ADVANCED DRAINAGE SYSTEMS, INC.

WMS · Materials · $10.8B mkt cap · FY2026 filings · Shallow moat

Doesn't clear the bar

Shallow moat

The four filters

Pricing power31

Median gross margin 31.9% over 10y, variable.

Returns on capital75

Median ROIC 15.9%, above the 9% hurdle in 80% of years.

Balance-sheet safety77

Net debt/EBITDA 1.7x, no material interest expense disclosed.

Capital discipline60

Owner earnings +19.2%/yr, share count growing (dilution).

Margin of safety

Above valueOn sale

33% above value

Owner earnings (normalized): $450.2M
Est. intrinsic value / share: $111.53
Recent price: $148.40
Discount to value: 33% above value

Conservative model: 9% discount rate, 4% assumed growth (capped at 4%), maintenance capex ≈ min(capex, D&A).

Moat Score history

Score history begins 2026-07-17. Check back as the record builds.

Scores are logged append-only and never overwritten — this record can't be backfilled, which is exactly why it's worth keeping.

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Scored from primary SEC filings via the public methodology. Educational only — not a recommendation to buy or sell WMS. See the disclaimer.