Advanced Drainage Systems, Inc.

NYSE:WMS Stock Report

Market Cap: US$13.3b

Advanced Drainage Systems Valuation

Is WMS undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • Below Future Cash Flow Value

  • Significantly Below Future Cash Flow Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Future Cash Flow Value

What is the Fair Price of WMS when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Ultimate guide to DCF valuation for stock investing

Learn how to determine fair value like the best investors in the world.

Below Future Cash Flow Value: WMS ($170.98) is trading above our estimate of future cash flow value ($110.69)

Significantly Below Future Cash Flow Value: WMS is trading above our estimate of future cash flow value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for WMS?

Key metric: As WMS is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for WMS. This is calculated by dividing WMS's market cap by their current earnings.
What is WMS's PE Ratio?
PE Ratio28.3x
EarningsUS$470.72m
Market CapUS$13.32b

Price to Earnings Ratio vs Peers

How does WMS's PE Ratio compare to its peers?

The above table shows the PE ratio for WMS vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average20.8x
AOS A. O. Smith
20.4x4.34%US$11.1b
MAS Masco
19.2x7.48%US$15.5b
CSL Carlisle Companies
22.5x5.18%US$16.7b
BLDR Builders FirstSource
21.4x9.58%US$12.7b
WMS Advanced Drainage Systems
28.3x13.23%US$13.3b

Price-To-Earnings vs Peers: WMS is expensive based on its Price-To-Earnings Ratio (28.3x) compared to the peer average (20.8x).

Historical Price to Earnings Ratio

Historical Price to Earnings Ratio compares a stock's price to its earnings over time. Higher ratios indicate that investors are willing to pay more for the stock.

Fetching historical data

Price to Earnings Ratio vs Industry

How does WMS's PE Ratio compare vs other companies in the US Building Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
BNC CEA Industries
0.7xn/aUS$189.47m
No more companies available in this PE range
WMS 28.3xIndustry Avg. 23.1xNo. of Companies10PE01632486480+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: WMS is expensive based on its Price-To-Earnings Ratio (28.3x) compared to the US Building industry average (23.1x).

Price to Earnings Ratio vs Fair Ratio

What is WMS's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

WMS PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio28.3x
Fair PE Ratio30.5x

Price-To-Earnings vs Fair Ratio: WMS is good value based on its Price-To-Earnings Ratio (28.3x) compared to the estimated Fair Price-To-Earnings Ratio (30.5x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst WMS forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$170.98
US$198.00
+15.80%
5.56%US$215.00US$174.00n/a9
Feb ’27US$152.04
US$175.90
+15.69%
6.49%US$197.00US$155.00n/a10
Jan ’27US$144.83
US$171.60
+18.48%
4.85%US$183.00US$155.00n/a10
Dec ’26US$152.72
US$171.10
+12.04%
4.61%US$183.00US$155.00n/a10
Nov ’26US$140.05
US$161.22
+15.12%
2.92%US$168.00US$155.00n/a9
Oct ’26US$140.74
US$161.33
+14.63%
2.88%US$168.00US$155.00n/a9
Sep ’26US$143.97
US$154.50
+7.31%
7.35%US$167.00US$130.00n/a10
Aug ’26US$113.76
US$138.89
+22.09%
6.46%US$160.00US$130.00n/a9
Jul ’26US$119.62
US$138.89
+16.11%
6.46%US$160.00US$130.00n/a9
Jun ’26US$109.96
US$138.89
+26.31%
6.46%US$160.00US$130.00n/a9
May ’26US$113.61
US$144.78
+27.43%
8.22%US$165.00US$130.00n/a9
Apr ’26US$108.98
US$155.11
+42.33%
9.89%US$180.00US$134.00n/a9
Mar ’26US$111.39
US$157.75
+41.62%
9.01%US$180.00US$135.00n/a8
Feb ’26US$120.91
US$162.63
+34.50%
9.82%US$180.00US$135.00US$152.048
Jan ’26US$115.60
US$167.13
+44.57%
9.14%US$184.00US$135.00US$144.838
Dec ’25US$135.29
US$167.13
+23.53%
9.14%US$184.00US$135.00US$152.728
Nov ’25US$149.64
US$182.88
+22.21%
5.73%US$195.00US$168.00US$140.058
Oct ’25US$156.00
US$184.50
+18.27%
5.41%US$195.00US$168.00US$140.748
Sep ’25US$156.76
US$184.50
+17.70%
5.41%US$195.00US$168.00US$143.978
Aug ’25US$169.15
US$192.38
+13.73%
3.50%US$202.00US$179.00US$113.768
Jul ’25US$156.71
US$192.38
+22.76%
3.50%US$202.00US$179.00US$119.628
Jun ’25US$173.49
US$187.11
+7.85%
8.65%US$202.00US$145.00US$109.969
May ’25US$158.51
US$178.00
+12.30%
8.43%US$192.00US$145.00US$113.618
Apr ’25US$170.40
US$177.78
+4.33%
8.04%US$189.00US$145.00US$108.989
Mar ’25US$162.84
US$177.78
+9.17%
8.04%US$189.00US$145.00US$111.399
Feb ’25US$132.94
US$149.89
+12.75%
5.75%US$166.00US$138.00US$120.919
US$198
Fair Value
13.6% undervalued intrinsic discount
9
Number of Analysts

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2026/02/17 14:03
End of Day Share Price 2026/02/13 00:00
Earnings2025/12/31
Annual Earnings2025/03/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Advanced Drainage Systems, Inc. is covered by 13 analysts. 8 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Michael HalloranBaird
Stephen KimBarclays
Matthew BouleyBarclays