(WMS) Advanced Drainage Systems - Ratings and Ratios

Exchange: NYSE • Country: United States • Currency: USD • Type: Common Stock • ISIN: US00790R1041

Pipe, Chambers, Septic, Fittings, Fabric

Building Products
Market Cap in USD: 11,790m

IPO / Inception: 2014-07-25
12m vs SPY: 13.3%

EPS (Earnings per Share)

EPS CAGR: 24.93%
EPS Trend: 37.0%

Last SUE: 1.94
Qual. Beats: 1

Revenue

Rev. CAGR: 4.72%
Rev. Trend: 3.3%

Last SUE: 1.50
Qual. Beats: 2

Dividends

Dividend Yield	0.55%
Yield on Cost 5y	0.79%
Yield CAGR 5y	13.62%
Payout Consistency	93.8%
Payout Ratio	11.6%

Risk via 5d forecast
Volatility	35.9%
Value at Risk 5%th	52.7%
Relative Tail Risk	-10.68%

Reward TTM
Sharpe Ratio	0.93
Alpha	16.39
CAGR/Max DD	0.46

Character TTM
Hurst Exponent	0.417
Beta	1.089
Beta Downside	0.929

Drawdowns 3y
Max DD	45.75%
Mean DD	16.76%
Median DD	15.58%

Description: WMS Advanced Drainage Systems January 06, 2026

Advanced Drainage Systems, Inc. (NYSE: WMS) designs, manufactures, and markets thermoplastic corrugated pipe and related water-management solutions across the United States, Canada, and other international markets. The firm operates through four segments-Pipe, Infiltrator, International, and Allied Products & Other-offering single-, double-, and triple-wall polypropylene and polyethylene corrugations, leach-field chambers, EZflow synthetic-aggregate bundles, mechanical-aeration wastewater systems, septic tanks, and a suite of PVC, rubber, and stainless-steel accessories for residential, non-residential, agricultural, and infrastructure applications.

In the most recent fiscal year, WMS reported revenue of roughly $2.0 billion, a 12 % YoY increase driven by higher demand for storm-water infrastructure tied to the U.S. Infrastructure Investment and Jobs Act. The company’s gross margin expanded to 38 % as it leveraged scale in its polypropylene pipe line, while its operating cash flow exceeded $300 million, underscoring strong free-cash-generation capacity. A key sector catalyst remains the growing emphasis on resilient water-management systems amid climate-related precipitation variability, which is expected to sustain multi-year growth in both new-construction and retrofit markets.

For a deeper, data-driven view of WMS’s valuation dynamics and scenario analysis, you might explore the company’s profile on ValueRay.

Piotroski VR‑10 (Strict, 0-10) 5.5

Net Income (458.3m TTM) > 0 and > 6% of Revenue (6% = 179.2m TTM)

FCFTA 0.13 (>2.0%) and ΔFCFTA 1.77pp (YES ≥ +1.0pp, WARN ≥ +0.5pp)

NWC/Revenue 39.91% (prev 35.16%; Δ 4.75pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp)

CFO/TA 0.18 (>3.0%) and CFO 741.0m > Net Income 458.3m (YES >=105%, WARN >=100%)

Net Debt (618.1m) to EBITDA (877.7m) ratio: 0.70 <= 3.0 (WARN <= 3.5)

Current Ratio 3.48 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active)

Outstanding Shares last Quarter (78.3m) change vs 12m ago 0.26% (target <= -2.0% for YES)

Gross Margin 38.12% (prev 39.06%; Δ -0.94pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0)

Asset Turnover 78.44% (prev 82.42%; Δ -3.98pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0)

Interest Coverage Ratio 7.56 (EBITDA TTM 877.7m / Interest Expense TTM 92.0m) >= 6 (WARN >= 3)

Altman Z'' 5.45

(A) 0.29 = (Total Current Assets 1.67b - Total Current Liabilities 480.9m) / Total Assets 4.08b

(B) 0.43 = Retained Earnings (Balance) 1.76b / Total Assets 4.08b

(D) 0.85 = Book Value of Equity 1.83b / Total Liabilities 2.15b

Total Rating: 5.45 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D)

ValueRay F-Score (Strict, 0-100) 76.45

1. Piotroski 5.50pt

2. FCF Yield 4.27%

3. FCF Margin 17.72%

4. Debt/Equity 0.75

5. Debt/Ebitda 0.70

6. ROIC - WACC (= 8.56)%

7. RoE 26.83%

8. Rev. Trend 3.29%

9. EPS Trend 36.99%

What is the price of WMS shares?

