Advanced Drainage Systems Stock Buy Hold or Sell Recommendation
| WMS Stock | USD 156.81 0.10 0.06% |
Considering the 90-day investment horizon and your above-average risk tolerance, our recommendation regarding Advanced Drainage Systems is 'Strong Hold'. Macroaxis provides Advanced Drainage buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding WMS positions. The advice algorithm takes into account all of Advanced Drainage's available fundamental, technical, and predictive indicators you will find on this site. Key drivers impacting Advanced Drainage's buy or sell advice are summarized below:
Real Value 165.64 | Target Price 151 | Hype Value 158.47 | Market Value 156.81 | Naive Value 145.09 |
A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell Advanced Drainage Systems given historical horizon and risk tolerance towards Advanced Drainage. When Macroaxis issues a 'buy' or 'sell' recommendation for Advanced Drainage Systems, the advice is generated through an automated system that utilizes algorithms and statistical models.
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Execute Advanced Drainage Buy or Sell Advice
The Advanced recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Advanced Drainage Systems. Macroaxis does not own or have any residual interests in Advanced Drainage Systems or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Advanced Drainage's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Strong Hold
Market Performance | OK | Details | |
Volatility | Very steady | Details | |
Hype Condition | Under hyped | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Very Small | Details | |
Economic Sensitivity | Actively responds to the market | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Strong Buy | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Advanced Drainage Trading Alerts and Improvement Suggestions
| Advanced Drainage is unlikely to experience financial distress in the next 2 years | |
| Over 87.0% of the company outstanding shares are owned by institutional investors | |
| On 15th of March 2024 Advanced Drainage paid $ 0.14 per share dividend to its current shareholders | |
| Latest headline from news.google.com: Cerity Partners LLC Boosts Holdings in Advanced Drainage Systems, Inc. - MarketBeat |
Advanced Drainage Returns Distribution Density
The distribution of Advanced Drainage's historical returns is an attempt to chart the uncertainty of Advanced Drainage's future price movements. The chart of the probability distribution of Advanced Drainage daily returns describes the distribution of returns around its average expected value. We use Advanced Drainage Systems price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Advanced Drainage returns is essential to provide solid investment advice for Advanced Drainage.
| Mean Return | 0.31 | Value At Risk | -2.49 | Potential Upside | 2.95 | Standard Deviation | 2.38 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Advanced Drainage historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
Advanced Stock Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Advanced Drainage is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Advanced Drainage Systems backward and forwards among themselves. Advanced Drainage's institutional investor refers to the entity that pools money to purchase Advanced Drainage's securities or originates loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Ubs Asset Mgmt Americas Inc | 2023-12-31 | 1.3 M | Morgan Stanley - Brokerage Accounts | 2023-12-31 | 1.2 M | Canada Pension Plan Investment Board | 2023-12-31 | 1.2 M | Geode Capital Management, Llc | 2023-12-31 | 1.1 M | Liontrust Investment Partners Llp | 2023-12-31 | 799.5 K | Stockbridge Partners Llc | 2023-12-31 | 762.9 K | Jpmorgan Chase & Co | 2023-12-31 | 715.2 K | Citadel Advisors Llc | 2023-09-30 | 712.8 K | Bank Of New York Mellon Corp | 2023-12-31 | 670.7 K | Blackrock Inc | 2023-12-31 | 7 M | Vanguard Group Inc | 2023-12-31 | 6.9 M |
Advanced Drainage Cash Flow Accounts
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Change To Inventory | 19.1M | (14.6M) | (189.7M) | 30.2M | 27.2M | 28.6M | |
| Change In Cash | 165.3M | 20.8M | (174.9M) | 197.0M | 226.6M | 237.9M | |
| Free Cash Flow | 238.5M | 373.5M | 125.8M | 540.9M | 622.0M | 653.1M | |
| Depreciation | 124.9M | 145.6M | 141.8M | 145.1M | 166.9M | 98.3M | |
| Other Non Cash Items | 42.9M | 7.9M | (10.9M) | 6.1M | 7.0M | 7.4M | |
| Dividends Paid | 92.1M | 32.2M | 38.5M | 39.6M | 45.6M | 36.7M | |
| Capital Expenditures | 67.7M | 78.8M | 149.1M | 166.9M | 191.9M | 201.5M | |
| Net Income | (191.8M) | 226.1M | 275.0M | 511.4M | 588.1M | 617.5M | |
| End Period Cash Flow | 174.2M | 195.0M | 20.1M | 217.1M | 249.7M | 262.2M | |
| Investments | (1.2B) | (77.9M) | (198.8M) | (214.5M) | (193.0M) | (202.7M) | |
| Net Borrowings | 315.4M | (100M) | 145.5M | 361.6M | 415.8M | 436.6M | |
| Change To Netincome | 26.9M | 62.8M | (7.7M) | (8.8M) | (7.9M) | (7.5M) | |
| Change Receivables | 5.2M | (34.8M) | (97.0M) | 37.5M | 33.7M | 35.4M |
Advanced Drainage Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Advanced Drainage or Building Products sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Advanced Drainage's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Advanced stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over NYSE Composite | 0.19 | |
β | Beta against NYSE Composite | 1.91 | |
σ | Overall volatility | 2.43 | |
Ir | Information ratio | 0.10 |
Advanced Drainage Volatility Alert
