Advanced Drainage Systems (WMS) Q1 Earnings Surpass Estimates

Company Performance - Advanced Drainage Systems reported quarterly earnings of $2.06 per share, exceeding the Zacks Consensus Estimate of $1.98 per share, and showing a slight increase from $2.04 per share a year ago [1] - The earnings surprise for this quarter was 4.04%, following a previous quarter where the company reported earnings of $1.23 per share against an expectation of $0.95, resulting in a surprise of 29.47% [2] - The company posted revenues of $815.34 million for the quarter, which was 1.53% below the Zacks Consensus Estimate, but an increase from $778.05 million in the same quarter last year [3] Market Performance - Advanced Drainage shares have increased approximately 5.9% since the beginning of the year, while the S&P 500 has gained 9% [4] - The current consensus EPS estimate for the upcoming quarter is $2.02, with expected revenues of $826 million, and for the current fiscal year, the estimate is $7.19 on $3.02 billion in revenues [8] Industry Outlook - The Building Products - Miscellaneous industry, to which Advanced Drainage belongs, is currently ranked in the top 40% of over 250 Zacks industries, indicating a favorable outlook [9] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact the stock's performance [6]