As of January 13, 2026, the stock is trading at USD 156.78 with a total of 467,741 shares traded.
Over the past week, the price has changed by +3.29%, over one month by +4.75%, over three months by +15.96% and over the past year by +37.10%.

Is WMS a buy, sell or hold?

Advanced Drainage Systems has received a consensus analysts rating of 4.67. Therefore, it is recommended to buy WMS.

Strong Buy: 7
Buy: 1
Hold: 1
Sell: 0
Strong Sell: 0

What are the forecasts/targets for the WMS price?

Issuer	Target	Up/Down from current
Wallstreet Target Price	173	10.3%
Analysts Target Price	173	10.3%
ValueRay Target Price	180	14.8%

WMS Fundamental Data Overview January 10, 2026

P/E Trailing = 25.8279
P/E Forward = 22.4719
P/S = 3.9476
P/B = 6.1763
P/EG = 1.3212
Beta = 1.336
Revenue TTM = 2.99b USD
EBIT TTM = 695.4m USD
EBITDA TTM = 877.7m USD
Long Term Debt = 1.25b USD (from longTermDebt, last quarter)
Short Term Debt = 49.5m USD (from shortTermDebt, last quarter)
Debt = 1.43b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 618.1m USD (from netDebt column, last quarter)
Enterprise Value = 12.41b USD (11.79b + Debt 1.43b - CCE 812.9m)
Interest Coverage Ratio = 7.56 (Ebit TTM 695.4m / Interest Expense TTM 92.0m)
EV/FCF = 23.45x (Enterprise Value 12.41b / FCF TTM 529.2m)
FCF Yield = 4.27% (FCF TTM 529.2m / Enterprise Value 12.41b)
FCF Margin = 17.72% (FCF TTM 529.2m / Revenue TTM 2.99b)
Net Margin = 15.35% (Net Income TTM 458.3m / Revenue TTM 2.99b)
Gross Margin = 38.12% ((Revenue TTM 2.99b - Cost of Revenue TTM 1.85b) / Revenue TTM)
Gross Margin QoQ = 40.00% (prev 39.82%)
Tobins Q-Ratio = 3.04 (Enterprise Value 12.41b / Total Assets 4.08b)
Interest Expense / Debt = 1.62% (Interest Expense 23.1m / Debt 1.43b)
Taxrate = 25.08% (52.4m / 208.9m)
NOPAT = 521.0m (EBIT 695.4m * (1 - 25.08%))
Current Ratio = 3.48 (Total Current Assets 1.67b / Total Current Liabilities 480.9m)
Debt / Equity = 0.75 (Debt 1.43b / totalStockholderEquity, last quarter 1.91b)
Debt / EBITDA = 0.70 (Net Debt 618.1m / EBITDA 877.7m)
Debt / FCF = 1.17 (Net Debt 618.1m / FCF TTM 529.2m)
Total Stockholder Equity = 1.71b (last 4 quarters mean from totalStockholderEquity)
RoA = 12.04% (Net Income 458.3m / Total Assets 4.08b)
RoE = 26.83% (Net Income TTM 458.3m / Total Stockholder Equity 1.71b)
RoCE = 23.52% (EBIT 695.4m / Capital Employed (Equity 1.71b + L.T.Debt 1.25b))
RoIC = 17.55% (NOPAT 521.0m / Invested Capital 2.97b)
WACC = 8.99% (E(11.79b)/V(13.22b) * Re(9.93%) + D(1.43b)/V(13.22b) * Rd(1.62%) * (1-Tc(0.25)))
Discount Rate = 9.93% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: -33.33 | Cagr: -0.18%
[DCF Debug] Terminal Value 74.81% ; FCFF base≈475.9m ; Y1≈483.2m ; Y5≈527.5m
Fair Price DCF = 91.75 (EV 7.75b - Net Debt 618.1m = Equity 7.13b / Shares 77.8m; r=8.99% [WACC]; 5y FCF grow 1.26% → 2.90% )
EPS Correlation: 36.99 | EPS CAGR: 24.93% | SUE: 1.94 | # QB: 1
Revenue Correlation: 3.29 | Revenue CAGR: 4.72% | SUE: 1.50 | # QB: 2
EPS current Year (2026-03-31): EPS=5.98 | Chg30d=+0.197 | Revisions Net=+6 | Growth EPS=+1.6% | Growth Revenue=+2.9%
EPS next Year (2027-03-31): EPS=6.46 | Chg30d=-0.016 | Revisions Net=+4 | Growth EPS=+8.0% | Growth Revenue=+7.4%

Additional Sources for WMS Stock

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