Advanced Drainage Systems (NYSE:WMS) Shares Gap Up After Dividend Announcement

Advanced Drainage Systems, Inc. (NYSE:WMS) gapped up prior to trading on Thursday following a dividend announcement from the company. The stock had previously closed at $116.01, but opened at $122.12. Advanced Drainage Systems shares last traded at $113.84, with a volume of 49,014 shares.

The newly announced dividend which will be paid on Friday, March 14th. Stockholders of record on Friday, February 28th will be issued a $0.16 dividend. This represents a $0.64 dividend on an annualized basis and a dividend yield of 0.55%. Advanced Drainage Systems’s dividend payout ratio (DPR) is 10.19%.

Wall Street Analysts Forecast Growth

WMS has been the topic of a number of research reports. Loop Capital dropped their target price on shares of Advanced Drainage Systems from $180.00 to $170.00 and set a “buy” rating on the stock in a report on Monday, November 11th. Stephens reiterated an “equal weight” rating and set a $135.00 price objective (down previously from $170.00) on shares of Advanced Drainage Systems in a research note on Wednesday, November 13th. Robert W. Baird decreased their target price on Advanced Drainage Systems from $174.00 to $161.00 and set an “outperform” rating for the company in a research note on Monday, November 11th. Barclays dropped their price target on Advanced Drainage Systems from $172.00 to $160.00 and set an “overweight” rating on the stock in a research report on Thursday, January 16th. Finally, KeyCorp reduced their price objective on Advanced Drainage Systems from $195.00 to $180.00 and set an “overweight” rating for the company in a research report on Monday, November 11th. Two analysts have rated the stock with a hold rating and seven have given a buy rating to the company. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $166.88.

Advanced Drainage Systems Stock Performance

The company has a market cap of $8.94 billion, a price-to-earnings ratio of 18.43, a P/E/G ratio of 1.16 and a beta of 1.52. The company has a debt-to-equity ratio of 0.97, a current ratio of 3.19 and a quick ratio of 2.15. The firm has a fifty day simple moving average of $121.95 and a 200 day simple moving average of $140.87.

Advanced Drainage Systems (NYSE:WMS) last announced its earnings results on Thursday, February 6th. The construction company reported $1.09 earnings per share for the quarter, missing the consensus estimate of $1.34 by ($0.25). Advanced Drainage Systems had a net margin of 16.89% and a return on equity of 40.31%. On average, sell-side analysts expect that Advanced Drainage Systems, Inc. will post 6.12 earnings per share for the current fiscal year.

Institutional Investors Weigh In On Advanced Drainage Systems

Several institutional investors and hedge funds have recently bought and sold shares of WMS. Huntington National Bank grew its stake in shares of Advanced Drainage Systems by 123.1% in the 3rd quarter. Huntington National Bank now owns 386 shares of the construction company’s stock valued at $61,000 after purchasing an additional 213 shares during the period. Millburn Ridgefield Corp boosted its stake in Advanced Drainage Systems by 642.4% in the 3rd quarter. Millburn Ridgefield Corp now owns 490 shares of the construction company’s stock valued at $77,000 after buying an additional 424 shares in the last quarter. CWM LLC grew its position in Advanced Drainage Systems by 18.1% in the third quarter. CWM LLC now owns 555 shares of the construction company’s stock valued at $87,000 after acquiring an additional 85 shares during the period. UMB Bank n.a. raised its stake in Advanced Drainage Systems by 12.7% during the fourth quarter. UMB Bank n.a. now owns 781 shares of the construction company’s stock worth $90,000 after acquiring an additional 88 shares in the last quarter. Finally, Spire Wealth Management bought a new position in shares of Advanced Drainage Systems during the fourth quarter valued at $94,000. Institutional investors own 89.83% of the company’s stock.

Advanced Drainage Systems Company Profile

Advanced Drainage Systems, Inc designs, manufactures, and markets thermoplastic corrugated pipes and related water management products in North America and internationally. The company operates through Pipe, International, Infiltrator, and Allied Products & Other segments. It offers single, double, and triple wall corrugated polypropylene and polyethylene pipes; plastic leachfield chambers and systems; EZflow synthetic aggregate bundles; wastewater purification through mechanical aeration wastewater for residential and commercial systems; septic tanks and accessories; combined treatment and dispersal systems, including advanced enviro-septic and advanced treatment leachfield systems; and allied products, including storm retention/detention and septic chambers, polyvinyl chloride drainage structures, fittings, and water quality filters and separators.