Advanced Drainage Systems has relatively low volatility with skewness of 3.19 and kurtosis of 18.16. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Advanced Drainage's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Advanced Drainage's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.Advanced Drainage Fundamentals Vs Peers
Comparing Advanced Drainage's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Advanced Drainage's direct or indirect competition across all of the common fundamentals between Advanced Drainage and the related equities. This way, we can detect undervalued stocks with similar characteristics as Advanced Drainage or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Advanced Drainage's fundamental indicators could also be used in its relative valuation, which is a method of valuing Advanced Drainage by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare Advanced Drainage to competition |
| Fundamentals | Advanced Drainage | Peer Average |
| Return On Equity | 0.49 | -0.31 |
| Return On Asset | 0.15 | -0.14 |
| Profit Margin | 0.18 % | (1.27) % |
| Operating Margin | 0.24 % | (5.51) % |
| Current Valuation | 12.96 B | 16.62 B |
| Shares Outstanding | 77.62 M | 571.82 M |
| Shares Owned By Insiders | 9.71 % | 10.09 % |
| Shares Owned By Institutions | 86.73 % | 39.21 % |
| Number Of Shares Shorted | 1.18 M | 4.71 M |
| Price To Earning | 40.06 X | 28.72 X |
| Price To Book | 10.60 X | 9.51 X |
| Price To Sales | 4.48 X | 11.42 X |
| Revenue | 3.07 B | 9.43 B |
| Gross Profit | 819.57 M | 27.38 B |
| EBITDA | 868.86 M | 3.9 B |
| Net Income | 511.35 M | 570.98 M |
| Cash And Equivalents | 463.7 M | 2.7 B |
| Cash Per Share | 5.55 X | 5.01 X |
| Total Debt | 1.32 B | 5.32 B |
| Debt To Equity | 1.30 % | 48.70 % |
| Current Ratio | 2.78 X | 2.16 X |
| Book Value Per Share | 15.36 X | 1.93 K |
| Cash Flow From Operations | 707.81 M | 971.22 M |
| Short Ratio | 2.30 X | 4.00 X |
| Earnings Per Share | 6.31 X | 3.12 X |
| Price To Earnings To Growth | 1.37 X | 4.89 X |
| Target Price | 177.0 | |
| Number Of Employees | 5.87 K | 18.84 K |
| Beta | 1.51 | -0.15 |
| Market Capitalization | 12.17 B | 19.03 B |
| Total Asset | 2.9 B | 29.47 B |
| Retained Earnings | 626.22 M | 9.33 B |
| Working Capital | 638.69 M | 1.48 B |
Note: Disposition of 10000 shares by Michael Huebert of Advanced Drainage at 163.5209 subject to Rule 16b-3 [view details]
Advanced Drainage Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Advanced . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
About Advanced Drainage Buy or Sell Advice
When is the right time to buy or sell Advanced Drainage Systems? Buying financial instruments such as Advanced Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.| 2021 | 2022 | 2023 | 2024 (projected) | Short and Long Term Debt Total | 944.6M | 1.3B | 1.5B | 1.6B | Total Assets | 2.6B | 2.9B | 3.3B | 1.7B |
Use Investing Ideas to Build Portfolios
In addition to having Advanced Drainage in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
Run Education Thematic Idea Now
Education
Companies involved in apprenticeship, education, tutoring, schooling, online universities, and other learning services. The Education theme has 47 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Education Theme or any other thematic opportunities.
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Check out Advanced Drainage Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. You can also try the Transaction History module to view history of all your transactions and understand their impact on performance.
Complementary Tools for Advanced Stock analysis
When running Advanced Drainage's price analysis, check to measure Advanced Drainage's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Advanced Drainage is operating at the current time. Most of Advanced Drainage's value examination focuses on studying past and present price action to predict the probability of Advanced Drainage's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Advanced Drainage's price. Additionally, you may evaluate how the addition of Advanced Drainage to your portfolios can decrease your overall portfolio volatility.
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| Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account |
Is Advanced Drainage's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Advanced Drainage. If investors know Advanced will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Advanced Drainage listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.354 | Dividend Share 0.54 | Earnings Share 6.31 | Revenue Per Share 35.932 | Quarterly Revenue Growth 0.011 |
The market value of Advanced Drainage Systems is measured differently than its book value, which is the value of Advanced that is recorded on the company's balance sheet. Investors also form their own opinion of Advanced Drainage's value that differs from its market value or its book value, called intrinsic value, which is Advanced Drainage's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Advanced Drainage's market value can be influenced by many factors that don't directly affect Advanced Drainage's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Advanced Drainage's value and its price as these two are different measures arrived at by different means. Investors typically determine if Advanced Drainage is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Advanced Drainage's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.