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Advanced Drainage SystemsMEX:WMS 60 Graham Number is MXN157.72 as of Mar. 2026, which is 100% below its 10-year median of 6.27. GuruFocus rates MEX:WMS with a GF Score™ of 60/100 and a GF Value™ of MXN2,063.63 (Fairly Valued). The stock has 3 warning signs investors should review. Among 1,216 Construction companies, Advanced Drainage Systems ranks worse than 99.18% on this metric.
Graham Number is a figure that measures a stock's fundamental value by taking into account the company's earnings per share and book value per share. The Graham number is the upper bound of the price range that a defensive investor should pay for the stock. According to the theory, any stock price below the Graham number is considered undervalued, and thus worth investing in.
The historical rank and industry rank for Advanced Drainage Systems's Graham Number or its related term are showing as below:
MEX:WMS'
s Price-to-Graham-Number Range Over the Past 10 Years
Min: 3.92 Med: 6.27 Max: 17.47
Current: 17.47
During the past 13 years, the highest Price to Graham Number ratio of Advanced Drainage Systems was 17.47. The lowest was 3.92. And the median was 6.27.
MEX:WMS's Price-to-Graham-Number is ranked worse than 99.18% of 1216
companies
in the Construction industry
Industry Median: 1.02
vs MEX:WMS: 17.47
Graham Number is a combination of asset valuation and earnings power valuation. It is a very conservative way of valuing a stock.
Advanced Drainage Systems (MEX:WMS) Graham Number Explanation
Ben Graham actually did not publish a formula like this. But he wrote in The Intelligent Investor (1948 version) regarding to the criteria for purchases:
Current price should not be more than 15 times average earnings of the past three years.
Current price should not be more than 1.5 times the book value last reported. However, a multiplier of earnings below 15 could justify a correspondingly higher multiplier of assets. As a rule of thumb we suggest that the product of the multiplier times the ratio of price to book value should not exceed 22.5. (This figure corresponds to 15 times earnings and 1.5 times book value. It would admit an issue selling at only 9 times earnings and 2.5 times asset value, etc.)
Unlike valuation methods such as DCF or Discounted Earnings, the Graham number does not take growth into the valuation. Unlike the valuation methods based on book value alone, it takes into account the earnings power. Therefore, the Graham Number is a combination of asset valuation and earnings power valuation.
In general, the Graham number is a very conservative way of valuing a stock. It cannot be applied to companies with negative book values.
Advanced Drainage Systems's Price to Graham number Ratio for today is calculated as
Price to Graham number
=
Share Price (Today)
/
Graham number (Q: Mar. 2026 )
=
2100.00
/
157.72
=
13.31
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Be Aware
Please keep these in mind:
1. Graham Number does not take growth into account. Therefore it underestimates the values of the companies that have good earnings growth. We feel that if the earnings per share grows more than 10% a year, Graham Number underestimates the value.
2. Graham Number punishes the companies that have temporarily low earnings. Therefore, an average of earnings makes more sense in the calculation of Graham Number.
3. Graham Numbers underestimates companies that are light with book.
Advanced Drainage Systems Graham Number Related Terms
Advanced Drainage Systems Graham Number Historical Data
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
MEX:WMS vs SPXC, OC, AAON: Graham Number Comparison
For the Building Products & Equipment subindustry, Advanced Drainage Systems's Price-to-Graham-Number, along with its competitors' market caps and Price-to-Graham-Number data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Advanced Drainage Systems Price-to-Graham-Number vs Construction Industry
For the Construction industry and Industrials sector, Advanced Drainage Systems's Price-to-Graham-Number distribution charts can be found below:
* The bar in red indicates where Advanced Drainage Systems's Price-to-Graham-Number falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Advanced Drainage Systems (MEX:WMS) has a Graham Number of MXN157.72 as of Mar. 2026. The Graham Number values a company based on its per-share earnings and book value. View historical data on Advanced Drainage Systems and its competitors. This is 2415% above median its historical median of 6.27. Over the past decade, Advanced Drainage Systems' Graham Number has ranged from 3.92 to 17.47. According to the industry distribution chart, Advanced Drainage Systems ranks #1206 out of 1216 companies in the Construction industry, placing it in the top 99.2%.
Is Advanced Drainage Systems' Graham Number too high?
Advanced Drainage Systems' current Graham Number of MXN157.72 is 2415% above median its 10-year median of 6.27. Over the past 10 years, this metric has ranged from a low of 3.92 to a high of 17.47. Based on the distribution chart, Advanced Drainage Systems ranks #1206 out of 1216 companies in the Construction industry, which is in the bottom quartile relative to peers. Overall, Advanced Drainage Systems has a GF Score™ of 60/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Advanced Drainage Systems' Graham Number compare to SPXC and OC?
According to the Construction industry distribution chart, Advanced Drainage Systems ranks #1206 out of 1216 companies for Graham Number. This places Advanced Drainage Systems in the lower half of its industry. The industry median Graham Number is 1.02. Historically, Advanced Drainage Systems' own Graham Number has ranged from 3.92 to 17.47 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Graham Number for a Construction company?
The median Graham Number among Construction companies is 1.02, based on 1,216 companies in the industry. Companies in the top quartile (top 25%) have a Graham Number significantly above this median, while those in the bottom quartile fall well below. However, Graham Number should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Graham Number mean?
A high Graham Number can signal that a stock is expensive relative to its fundamentals. The Graham Number values a company based on its per-share earnings and book value. View historical data on Advanced Drainage Systems and its competitors. For the Construction industry, the median Graham Number is 1.02 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Advanced Drainage Systems's current Graham Number is MXN157.72, which is 2415% above median its own 10-year median of 6.27. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Advanced Drainage Systems stock overvalued right now?
Based on GuruFocus' analysis, Advanced Drainage Systems (MEX:WMS) is currently considered Fairly Valued. The stock's GF Value™ is MXN2,063.63, compared to a current price of MXN2,100.00 — trading 1.8% above its estimated fair value. The current Graham Number is MXN157.72, which is 2415% above median its 10-year median of 6.27. Advanced Drainage Systems' overall GF Score™ is 60/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Graham Number calculated?
Graham Number is calculated from a company's financial statements. For Advanced Drainage Systems (MEX:WMS), the current Graham Number is MXN157.72 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Advanced Drainage Systems (MEX:WMS) Overvalued in 2026?
Based on GuruFocus' analysis, Advanced Drainage Systems stock appears to be overvalued.
The current stock price of MXN2,100.00 is trading 1.8% above its estimated GF Value™ of MXN2,063.63.
GuruFocus considers Advanced Drainage Systems to be Fairly Valued.
Key valuation signals for MEX:WMS:
Graham Number: MXN157.72 (2415% above median its 10-year median of 6.27)
GF Value™: MXN2,063.63 vs. price of MXN2,100.00 (1.8% above fair value)
No single metric tells the full story. See the MEX:WMS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Advanced Drainage Systems Inc designs, manufactures and markets water management solutions in the stormwater and onsite wastewater industries, providing superior drainage solutions for use in the construction and agriculture markets. The company's products are used across a broad range of end markets and applications, including non-residential, residential, infrastructure and agriculture applications. It has two reportable segments: Stormwater and Wastewater. It derives the majority of revenue from the Stormwater segment, which manufactures and markets thermoplastic corrugated pipe and complementary products, including single wall pipe, N-12 HDPE pipe, polypropylene pipe, StormTech, Nyloplast, Inserta Tee, water quality filters and structures, and NDS channel drains, and access boxes.
60GF Score
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