Stock Analiz

Advanced Drainage Systems, Inc. WMS

Containers/Packaging · IPO 2014 · data as of November 13, 2026

$125.58Market cap $9.3B
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Advanced Drainage Systems, Inc. (WMS) is a consumer discretionary company listed in the US with a market value of about $9.3B. In the twelve months to September 30, 2026 it had revenue of $3.3B and net income of $405M, a net margin of 12.4%.

Its overall Stock Analiz score is 3.2 out of 5 (average). The strongest part is track record (5/5); the weakest is future growth (0/5).

Key numbers: a P/E of 23.9, a price to free cash flow of 17.5, 5-year revenue growth of 9% a year, a 5-year average ROIC of 19%. A discounted cash flow model with moderate assumptions puts its intrinsic value about 23% below the current price.

Score: 3.2 / 5

Value3/5
Future growth0/5
Track record5/5
Financial health3/5
Shareholder returns5/5

Checks passed

  • P/E below 25
  • P/FCF below 20
  • PEG below 1.5
  • 5-year EPS growth above 10% a year
  • 5-year revenue growth above 8% a year
  • 5-year average ROIC above 12%
  • Profitable 5 years in a row
  • ROE above 15%

Checks not passed

  • P/E below the industry median
  • Price below intrinsic value (DCF, moderate assumptions)
  • Revenue growth above 10% last year
  • 3-year revenue growth above 10% a year
  • Profit margin improving
  • 3-year free cash flow growth above 10% a year
  • Strong R&D investment or growth above 20%
  • More cash than debt, or low debt to equity

Valuation

P/E (TTM)23.9
Forward P/E22.9
P/FCF17.5
P/S2.8
P/B5.3
EV/EBITDA12.3
PEG1.49
Dividend yield0.64%
FCF yield5.7%
Shareholder yield1.6%
Intrinsic value vs. price−23%

Growth and quality

Revenue growth (1 yr)5.0%
Revenue growth (5 yrs, per year)9.0%
EPS growth (5 yrs, per year)16.0%
FCF growth (3 yrs, per year)1.7%
Net margin (5-yr avg.)14.7%
ROIC (5-yr avg.)18.9%
Profitable years (of last 10)9
Years paying a dividend10

Financials, last 10 years

Fiscal yearTTM2026202520242023202220212020201920182017
Revenue$3.3B$3.1B$2.9B$2.9B$3.1B$2.8B$2.0B$1.7B$1.4B$1.3B$1.3B
Net income$405M$426M$450M$510M$507M$271M$224M-$193M$78M$62M$62M
Free cash flow$530M$569M$369M$534M$541M$126M$373M$239M$108M$95M$58M
EPS (diluted)$5.26$5.44$5.76$6.45$6.08$3.15$2.59$-3.21$1.22$0.99$0.99
Net margin12.4%14.0%15.5%17.7%16.5%9.8%11.3%-11.5%5.6%4.7%4.9%
ROIC—13.2%17.5%22.4%25.5%15.6%15.2%-4.6%15.2%12.4%8.3%

From the company’s 10-K and 10-Q filings with the SEC. TTM = trailing twelve months.

What analysts expect

The average 12-month price target from 12 analysts is $171.67, 37% above the current price; targets range from $145.00 to $190.00; the consensus rating is “Strong buy”; expected EPS is $6.22 for the fiscal year ending March 31, 2027.

Frequently asked questions

What is Advanced Drainage Systems’s P/E ratio?

About 23.9, based on the last twelve months of diluted earnings per share (forward P/E about 22.9).

Is Advanced Drainage Systems stock undervalued?

Our DCF model with moderate assumptions puts its intrinsic value about 23% below the current market value. A model is a range, not a promise; try your own assumptions in the DCF calculator.

Does Advanced Drainage Systems pay a dividend?

Yes. The dividend yield is about 0.64%, and it has paid dividends for 10 years in our data.

Is Advanced Drainage Systems a good stock to buy?

We do not give buy or sell advice. Advanced Drainage Systems scores 3.2 out of 5 on our five checks (value, growth, track record, financial health and shareholder returns); the checks above show why.

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Generated from SEC filings, analyst consensus estimates and market prices, rebuilt every day. Educational information, not investment advice.