Form 4: Insider Sells Shares in Advanced Drainage Systems

Tim A. Makowski, VP Controller & Chief Accounting Officer of Advanced Drainage Systems, Inc., reported a transaction involving the sale of common stock.

Summary

• Tim A. Makowski, Vice President, Controller and Chief Accounting Officer of Advanced Drainage Systems, Inc. (WMS), reported a transaction on May 22, 2026.
• The transaction involved the disposition of 129 shares of common stock, with a transaction code 'F', indicating shares withheld for tax obligations related to restricted stock vesting.
• The reported price for these shares was $133.
• Following this transaction, Makowski beneficially owns 5,875 shares of common stock directly.
• Additionally, Makowski has 17,556.8712 shares allocated under the KSOP (401k) plan, held indirectly.

Sentiment

Score: 5

Explanation: StockSavvy.ai views this as a neutral filing. While it involves an insider transaction, the sale of shares was for tax withholding purposes related to restricted stock vesting, a common and expected event, rather than a discretionary sale indicating a change in outlook.

Negatives

• Insider selling of company stock can sometimes be perceived negatively by the market, although in this case, the shares were withheld for tax purposes.
• The sale reduces the direct beneficial ownership of a key executive.

Risks

• The filing does not explicitly mention any new risks.
• However, any insider selling, even if for tax purposes, could be interpreted by some investors as a lack of confidence, though this is not explicitly stated as a risk in the filing.

Future Outlook

No specific future outlook or guidance is provided in this Form 4 filing, which solely reports a change in beneficial ownership.

Management Comments

• The filing is a standard SEC Form 4 reporting a transaction, and does not contain direct management comments or opinions.
• The explanation for the transaction states: 'Represents shares withheld to satisfy Reporting Person's tax obligations in connection with the vesting of shares of restricted common stock of the Issuer.'

Industry Context

StockSavvy.ai notes that Form 4 filings are routine for tracking insider transactions. The nature of this transaction, a tax withholding for vested restricted stock, is common among executives in the manufacturing and infrastructure sectors, including Advanced Drainage Systems.

Stakeholder Impact

• Shareholders: The transaction itself is unlikely to have a significant direct impact on the share price, as it's a standard tax-related event. However, any insider selling can be a point of observation for investors.
• Employees: The transaction relates to executive compensation and does not directly impact general employee stock plans or benefits.
• Management: The transaction reflects the standard compensation practices for executives receiving equity awards.

Next Steps

• No specific next steps are outlined in this filing.
• Future Form 4 filings will report any further changes in beneficial ownership by Tim A. Makowski.

Key Dates

Keywords

Advanced Drainage Systems, WMS, Form 4, Insider Transaction, Stock Sale, Beneficial Ownership, Tim A. Makowski, Restricted Stock, Tax Withholding, KSOP