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, and internationally. More Details
Acceptable track record with mediocre balance sheet.
Share Price & News
How has Advanced Drainage Systems's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: WMS is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.
Volatility Over Time: WMS's weekly volatility (6%) has been stable over the past year.
7 Day Return
1 Year Return
Return vs Industry: WMS exceeded the US Building industry which returned 21.5% over the past year.
Return vs Market: WMS exceeded the US Market which returned 24.3% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Advanced Drainage Systems's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall StWhat Can We Make Of Advanced Drainage Systems' (NYSE:WMS) CEO Compensation?
3 weeks ago | Simply Wall StHas Advanced Drainage Systems, Inc.'s (NYSE:WMS) Impressive Stock Performance Got Anything to Do With Its Fundamentals?
1 month ago | Simply Wall StAre Advanced Drainage Systems's (NYSE:WMS) Statutory Earnings A Good Guide To Its Underlying Profitability?
Is Advanced Drainage Systems undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: WMS ($83.06) is trading below our estimate of fair value ($104.33)
Significantly Below Fair Value: WMS is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: WMS is poor value based on its PE Ratio (39.2x) compared to the US Building industry average (23x).
PE vs Market: WMS is poor value based on its PE Ratio (39.2x) compared to the US market (21.2x).
Price to Earnings Growth Ratio
PEG Ratio: WMS is poor value based on its PEG Ratio (3.6x)
Price to Book Ratio
PB vs Industry: WMS is overvalued based on its PB Ratio (8.4x) compared to the US Building industry average (3.4x).
How is Advanced Drainage Systems forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: WMS's forecast earnings growth (11% per year) is above the savings rate (2%).
Earnings vs Market: WMS's earnings (11% per year) are forecast to grow slower than the US market (21.3% per year).
High Growth Earnings: WMS's earnings are forecast to grow, but not significantly.
Revenue vs Market: WMS's revenue (1.6% per year) is forecast to grow slower than the US market (10.6% per year).
High Growth Revenue: WMS's revenue (1.6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: WMS's Return on Equity is forecast to be low in 3 years time (16.1%).
How has Advanced Drainage Systems performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: WMS has high quality earnings.
Growing Profit Margin: WMS became profitable in the past.
Past Earnings Growth Analysis
Earnings Trend: WMS has become profitable over the past 5 years, growing earnings by -22.6% per year.
Accelerating Growth: WMS has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: WMS has become profitable in the last year, making it difficult to compare its past year earnings growth to the Building industry (17.1%).
Return on Equity
High ROE: WMS's Return on Equity (18.4%) is considered low.
How is Advanced Drainage Systems's financial position?
Financial Position Analysis
Short Term Liabilities: WMS's short term assets ($700.6M) exceed its short term liabilities ($282.5M).
Long Term Liabilities: WMS's short term assets ($700.6M) do not cover its long term liabilities ($1.1B).
Debt to Equity History and Analysis
Debt Level: WMS's debt to equity ratio (91.8%) is considered high.
Reducing Debt: WMS's debt to equity ratio has increased from 81.6% to 91.8% over the past 5 years.
Debt Coverage: WMS's debt is well covered by operating cash flow (47.1%).
Interest Coverage: WMS's interest payments on its debt are well covered by EBIT (6.8x coverage).
What is Advanced Drainage Systems's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: WMS's dividend (0.43%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.39%).
High Dividend: WMS's dividend (0.43%) is low compared to the top 25% of dividend payers in the US market (3.87%).
Stability and Growth of Payments
Stable Dividend: WMS is not paying a notable dividend for the US market, therefore no need to check if payments are stable.
Growing Dividend: WMS is not paying a notable dividend for the US market, therefore no need to check if payments are increasing.
Current Payout to Shareholders
Dividend Coverage: WMS is not paying a notable dividend for the US market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of WMS's dividend in 3 years as they are not forecast to pay a notable one for the US market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Donald Barbour (58 yo)
Mr. Donald Scott Barbour has been Chief Executive Officer and President of Advanced Drainage Systems, Inc. since September 1, 2017. Mr. Barbour served as Executive Vice President of Emerson Network Power C...
CEO Compensation Analysis
Compensation vs Market: Donald's total compensation ($USD5.78M) is about average for companies of similar size in the US market ($USD6.31M).
Compensation vs Earnings: Donald's compensation has been consistent with company performance over the past year.
|CEO, President & Director||3.33yrs||US$5.78m||0.18% |
|Executive VP||5.17yrs||US$2.55m||0.051% |
|Executive Vice President||no data||US$1.72m||0.20% |
|Executive Vice President||9.17yrs||US$1.85m||0.047% |
|Executive Vice President||no data||US$3.62m||0.16% |
|Chief Accounting Officer||no data||no data||0.0072% |
|Executive VP & Chief Administrative Officer||4.42yrs||US$927.47k||0.034% |
|Vice President of Corporate Strategy & Investor Relations||no data||no data||no data|
|Executive Vice President of Product Management & Marketing||0.17yr||no data||0.0026% |
|Senior Vice President||no data||no data||0.044% |
|Executive Vice President of Supply Chain||2.25yrs||no data||0.0097% |
|Senior Vice President of International||0.58yr||no data||0.0025% |
Experienced Management: WMS's management team is considered experienced (3.3 years average tenure).
|CEO, President & Director||3.33yrs||US$5.78m||0.18% |
|Chairman Emeritus||3.33yrs||US$9.23m||9.27% |
|Independent Chairman of the Board||3.33yrs||US$305.01k||0.053% |
|Independent Director||1.5yrs||US$185.01k||0.013% |
|Independent Director||4.42yrs||US$200.01k||0.034% |
|Independent Director||8yrs||US$185.02k||0.033% |
|Independent Director||13yrs||US$220.01k||0.088% |
|Director||0.50yr||no data||0.0029% |
|Independent Director||6.92yrs||US$185.02k||0.031% |
|Independent Director||2.67yrs||US$185.02k||0.011% |
|Independent Director||6.92yrs||US$191.69k||0.033% |
|Independent Director||2.67yrs||US$185.01k||no data|
Experienced Board: WMS's board of directors are considered experienced (3.3 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: WMS insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 3.2%.
Advanced Drainage Systems, Inc.'s company bio, employee growth, exchange listings and data sources
- Name: Advanced Drainage Systems, Inc.
- Ticker: WMS
- Exchange: NYSE
- Founded: 1966
- Industry: Building Products
- Sector: Capital Goods
- Market Cap: US$6.112b
- Shares outstanding: 70.48m
- Website: https://www.ads-pipe.com
Number of Employees
- Advanced Drainage Systems, Inc.
- 4640 Trueman Boulevard
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|WMS||NYSE (New York Stock Exchange)||Yes||Common Stock||US||USD||Jul 2014|
|6DA||DB (Deutsche Boerse AG)||Yes||Common Stock||DE||EUR||Jul 2014|
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 i...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/01/28 00:42|
|End of Day Share Price||2021/01/27 00:00|
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 here.