What is Advanced Drainage Systems 3-Year Sharpe Ratio?
The 3-Year Sharpe Ratio measures the additional return that an investor receives per unit of increase in risk over the past three years. As of today (2025-07-23), Advanced Drainage Systems's 3-Year Sharpe Ratio is 0.29.
Competitive Comparison of Advanced Drainage Systems's 3-Year Sharpe Ratio
For the Building Products & Equipment subindustry, Advanced Drainage Systems's 3-Year Sharpe Ratio, along with its competitors' market caps and 3-Year Sharpe Ratio 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's 3-Year Sharpe Ratio Distribution in the Construction Industry
For the Construction industry and Industrials sector, Advanced Drainage Systems's 3-Year Sharpe Ratio distribution charts can be found below:
* The bar in red indicates where Advanced Drainage Systems's 3-Year Sharpe Ratio falls into.
Advanced Drainage Systems 3-Year Sharpe Ratio Calculation
The 3-Year Sharpe Ratio measures the performance of an investment such as a stock or portfolio compared to a risk-free asset in the last three years. A stock / portfolio's 3-Year Sharpe Ratio can be calculated by dividing the difference between the three-year average monthly returns of the investment and the risk-free rate, by the standard deviation of the investment returns over the past three years.
Advanced Drainage Systems (NYSE:WMS) 3-Year Sharpe Ratio Explanation
The 3-Year Sharpe Ratio inidicates the risk-adjusted return of an investment over the past three years. It is calculated as the annualized result of the average three-year monthly excess returns divided by its standard deviation in the three-year period. The monthly excess return is the monthly investment return minus the monthly risk-free rate (typically the 10-year Treasury Constant Maturity Rate). If the risk-free rate for a specific region is not available, U.S. data is used by default.
The greater a portfolio's Sharpe Ratio, the better its risk-adjusted performance. A negative Sharpe Ratio means the risk-free rate is greater than the portfolio’s historical or projected return, or else the portfolio's return is expected to be negative.
Advanced Drainage Systems 3-Year Sharpe Ratio Related Terms
Thank you for viewing the detailed overview of Advanced Drainage Systems's 3-Year Sharpe Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.
Advanced Drainage Systems Inc is the manufacturer of water management solutions in the stormwater and onsite septic wastewater industries, providing superior drainage solutions for use in the construction and agriculture marketplaces. Its products are used across a broad range of end markets and applications, including residential, non-residential, infrastructure and agriculture applications. It operates business in three distinct reportable segments: Pipe; International, and Infiltrator. It generates a greater proportion of revenue from its Pipe segment, which consists of Pipe product sales in the United States. The Infiltrator is a provider of plastic leachfield chambers and systems, septic tanks and accessories, for use in residential applications.
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