Advanced Drainage Systems (NYSE:WMS) Hits New 12-Month Low After Analyst Downgrade

Posted by Brian Himes on Oct 14th, 2026

Shares of Advanced Drainage Systems, Inc. (NYSE:WMS – Get Free Report) hit a new 52-week low during mid-day trading on Wednesday after Royal Bank Of Canada lowered their price target on the stock from $178.00 to $170.00. Royal Bank Of Canada currently has an outperform rating on the stock. Advanced Drainage Systems traded as low as $122.84 and last traded at $124.0150, with a volume of 325,412 shares changing hands. The stock had previously closed at $126.73.

WMS has been the subject of several other reports. Weiss Ratings restated a “hold (c)” rating on shares of Advanced Drainage Systems in a research report on Friday, July 17th. UBS Group raised their price target on Advanced Drainage Systems from $205.00 to $207.00 and gave the stock a “buy” rating in a research report on Friday, August 7th. Stephens restated an “overweight” rating and set a $175.00 target price on shares of Advanced Drainage Systems in a report on Monday, September 21st. Robert W. Baird set a $206.00 target price on shares of Advanced Drainage Systems in a report on Friday, August 7th. Finally, National Bank Financial set a $190.00 price target on shares of Advanced Drainage Systems in a research note on Monday, August 24th. Eight investment analysts have rated the stock with a Buy rating and two have given a Hold rating to the stock. According to data from MarketBeat.com, Advanced Drainage Systems has a consensus rating of “Moderate Buy” and an average target price of $187.40.

Read Our Latest Stock Report on WMS

Institutional Investors Weigh In On Advanced Drainage Systems

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Allworth Financial LP acquired a new position in shares of Advanced Drainage Systems in the second quarter valued at about $26,000. SJS Investment Consulting Inc. raised its stake in Advanced Drainage Systems by 78.1% in the 1st quarter. SJS Investment Consulting Inc. now owns 244 shares of the construction company’s stock worth $33,000 after purchasing an additional 107 shares in the last quarter. Avalon Trust Co acquired a new stake in Advanced Drainage Systems in the 2nd quarter worth about $42,000. Vega Investment Solutions bought a new stake in Advanced Drainage Systems in the 2nd quarter valued at about $50,000. Finally, Northwestern Mutual Wealth Management Co. bought a new stake in Advanced Drainage Systems in the 2nd quarter valued at about $55,000. 89.83% of the stock is currently owned by institutional investors and hedge funds.

Advanced Drainage Systems Stock Down 2.0%

The stock’s fifty day simple moving average is $134.67 and its 200-day simple moving average is $140.23. The stock has a market cap of $9.36 billion, a P/E ratio of 21.45, a P/E/G ratio of 1.45 and a beta of 1.29. The company has a debt-to-equity ratio of 0.95, a quick ratio of 1.18 and a current ratio of 2.12.

Advanced Drainage Systems (NYSE:WMS – Get Free Report) last announced its earnings results on Thursday, August 6th. The construction company reported $2.49 EPS for the quarter, topping the consensus estimate of $2.10 by $0.39. Advanced Drainage Systems had a net margin of 14.00% and a return on equity of 28.28%. The company had revenue of $1 billion for the quarter, compared to analysts’ expectations of $991.39 million. During the same period last year, the firm earned $1.95 earnings per share. The business’s revenue for the quarter was up 20.6% on a year-over-year basis. As a group, research analysts forecast that Advanced Drainage Systems, Inc. will post 6.57 earnings per share for the current fiscal year.

Advanced Drainage Systems Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Tuesday, September 15th. Investors of record on Tuesday, September 1st were paid a $0.20 dividend. This represents a $0.80 annualized dividend and a dividend yield of 0.6%. The ex-dividend date was Tuesday, September 1st. Advanced Drainage Systems’s payout ratio is 13.82%.

About Advanced Drainage Systems

(Get Free Report)

Advanced Drainage Systems, Inc (NYSE:WMS) designs and manufactures water management solutions for infrastructure, construction, agriculture and residential applications. The company is best known for its thermoplastic corrugated pipe and related products used to manage stormwater, drainage and wastewater.

Its product portfolio includes stormwater detention and treatment systems, drainage pipe, septic wastewater systems, fittings, chambers, pumps and other water management components. Advanced Drainage Systems also provides products for agricultural drainage, commercial and residential construction, and large-scale infrastructure projects.

Founded in 1966 and headquartered in Hilliard, Ohio, the company serves customers primarily across North America through manufacturing facilities, distribution centers and a network of independent distributors.