Contrasting JELD-WEN (NYSE:JELD) & Advanced Drainage Systems (NYSE:WMS)

JELD-WEN (NYSE:JELD) and Advanced Drainage Systems (NYSE:WMS) are both industrials companies, but which is the superior stock? We will contrast the two businesses based on the strength of their earnings, dividends, institutional ownership, risk, profitability, analyst recommendations and valuation.

Profitability

This table compares JELD-WEN and Advanced Drainage Systems’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
JELD-WEN	-16.36%	-246.42%	-5.69%
Advanced Drainage Systems	14.00%	28.28%	12.30%

Risk & Volatility

JELD-WEN has a beta of 2.23, suggesting that its share price is 123% more volatile than the S&P 500. Comparatively, Advanced Drainage Systems has a beta of 1.29, suggesting that its share price is 29% more volatile than the S&P 500.

Insider & Institutional Ownership

95.0% of JELD-WEN shares are owned by institutional investors. Comparatively, 89.8% of Advanced Drainage Systems shares are owned by institutional investors. 1.9% of JELD-WEN shares are owned by insiders. Comparatively, 1.7% of Advanced Drainage Systems shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Valuation and Earnings

This table compares JELD-WEN and Advanced Drainage Systems”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
JELD-WEN	$3.21 billion	0.05	-$621.21 million	($6.04)	-0.30
Advanced Drainage Systems	$3.05 billion	3.21	$426.46 million	$5.79	22.46

Advanced Drainage Systems has lower revenue, but higher earnings than JELD-WEN. JELD-WEN is trading at a lower price-to-earnings ratio than Advanced Drainage Systems, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of current recommendations and price targets for JELD-WEN and Advanced Drainage Systems, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
JELD-WEN	1	5	0	0	1.83
Advanced Drainage Systems	0	2	8	0	2.80

JELD-WEN currently has a consensus price target of $2.10, indicating a potential upside of 15.70%. Advanced Drainage Systems has a consensus price target of $188.70, indicating a potential upside of 45.12%. Given Advanced Drainage Systems’ stronger consensus rating and higher possible upside, analysts clearly believe Advanced Drainage Systems is more favorable than JELD-WEN.

Summary

Advanced Drainage Systems beats JELD-WEN on 10 of the 14 factors compared between the two stocks.

About JELD-WEN

JELD-WEN Holding, Inc. designs, manufactures, and sells wood, metal, and composite materials doors, windows, and related building products in North America and Europe. The company offers a line of residential interior and exterior door products, including patio doors, and folding or sliding wall systems; non-residential doors; stile and rail doors; and wood, vinyl, and wood composite windows. It also provides other ancillary products and services, such as trim boards, glasses, hardware and locks, window screens, and molded door skins, as well as miscellaneous installation and other services. The company sells its products under the JELD-WEN, AuraLast, MiraTEC, Extira, LaCANTINA, MMI Door, Karona, ImpactGard, JW, Aurora, IWP, True BLU, ABS, Siteline, National Door, Low-Friction Glider, Hydrolock, VPI, AURALINE, FINISHIELD, MILLENNIUM, TRUFIT, EPICVUE, EVELIN, Swedoor, Dooria, DANA, Mattiovi, Zargag, Alupan, Domoferm, Kellpax, and HSE brands. It serves wholesale distributors and retailers, retail home centers, and building product dealers, as well as homebuilders, contractors, and consumers. JELD-WEN Holding, Inc. was founded in 1960 and is based in Charlotte, North Carolina.

About Advanced Drainage Systems

Advanced Drainage Systems, Inc. designs, manufactures, and markets thermoplastic corrugated pipes and related water management products in North America and internationally. The company operates through Pipe, International, Infiltrator, and Allied Products & Other segments. It offers single, double, and triple wall corrugated polypropylene and polyethylene pipes; plastic leachfield chambers and systems; EZflow synthetic aggregate bundles; wastewater purification through mechanical aeration wastewater for residential and commercial systems; septic tanks and accessories; combined treatment and dispersal systems, including advanced enviro-septic and advanced treatment leachfield systems; and allied products, including storm retention/detention and septic chambers, polyvinyl chloride drainage structures, fittings, and water quality filters and separators. The company also purchases and distributes construction fabrics and other geosynthetic products for soil stabilization, reinforcement, filtration, separation, erosion control, and sub-surface drainage, as well as drainage grates and other products. In addition, it provides PVC hubs, rubber sleeves, and stainless-steel bands. The company offers its products for non-residential, residential, agriculture, and infrastructure applications through a network of distribution centers. Advanced Drainage Systems, Inc. incorporated in 1966 and is headquartered in Hilliard, Ohio.