Advanced Drainage Systems, Inc. designs, manufactures, and markets thermoplastic corrugated pipes and related water management products, and drainage solutions for use in the underground construction and infrastructure marketplace in the United States, Canada, Mexico, 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, mechanical aeration wastewater solutions, septic tanks and accessories, and combined treatment and dispersal systems; and allied products, including storm retention/detention and septic chambers, polyvinyl chloride drainage structures, fittings, and water quality filters and separators. The company also purchases and distributes construction fabrics and other geosynthetic products for soil stabilization, reinforcement, filtration, separation, erosion control, and sub-surface drainage, as well as drainage grates and other products. It offers its products for non-residential, residential, agriculture, and infrastructure applications through a network of approximately 38 distribution centers. The company was incorporated in 1966 and is headquartered in Hilliard, Ohio.
Advanced Drainage Systems Stock Down 6.0 %
Advanced Drainage Systems stock traded down $9.11 during midday trading on Wednesday, hitting $143.72. 1,439,156 shares of the stock were exchanged, compared to its average volume of 532,682. Advanced Drainage Systems has a 1 year low of $80.81 and a 1 year high of $153.36. The firm has a market cap of $12.01 billion, a P/E ratio of 31.94 and a beta of 1.51. The company has a debt-to-equity ratio of 1.28, a current ratio of 2.78 and a quick ratio of 1.81. The company has a 50 day moving average price of $106.39 and a two-hundred day moving average price of $110.30.
Advanced Drainage Systems (NYSE:WMS - Get Rating) last released its earnings results on Thursday, August 4th. The construction company reported $2.22 earnings per share for the quarter, topping the consensus estimate of $1.00 by $1.22. The company had revenue of $914.20 million during the quarter, compared to the consensus estimate of $849.39 million. Advanced Drainage Systems had a net margin of 12.65% and a return on equity of 47.99%. The company's revenue was up 36.6% on a year-over-year basis. During the same quarter in the previous year, the firm earned $0.87 EPS. On average, sell-side analysts predict that Advanced Drainage Systems will post 6.25 earnings per share for the current fiscal year.
Advanced Drainage Systems Announces Dividend
The business also recently announced a quarterly dividend, which will be paid on Thursday, September 15th. Stockholders of record on Thursday, September 1st will be given a $0.12 dividend. This represents a $0.48 annualized dividend and a dividend yield of 0.33%. The ex-dividend date of this dividend is Wednesday, August 31st. Advanced Drainage Systems's payout ratio is currently 10.67%.
Analysts Set New Price Targets
A number of brokerages have recently commented on WMS. Barclays raised their target price on shares of Advanced Drainage Systems from $135.00 to $164.00 and gave the company an "overweight" rating in a research note on Friday, August 5th. Loop Capital cut their target price on shares of Advanced Drainage Systems from $158.00 to $124.00 and set a "buy" rating on the stock in a research note on Friday, July 8th. Deutsche Bank Aktiengesellschaft began coverage on shares of Advanced Drainage Systems in a research note on Wednesday. They issued a "buy" rating on the stock. Robert W. Baird raised their target price on shares of Advanced Drainage Systems from $119.00 to $170.00 and gave the company an "outperform" rating in a research note on Friday, August 5th. Finally, Morgan Stanley dropped their price target on shares of Advanced Drainage Systems from $142.00 to $120.00 and set an "overweight" rating on the stock in a research note on Tuesday, June 28th. Two equities research analysts have rated the stock with a hold rating and five have given a buy rating to the company's stock. According to MarketBeat.com, Advanced Drainage Systems has an average rating of "Moderate Buy" and a consensus target price of $144.50.
Insider Transactions at Advanced Drainage Systems
In other news, EVP Darin S. Harvey sold 5,985 shares of the business's stock in a transaction dated Friday, August 12th. The shares were sold at an average price of $147.98, for a total value of $885,660.30. Following the completion of the sale, the executive vice president now owns 4,600 shares of the company's stock, valued at approximately $680,708. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. In other news, EVP Brian W. King sold 1,870 shares of Advanced Drainage Systems stock in a transaction dated Tuesday, August 9th. The shares were sold at an average price of $140.98, for a total value of $263,632.60. Following the completion of the transaction, the executive vice president now directly owns 3,583 shares of the company's stock, valued at approximately $505,131.34. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, EVP Darin S. Harvey sold 5,985 shares of the business's stock in a transaction dated Friday, August 12th. The shares were sold at an average price of $147.98, for a total transaction of $885,660.30. Following the transaction, the executive vice president now directly owns 4,600 shares of the company's stock, valued at $680,708. The disclosure for this sale can be found here. In the last 90 days, insiders sold 403,913 shares of company stock valued at $45,944,459. Insiders own 9.33% of the company's stock.
