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Should Value Investors Buy Great Lakes Dredge & Dock (GLDD) Stock?
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The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.
One stock to keep an eye on is Great Lakes Dredge & Dock (GLDD - Free Report) . GLDD is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock is trading with a P/E ratio of 12.54, which compares to its industry's average of 21.47. Over the last 12 months, GLDD's Forward P/E has been as high as 15.97 and as low as -394.46, with a median of 12.70.
We also note that GLDD holds a PEG ratio of 0.36. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. GLDD's industry currently sports an average PEG of 0.79. Over the past 52 weeks, GLDD's PEG has been as high as 1.57 and as low as -39.45, with a median of 1.22.
Another notable valuation metric for GLDD is its P/B ratio of 1.68. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. GLDD's current P/B looks attractive when compared to its industry's average P/B of 4.05. GLDD's P/B has been as high as 1.73 and as low as 1.08, with a median of 1.42, over the past year.
Finally, we should also recognize that GLDD has a P/CF ratio of 7.34. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. GLDD's P/CF compares to its industry's average P/CF of 18.17. Within the past 12 months, GLDD's P/CF has been as high as 144.58 and as low as 5.44, with a median of 8.73.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Great Lakes Dredge & Dock is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, GLDD feels like a great value stock at the moment.
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Should Value Investors Buy Great Lakes Dredge & Dock (GLDD) Stock?
The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.
One stock to keep an eye on is Great Lakes Dredge & Dock (GLDD - Free Report) . GLDD is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock is trading with a P/E ratio of 12.54, which compares to its industry's average of 21.47. Over the last 12 months, GLDD's Forward P/E has been as high as 15.97 and as low as -394.46, with a median of 12.70.
We also note that GLDD holds a PEG ratio of 0.36. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. GLDD's industry currently sports an average PEG of 0.79. Over the past 52 weeks, GLDD's PEG has been as high as 1.57 and as low as -39.45, with a median of 1.22.
Another notable valuation metric for GLDD is its P/B ratio of 1.68. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. GLDD's current P/B looks attractive when compared to its industry's average P/B of 4.05. GLDD's P/B has been as high as 1.73 and as low as 1.08, with a median of 1.42, over the past year.
Finally, we should also recognize that GLDD has a P/CF ratio of 7.34. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. GLDD's P/CF compares to its industry's average P/CF of 18.17. Within the past 12 months, GLDD's P/CF has been as high as 144.58 and as low as 5.44, with a median of 8.73.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Great Lakes Dredge & Dock is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, GLDD feels like a great value stock at the moment.