Advanced Drainage Systems (NYSE:WMS) Announces Earnings Results, Beats Expectations By $1.22 EPS

Advanced Drainage Systems (NYSE:WMSGet Rating) posted its earnings results on Thursday. The construction company reported $2.22 earnings per share for the quarter, topping analysts’ consensus estimates of $1.00 by $1.22, Briefing.com reports. The business had revenue of $914.20 million for the quarter, compared to analyst estimates of $849.39 million. Advanced Drainage Systems had a net margin of 12.65% and a return on equity of 50.97%. Advanced Drainage Systems’s revenue was up 36.6% on a year-over-year basis. During the same quarter in the prior year, the firm posted $0.87 EPS. Advanced Drainage Systems updated its FY 2023 guidance to EPS.

Advanced Drainage Systems Stock Performance

Shares of WMS stock traded up $2.96 during trading hours on Friday, reaching $139.78. The company had a trading volume of 1,554,073 shares, compared to its average volume of 634,831. The business has a fifty day moving average price of $100.96 and a 200-day moving average price of $108.35. Advanced Drainage Systems has a one year low of $80.81 and a one year high of $139.88. The firm has a market cap of $11.87 billion, a PE ratio of 31.06 and a beta of 1.51. The company has a debt-to-equity ratio of 1.01, a quick ratio of 0.97 and a current ratio of 2.23.

Advanced Drainage Systems Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, September 15th. Stockholders of record on Thursday, September 1st will be paid a $0.12 dividend. The ex-dividend date of this dividend is Wednesday, August 31st. This represents a $0.48 dividend on an annualized basis and a dividend yield of 0.34%. Advanced Drainage Systems’s dividend payout ratio is presently 10.67%.

Analysts Set New Price Targets

A number of analysts recently weighed in on the stock. Robert W. Baird upped their target price on shares of Advanced Drainage Systems from $119.00 to $170.00 and gave the stock an “outperform” rating in a report on Friday. Morgan Stanley reduced their target price on shares of Advanced Drainage Systems from $142.00 to $120.00 and set an “overweight” rating on the stock in a report on Tuesday, June 28th. Loop Capital reduced 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 report on Friday, July 8th. Barclays increased their price target on shares of Advanced Drainage Systems from $135.00 to $164.00 and gave the company an “overweight” rating in a research report on Friday. Finally, TheStreet cut shares of Advanced Drainage Systems from a “b” rating to a “c+” rating in a research report on Thursday, May 19th. Two investment analysts have rated the stock with a hold rating and four have assigned a buy rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $144.50.

Insider Transactions at Advanced Drainage Systems

In other news, Director Anil Seetharam sold 200,000 shares of Advanced Drainage Systems stock in a transaction that occurred on Tuesday, June 7th. The shares were sold at an average price of $112.45, for a total value of $22,490,000.00. Following the completion of the sale, the director now directly owns 6,167,265 shares in the company, valued at $693,508,949.25. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. In related news, CAO Kevin C. Talley sold 26,500 shares of the firm’s stock in a transaction that occurred on Tuesday, June 14th. The shares were sold at an average price of $90.54, for a total value of $2,399,310.00. Following the transaction, the chief accounting officer now owns 62,025 shares of the company’s stock, valued at $5,615,743.50. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, Director Anil Seetharam sold 200,000 shares of the firm’s stock in a transaction that occurred on Tuesday, June 7th. The stock was sold at an average price of $112.45, for a total transaction of $22,490,000.00. Following the completion of the transaction, the director now directly owns 6,167,265 shares in the company, valued at approximately $693,508,949.25. The disclosure for this sale can be found here. Insiders sold 355,426 shares of company stock worth $38,979,477 over the last three months. 9.33% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Advanced Drainage Systems

A number of institutional investors and hedge funds have recently made changes to their positions in WMS. Lazard Asset Management LLC boosted its holdings in shares of Advanced Drainage Systems by 98.2% in the first quarter. Lazard Asset Management LLC now owns 1,132 shares of the construction company’s stock worth $134,000 after buying an additional 561 shares during the last quarter. Verition Fund Management LLC purchased a new position in Advanced Drainage Systems during the first quarter valued at approximately $254,000. Prudential Financial Inc. lifted its holdings in Advanced Drainage Systems by 9.9% during the first quarter. Prudential Financial Inc. now owns 2,156 shares of the construction company’s stock valued at $256,000 after purchasing an additional 194 shares in the last quarter. Cresset Asset Management LLC purchased a new position in Advanced Drainage Systems during the first quarter valued at approximately $277,000. Finally, Proficio Capital Partners LLC purchased a new position in shares of Advanced Drainage Systems in the first quarter worth $279,000. Hedge funds and other institutional investors own 98.10% of the company’s stock.

Advanced Drainage Systems Company Profile

(Get Rating)

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.

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Earnings History for Advanced Drainage Systems (NYSE:WMS)

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