Advanced Drainage Systems Trading Down 3.5%

Shares of Advanced Drainage Systems stock traded down $5.21 on Friday, hitting $141.58. 792,479 shares of the company's stock traded hands, compared to its average volume of 856,871. The company has a fifty day moving average of $130.04 and a two-hundred day moving average of $118.03. Advanced Drainage Systems, Inc. has a one year low of $93.92 and a one year high of $166.03. The company has a market capitalization of $11.01 billion, a price-to-earnings ratio of 25.56, a price-to-earnings-growth ratio of 1.95 and a beta of 1.26. The company has a debt-to-equity ratio of 0.82, a current ratio of 3.22 and a quick ratio of 2.25.

Advanced Drainage Systems (NYSE:WMS - Get Free Report) last issued its earnings results on Thursday, August 7th. The construction company reported $1.95 earnings per share for the quarter, topping analysts' consensus estimates of $1.78 by $0.17. The business had revenue of $829.88 million during the quarter, compared to the consensus estimate of $800.54 million. Advanced Drainage Systems had a return on equity of 29.57% and a net margin of 14.82%.The firm's revenue for the quarter was up 1.8% on a year-over-year basis. During the same period in the previous year, the company posted $2.06 earnings per share. Advanced Drainage Systems has set its FY 2026 guidance at EPS. As a group, sell-side analysts expect that Advanced Drainage Systems, Inc. will post 6.1 earnings per share for the current year.

Advanced Drainage Systems Announces Dividend

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

Wall Street Analyst Weigh In

A number of brokerages recently issued reports on WMS. Wall Street Zen upgraded shares of Advanced Drainage Systems from a "sell" rating to a "hold" rating in a report on Saturday, August 9th. Royal Bank Of Canada started coverage on shares of Advanced Drainage Systems in a research report on Monday, August 11th. They issued an "outperform" rating and a $159.00 price target for the company. UBS Group reiterated a "buy" rating and set a $167.00 price target (up previously from $146.00) on shares of Advanced Drainage Systems in a report on Friday, August 8th. Robert W. Baird set a $166.00 price objective on Advanced Drainage Systems in a report on Friday, August 8th. Finally, Barclays raised their target price on Advanced Drainage Systems from $135.00 to $160.00 and gave the stock an "overweight" rating in a research report on Friday, August 8th. Seven analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average price target of $152.56.

Advanced Drainage Systems Profile

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.