Analysts on Wall Street project that Advanced Drainage Systems (WMS) will announce quarterly earnings of $1.11 per share in its forthcoming report, representing an increase of 1.8% year over year. Revenues are projected to reach $686.55 million, declining 0.6% from the same quarter last year.
The current level reflects an upward revision of 0.7% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period.
Before a company reveals its earnings, it is vital to take into account any changes in earnings projections. These revisions play a pivotal role in predicting the possible reactions of investors toward the stock. Multiple empirical studies have consistently shown a strong association between trends in earnings estimates and the short-term price movements of a stock.
While investors usually depend on consensus earnings and revenue estimates to assess the business performance for the quarter, delving into analysts' forecasts for certain key metrics often provides a more comprehensive understanding.
Given this perspective, it's time to examine the average forecasts of specific Advanced Drainage metrics that are routinely monitored and predicted by Wall Street analysts.
The collective assessment of analysts points to an estimated 'Adjusted Gross Profit- Pipe' of $96.85 million. Compared to the current estimate, the company reported $90.90 million in the same quarter of the previous year.
According to the collective judgment of analysts, 'Adjusted Gross Profit- International' should come in at $11.40 million. The estimate is in contrast to the year-ago figure of $12.07 million.
Analysts expect 'Adjusted Gross Profit- Allied Products & Other' to come in at $94.15 million. Compared to the present estimate, the company reported $92.94 million in the same quarter last year.
Analysts forecast 'Adjusted Gross Profit- Infiltrator' to reach $80.65 million. Compared to the current estimate, the company reported $78.29 million in the same quarter of the previous year.
View all Key Company Metrics for Advanced Drainage here>>>
Shares of Advanced Drainage have demonstrated returns of +4.6% over the past month compared to the Zacks S&P 500 composite's +0.9% change. With a Zacks Rank #3 (Hold), WMS is expected to mirror the overall market performance in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Advanced Drainage Systems, Inc. (WMS): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
