Beyond The Numbers: 7 Analysts Discuss Advanced Drainage Systems Stock

During the last three months, 7 analysts shared their evaluations of Advanced Drainage Systems WMS, revealing diverse outlooks from bullish to bearish.

The table below provides a concise overview of recent ratings by analysts, offering insights into the changing sentiments over the past 30 days and drawing comparisons with the preceding months for a holistic perspective.

Providing deeper insights, analysts have established 12-month price targets, indicating an average target of $165.29, along with a high estimate of $184.00 and a low estimate of $135.00. Highlighting a 11.61% decrease, the current average has fallen from the previous average price target of $187.00.

Diving into Analyst Ratings: An In-Depth Exploration

A comprehensive examination of how financial experts perceive Advanced Drainage Systems is derived from recent analyst actions. The following is a detailed summary of key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Advanced Drainage Systems. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Analysts unravel qualitative evaluations for stocks, ranging from 'Outperform' to 'Underperform'. These ratings offer insights into expectations for the relative performance of Advanced Drainage Systems compared to the broader market.
• Price Targets: Understanding forecasts, analysts offer estimates for Advanced Drainage Systems's future value. Examining the current and prior targets provides insight into analysts' changing expectations.

Navigating through these analyst evaluations alongside other financial indicators can contribute to a holistic understanding of Advanced Drainage Systems's market standing. Stay informed and make data-driven decisions with our Ratings Table.

Stay up to date on Advanced Drainage Systems analyst ratings.

Delving into Advanced Drainage Systems's Background

Advanced Drainage Systems Inc is engaged in designing, manufacturing, and marketing thermoplastic corrugated pipe and related water management products in North and South America, and Europe. The company's operating segment includes Pipe; Infiltrator; International and Allied Products and Other. It generates maximum revenue from the Pipe segment. The company serves Agriculture; Aviation and Military; Mining; Residential; Transportation; Healthcare and Education and others.

Financial Milestones: Advanced Drainage Systems's Journey

Market Capitalization Analysis: The company's market capitalization is below the industry average, suggesting that it is relatively smaller compared to peers. This could be due to various factors, including perceived growth potential or operational scale.

Revenue Growth: Advanced Drainage Systems's revenue growth over a period of 3 months has been noteworthy. As of 30 September, 2024, the company achieved a revenue growth rate of approximately 0.31%. This indicates a substantial increase in the company's top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Industrials sector.

Net Margin: Advanced Drainage Systems's net margin excels beyond industry benchmarks, reaching 16.66%. This signifies efficient cost management and strong financial health.

Return on Equity (ROE): Advanced Drainage Systems's financial strength is reflected in its exceptional ROE, which exceeds industry averages. With a remarkable ROE of 9.18%, the company showcases efficient use of equity capital and strong financial health.

Return on Assets (ROA): Advanced Drainage Systems's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 3.73% ROA, the company effectively utilizes its assets for optimal returns.

Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.94.

The Basics of Analyst Ratings

Experts in banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their comprehensive research involves attending company conference calls and meetings, analyzing financial statements, and engaging with insiders to generate what are known as analyst ratings for stocks. Typically, analysts assess and rate each stock once per quarter.

Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.

If you want to keep track of which analysts are outperforming others, you can view updated analyst ratings along withanalyst success scores in Benzinga Pro.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.