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Advanced Drainage SystemsWMS +0.69%85 Shiller PE Ratio is 40.89 as of Sep. 04, 2026, which is 35% below its 10-year median of 62.86. GuruFocus rates WMS with a GF Score™ of 85/100 and a GF Value™ of $159.13 (Modestly Undervalued). The stock has 1 warning sign investors should review. Among 1,036 Construction companies, Advanced Drainage Systems ranks worse than 82.14% on this metric.
The historical rank and industry rank for Advanced Drainage Systems's Shiller PE Ratio or its related term are showing as below:
WMS'
s Shiller PE Ratio Range Over the Past 10 Years
Min: 39.96 Med: 62.86 Max: 144.94
Current: 40.89
During the past years, Advanced Drainage Systems's highest Shiller PE Ratio was 144.94. The lowest was 39.96. And the median was 62.86.
WMS's Shiller PE Ratio is ranked worse than 82.14% of 1036
companies
in the Construction industry
Industry Median: 16.95
vs WMS: 40.89
E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years.
Advanced Drainage Systems's adjusted earnings per share data for the three months ended in Jun. 2026 was $2.190. Add all the adjusted EPS for the past 10 years together and divide 10 will get our E10, which is $3.32 for the trailing ten years ended in Jun. 2026.
Shiller PE for Stocks: The True Measure of Stock Valuation
Advanced Drainage Systems (NYSE:WMS) Shiller PE Ratio Explanation
Compared with the regular PE Ratio, which works poorly for cyclical businesses, the Shiller PE Ratio smoothed out the fluctuations of profit margins during business cycles. Therefore it is more accurate in reflecting the valuation of the company.
If a company has consistent business performance, the Shiller PE Ratio should give similar results to regular PE Ratio.
Compared with the PS Ratio, the Shiller PE Ratio makes the comparison between different industries more meaningful.
Be Aware
Shiller PE Ratio assumes that over the long term, businesses and profitability revert to their means. If a company's business model does not work in the future compared with the past, Shiller PE Ratio and PS Ratio will give false valuations.
Advanced Drainage Systems Shiller PE Ratio Related Terms
Advanced Drainage Systems Shiller PE Ratio 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.
WMS vs SPXC, OC, MAIR: Shiller PE Ratio Comparison
For the Building Products & Equipment subindustry, Advanced Drainage Systems's Shiller PE Ratio, along with its competitors' market caps and Shiller PE 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 Shiller PE Ratio vs Construction Industry
For the Construction industry and Industrials sector, Advanced Drainage Systems's Shiller PE Ratio distribution charts can be found below:
* The bar in red indicates where Advanced Drainage Systems's Shiller PE Ratio falls into.
Advanced Drainage Systems Shiller PE Ratio Calculation
For Shiller PE Ratio, the earnings of the past 10 years are inflation-adjusted and averaged. The result is used for P/E calculation. Since it looks at the average over the last 10 years, the Shiller PE Ratio is also called PE10.
The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The same calculation is applied here to individual companies.
* 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.
Add all the adjusted EPS together and divide 10 will get our E10.
Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.
Advanced Drainage Systems (WMS) has a Shiller PE Ratio of 40.89 as of Sep. 04, 2026. Shiller price-earnings ratio is the ratio of share price to a company's inflation-adjusted earnings over a 10-year period. View historical data on Advanced Drainage Systems and its competitors. This is 35% below median its historical median of 62.86. Over the past decade, Advanced Drainage Systems' Shiller PE Ratio has ranged from 39.96 to 144.94. According to the industry distribution chart, Advanced Drainage Systems ranks #851 out of 1036 companies in the Construction industry, placing it in the top 82.1%.
Is Advanced Drainage Systems' Shiller PE Ratio too high?
Advanced Drainage Systems' current Shiller PE Ratio of 40.89 is 35% below median its 10-year median of 62.86. Over the past 10 years, this metric has ranged from a low of 39.96 to a high of 144.94. The Construction industry median Shiller PE Ratio is 16.95. Advanced Drainage Systems' value of 40.89 is 141.2% above this industry median. Based on the distribution chart, Advanced Drainage Systems ranks #851 out of 1036 companies in the Construction industry, which is in the bottom quartile relative to peers. Overall, Advanced Drainage Systems has a GF Score™ of 85/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Advanced Drainage Systems' Shiller PE Ratio compare to SPXC and OC?
According to the Construction industry distribution chart, Advanced Drainage Systems ranks #851 out of 1036 companies for Shiller PE Ratio. This places Advanced Drainage Systems in the lower half of its industry. The industry median Shiller PE Ratio is 16.95. Advanced Drainage Systems' value of 40.89 is 141.2% above this benchmark. Historically, Advanced Drainage Systems' own Shiller PE Ratio has ranged from 39.96 to 144.94 over the past decade. While the company's 10-year median is 62.86 vs. the industry median of 16.95, Advanced Drainage Systems has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Shiller PE Ratio for a Construction company?
The median Shiller PE Ratio among Construction companies is 16.95, based on 1,036 companies in the industry. Companies in the top quartile (top 25%) have a Shiller PE Ratio significantly above this median, while those in the bottom quartile fall well below. However, Shiller PE Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Advanced Drainage Systems's current Shiller PE Ratio of 40.89 is 141.2% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Shiller PE Ratio mean?
A high Shiller PE Ratio can signal that a stock is expensive relative to its fundamentals. Shiller price-earnings ratio is the ratio of share price to a company's inflation-adjusted earnings over a 10-year period. View historical data on Advanced Drainage Systems and its competitors. For the Construction industry, the median Shiller PE Ratio is 16.95 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Advanced Drainage Systems's current Shiller PE Ratio is 40.89, which is 35% below median its own 10-year median of 62.86. 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 (WMS) is currently considered Modestly Undervalued. The stock's GF Value™ is $159.13, compared to a current price of $135.76 — trading 14.7% below its estimated fair value. The current Shiller PE Ratio is 40.89, which is 35% below median its 10-year median of 62.86 and 141.2% above the Construction industry median of 16.95. Advanced Drainage Systems' overall GF Score™ is 85/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Shiller PE Ratio calculated?
Shiller PE Ratio is calculated from a company's financial statements. For Advanced Drainage Systems (WMS), the current Shiller PE Ratio is 40.89 as of Sep. 04, 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 (WMS) Overvalued in 2026?
Based on GuruFocus' analysis, Advanced Drainage Systems stock appears to be undervalued.
The current stock price of $135.76 is trading 14.7% below its estimated GF Value™ of $159.13.
GuruFocus considers Advanced Drainage Systems to be Modestly Undervalued.
Key valuation signals for WMS:
Shiller PE Ratio: 40.89 (35% below median its 10-year median of 62.86)
GF Value™: $159.13 vs. price of $135.76 (14.7% below fair value)
Industry Position: 141.2% above the Construction median (#851 of 1036)
No single metric tells the full story. See the 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.
85GF Score
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