Advanced Drainage Systems (NYSE:WMS) Hits New 1-Year Low – What’s Next?

Advanced Drainage Systems, Inc. (NYSE:WMS)’s stock price hit a new 52-week low on Thursday . The company traded as low as $127.50 and last traded at $127.6450, with a volume of 333491 shares. The stock had previously closed at $131.78.

Analyst Upgrades and Downgrades

A number of equities research analysts have recently commented on WMS shares. Jefferies Financial Group assumed coverage on Advanced Drainage Systems in a research report on Thursday, June 11th. They set a “buy” rating and a $175.00 price objective for the company. Zacks Research raised Advanced Drainage Systems from a “strong sell” rating to a “hold” rating in a research note on Monday, July 27th. Barclays upped their price objective on shares of Advanced Drainage Systems from $181.00 to $191.00 and gave the company an “overweight” rating in a research note on Tuesday, July 14th. National Bank Financial set a $190.00 target price on shares of Advanced Drainage Systems in a research report on Monday, August 24th. Finally, KeyCorp restated an “overweight” rating on shares of Advanced Drainage Systems in a research report on Monday, June 22nd. One analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating and two have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $188.70.

Advanced Drainage Systems Price Performance

The stock has a market capitalization of $9.66 billion, a price-to-earnings ratio of 22.13, a price-to-earnings-growth ratio of 1.39 and a beta of 1.28. The company has a current ratio of 2.12, a quick ratio of 1.18 and a debt-to-equity ratio of 0.95. The stock has a 50-day simple moving average of $142.38 and a 200 day simple moving average of $143.77.

Advanced Drainage Systems (NYSE:WMS) last released its earnings results on Thursday, August 6th. The construction company reported $2.49 earnings per share for the quarter, beating the consensus estimate of $2.10 by $0.39. The company had revenue of $1 billion for the quarter, compared to analysts’ expectations of $991.39 million. Advanced Drainage Systems had a return on equity of 28.28% and a net margin of 14.00%.The business’s revenue for the quarter was up 20.6% on a year-over-year basis. During the same quarter in the previous year, the business posted $1.95 EPS. On average, equities research analysts forecast that Advanced Drainage Systems, Inc. will post 6.62 EPS for the current fiscal year.

Advanced Drainage Systems Announces Dividend

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

Hedge Funds Weigh In On Advanced Drainage Systems

Several institutional investors and hedge funds have recently modified their holdings of the stock. Northwestern Mutual Wealth Management Co. boosted its position 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 valued at $26,000 after purchasing an additional 176 shares during the last quarter. Baird Financial Group Inc. raised its stake in shares of Advanced Drainage Systems by 1.8% during the 2nd quarter. Baird Financial Group Inc. now owns 21,049 shares of the construction company’s stock worth $2,418,000 after purchasing an additional 382 shares in the last quarter. Brown Advisory Inc. raised its stake in shares of Advanced Drainage Systems by 14.0% during the 2nd quarter. Brown Advisory Inc. now owns 4,784 shares of the construction company’s stock worth $549,000 after purchasing an additional 588 shares in the last quarter. Jump Financial LLC acquired a new stake in shares of Advanced Drainage Systems during the 2nd quarter valued at about $403,000. Finally, California Public Employees Retirement System lifted its holdings in shares of Advanced Drainage Systems by 2.2% during the 2nd quarter. California Public Employees Retirement System now owns 101,512 shares of the construction company’s stock valued at $11,660,000 after buying an additional 2,206 shares during the last quarter. 89.83% of the stock is currently owned by hedge funds and other institutional investors.

Advanced Drainage Systems Company Profile

Advanced Drainage Systems, Inc (NYSE: WMS) designs and manufactures water management products for the construction, infrastructure, agriculture and residential markets. Founded in 1966 and headquartered in Hilliard, Ohio, the company is known for its thermoplastic corrugated pipe and related systems used to collect, convey, store and manage stormwater and wastewater.

Its product portfolio includes stormwater detention and infiltration systems, sanitary and septic sewer products, agricultural drainage systems, erosion and sediment control products, and water-quality solutions.