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Why Great Lakes Dredge & Dock (GLDD) Outpaced the Stock Market Today

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In the latest market close, Great Lakes Dredge & Dock (GLDD - Free Report) reached $10.58, with a +0.86% movement compared to the previous day. The stock's change was more than the S&P 500's daily gain of 0.4%. Elsewhere, the Dow gained 0.62%, while the tech-heavy Nasdaq added 0.6%.

The provider of dredging and dock-contracting services's shares have seen an increase of 5.43% over the last month, surpassing the Construction sector's gain of 2.56% and the S&P 500's gain of 1.71%.

Investors will be eagerly watching for the performance of Great Lakes Dredge & Dock in its upcoming earnings disclosure. On that day, Great Lakes Dredge & Dock is projected to report earnings of $0.18 per share, which would represent year-over-year growth of 300%. At the same time, our most recent consensus estimate is projecting a revenue of $180.8 million, reflecting a 54.28% rise from the equivalent quarter last year.

In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $0.80 per share and a revenue of $749.53 million, indicating changes of +471.43% and +27.12%, respectively, from the former year.

Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Great Lakes Dredge & Dock. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.

Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Right now, Great Lakes Dredge & Dock possesses a Zacks Rank of #2 (Buy).

Valuation is also important, so investors should note that Great Lakes Dredge & Dock has a Forward P/E ratio of 13.11 right now. This signifies a discount in comparison to the average Forward P/E of 21.46 for its industry.

Investors should also note that GLDD has a PEG ratio of 0.37 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. GLDD's industry had an average PEG ratio of 2.5 as of yesterday's close.

The Building Products - Heavy Construction industry is part of the Construction sector. This industry currently has a Zacks Industry Rank of 13, which puts it in the top 6% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.


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