Advanced Drainage Systems, Inc. (NYSE:WMS) Receives Average Recommendation of “Moderate Buy” from Analysts

Shares of Advanced Drainage Systems, Inc. (NYSE:WMS) have been given an average rating of “Moderate Buy” by the eight brokerages that are currently covering the firm, MarketBeat reports. One analyst has rated the stock with a hold rating and seven have assigned a buy rating to the company. The average twelve-month price objective among brokerages that have issued a report on the stock in the last year is $181.88.

A number of brokerages recently issued reports on WMS. Oppenheimer increased their target price on shares of Advanced Drainage Systems from $172.00 to $180.00 and gave the company an “outperform” rating in a research report on Thursday, April 18th. Robert W. Baird increased their target price on shares of Advanced Drainage Systems from $192.00 to $200.00 and gave the company an “outperform” rating in a research report on Friday, May 17th. StockNews.com upgraded shares of Advanced Drainage Systems from a “hold” rating to a “buy” rating in a research report on Wednesday, May 1st. KeyCorp increased their target price on shares of Advanced Drainage Systems from $185.00 to $195.00 and gave the company an “overweight” rating in a research report on Friday, May 17th. Finally, Barclays increased their target price on shares of Advanced Drainage Systems from $189.00 to $202.00 and gave the company an “overweight” rating in a research report on Friday, May 17th.

Advanced Drainage Systems Stock Down 1.8 %

WMS stock opened at $170.82 on Friday. The company has a quick ratio of 1.90, a current ratio of 2.96 and a debt-to-equity ratio of 1.13. Advanced Drainage Systems has a fifty-two week low of $102.32 and a fifty-two week high of $184.27. The firm’s 50-day simple moving average is $167.28 and its 200 day simple moving average is $153.65. The stock has a market cap of $13.24 billion, a PE ratio of 26.52, a price-to-earnings-growth ratio of 1.43 and a beta of 1.58.

Advanced Drainage Systems (NYSE:WMS) last released its quarterly earnings data on Thursday, May 16th. The construction company reported $1.23 earnings per share for the quarter, topping analysts’ consensus estimates of $0.95 by $0.28. The business had revenue of $653.80 million for the quarter, compared to analysts’ expectations of $611.99 million. Advanced Drainage Systems had a net margin of 17.74% and a return on equity of 46.93%. The company’s revenue for the quarter was up 5.9% compared to the same quarter last year. During the same quarter last year, the company earned $1.06 EPS. As a group, sell-side analysts predict that Advanced Drainage Systems will post 7.17 EPS for the current year.

Advanced Drainage Systems Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Friday, June 14th. Stockholders of record on Friday, May 31st were given a dividend of $0.16 per share. This is a positive change from Advanced Drainage Systems’s previous quarterly dividend of $0.14. The ex-dividend date of this dividend was Friday, May 31st. This represents a $0.64 annualized dividend and a dividend yield of 0.37%. Advanced Drainage Systems’s dividend payout ratio (DPR) is 9.94%.

Insider Activity

In other news, insider D. Scott Barbour sold 85,938 shares of the firm’s stock in a transaction dated Friday, May 24th. The shares were sold at an average price of $174.10, for a total transaction of $14,961,805.80. Following the completion of the transaction, the insider now owns 45,994 shares in the company, valued at approximately $8,007,555.40. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website. In other Advanced Drainage Systems news, EVP Robert M. Klein sold 3,059 shares of the firm’s stock in a transaction dated Friday, May 24th. The shares were sold at an average price of $175.95, for a total value of $538,231.05. Following the completion of the transaction, the executive vice president now directly owns 102,070 shares in the company, valued at $17,959,216.50. The sale was disclosed in a filing with the SEC, which is accessible through this link. Also, insider D. Scott Barbour sold 85,938 shares of the firm’s stock in a transaction dated Friday, May 24th. The stock was sold at an average price of $174.10, for a total transaction of $14,961,805.80. Following the completion of the transaction, the insider now owns 45,994 shares of the company’s stock, valued at $8,007,555.40. The disclosure for this sale can be found here. In the last quarter, insiders sold 176,004 shares of company stock worth $30,547,285. Corporate insiders own 2.05% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the company. NBC Securities Inc. acquired a new position in shares of Advanced Drainage Systems in the third quarter worth about $25,000. Mitsubishi UFJ Asset Management Co. Ltd. lifted its position in shares of Advanced Drainage Systems by 319.4% in the first quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 151 shares of the construction company’s stock worth $26,000 after purchasing an additional 115 shares in the last quarter. Contravisory Investment Management Inc. purchased a new stake in shares of Advanced Drainage Systems in the fourth quarter worth approximately $27,000. GAMMA Investing LLC purchased a new stake in shares of Advanced Drainage Systems in the fourth quarter worth approximately $28,000. Finally, Rise Advisors LLC purchased a new stake in shares of Advanced Drainage Systems in the first quarter worth approximately $32,000. 89.83% of the stock is currently owned by institutional investors and hedge funds.

About Advanced Drainage Systems

Advanced Drainage Systems, Inc designs, manufactures, and markets thermoplastic corrugated pipes and related water management products, and drainage solutions for use in the construction and agriculture marketplaces in the United States, Canada, Mexico, and internationally. The company operates through Pipe, International, Infiltrator, and Allied Products & Other segments.