Last Updated: 16 Sep 2024
Executive Summary
Advanced Drainage Systems Inc (WMS) is a leading manufacturer of thermoplastic corrugated pipe and related water management products. The company has a strong financial position with a market capitalization of $11.44 billion and an EBITDA of $860.4 million. The stock is currently trading at $147.58, below its 52-week high of $183.91. Analysts have a positive outlook on the stock, with a consensus target price of $180.11.
Company Overview
Advanced Drainage Systems Inc designs, manufactures, and markets thermoplastic corrugated pipe and related water management products. The company's products are used in a variety of applications, including underground construction, infrastructure, and agriculture. The company has a strong market position, with a leading share in the North American market.
Fundamental Analysis
Advanced Drainage Systems Inc has a strong financial position. The company has a healthy balance sheet with low debt levels and a strong cash flow. The company has been consistently profitable, with a net income of $258.6 million in the last twelve months. The company's earnings per share (EPS) is $6.33, and its dividend yield is 0.0043%.
Technical Analysis
The stock price of Advanced Drainage Systems Inc has been trending down in recent months. The stock is currently trading below its 50-day and 200-day moving averages. The relative strength index (RSI) is in oversold territory, which suggests that the stock is due for a rebound.
Short Term Outlook
In the short term, the stock price of Advanced Drainage Systems Inc is likely to remain volatile. The stock is currently trading below its support level of $150, and it could continue to decline in the near term. However, the RSI is in oversold territory, which suggests that the stock is due for a rebound.
Long Term Outlook
In the long term, the stock price of Advanced Drainage Systems Inc is likely to rise. The company has a strong financial position and a leading market share. The company is also benefiting from the increasing demand for water management products.
Analyst Recommendations
Analysts have a positive outlook on the stock of Advanced Drainage Systems Inc. The consensus target price is $180.11, which represents a potential upside of 22.1%. Four analysts have a strong buy rating on the stock, four have a buy rating, and one has a hold rating.
