Advanced Drainage Systems (NYSE:WMS) Sets New 52-Week Low - Should You Sell?

Advanced Drainage Systems, Inc. (NYSE:WMS - Get Free Report)'s stock price reached a new 52-week low on Friday . The stock traded as low as $112.01 and last traded at $113.38, with a volume of 50463 shares changing hands. The stock had previously closed at $115.02.

Analysts Set New Price Targets

A number of brokerages have issued reports on WMS. UBS Group raised shares of Advanced Drainage Systems from a "neutral" rating to a "buy" rating and set a $155.00 price objective on the stock in a research report on Wednesday. Robert W. Baird reduced their price target on shares of Advanced Drainage Systems from $174.00 to $161.00 and set an "outperform" rating on the stock in a research report on Monday, November 11th. Oppenheimer lowered their price objective on shares of Advanced Drainage Systems from $192.00 to $184.00 and set an "outperform" rating for the company in a report on Monday, November 11th. KeyCorp reduced their target price on Advanced Drainage Systems from $195.00 to $180.00 and set an "overweight" rating on the stock in a report on Monday, November 11th. Finally, Stephens reaffirmed an "equal weight" rating and issued a $135.00 price target (down from $170.00) on shares of Advanced Drainage Systems in a research note on Wednesday, November 13th. Two equities research analysts have rated the stock with a hold rating and seven have assigned a buy rating to the company. According to data from MarketBeat.com, Advanced Drainage Systems presently has a consensus rating of "Moderate Buy" and a consensus target price of $168.38.

Advanced Drainage Systems Stock Down 1.9 %

The firm has a market cap of $8.75 billion, a PE ratio of 17.97, a PEG ratio of 1.22 and a beta of 1.51. The stock has a 50 day simple moving average of $128.12 and a 200-day simple moving average of $146.19. The company has a debt-to-equity ratio of 0.97, a current ratio of 3.19 and a quick ratio of 2.15.

Advanced Drainage Systems (NYSE:WMS - Get Free Report) last issued its earnings results on Friday, November 8th. The construction company reported $1.70 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.93 by ($0.23). Advanced Drainage Systems had a return on equity of 40.31% and a net margin of 16.89%. The firm had revenue of $782.60 million during the quarter, compared to analysts' expectations of $819.41 million. During the same period last year, the firm posted $1.71 earnings per share. The firm's quarterly revenue was up .3% on a year-over-year basis. Sell-side analysts predict that Advanced Drainage Systems, Inc. will post 6.12 EPS for the current fiscal year.

Advanced Drainage Systems Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Monday, December 16th. Shareholders of record on Monday, December 2nd were issued a $0.16 dividend. This represents a $0.64 dividend on an annualized basis and a dividend yield of 0.57%. The ex-dividend date was Monday, December 2nd. Advanced Drainage Systems's payout ratio is 10.19%.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently modified their holdings of WMS. National Bank of Canada FI purchased a new position in Advanced Drainage Systems in the 2nd quarter worth about $45,000. Huntington National Bank grew its stake in shares of Advanced Drainage Systems by 123.1% in the third quarter. Huntington National Bank now owns 386 shares of the construction company's stock worth $61,000 after acquiring an additional 213 shares during the period. Millburn Ridgefield Corp raised its holdings in shares of Advanced Drainage Systems by 642.4% during the third quarter. Millburn Ridgefield Corp now owns 490 shares of the construction company's stock valued at $77,000 after purchasing an additional 424 shares during the last quarter. CWM LLC lifted its position in Advanced Drainage Systems by 18.1% during the third quarter. CWM LLC now owns 555 shares of the construction company's stock valued at $87,000 after purchasing an additional 85 shares during the period. Finally, UMB Bank n.a. lifted its position in Advanced Drainage Systems by 20.5% during the third quarter. UMB Bank n.a. now owns 693 shares of the construction company's stock valued at $109,000 after purchasing an additional 118 shares during the period. 89.83% of the stock is owned by institutional investors.

About Advanced Drainage Systems

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.