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Great Lakes Dredge & Dock (GLDD) Outpaces Stock Market Gains: What You Should Know

Zacks Equity Research

Great Lakes Dredge & Dock (GLDD) closed at $11.05 in the latest trading session, marking a +1.19% move from the prior day. This move outpaced the S&P 500's daily gain of 0.47%. Elsewhere, the Dow lost 0.29%, while the tech-heavy Nasdaq added 0.85%.

Heading into today, shares of the provider of dredging and dock-contracting services had gained 1.39% over the past month, outpacing the Construction sector's loss of 0.24% and lagging the S&P 500's gain of 2.08% in that time.

Investors will be hoping for strength from GLDD as it approaches its next earnings release. In that report, analysts expect GLDD to post earnings of $0.12 per share. This would mark year-over-year growth of 700%. Meanwhile, our latest consensus estimate is calling for revenue of $207.50 million, up 37.79% from the prior-year quarter.

For the full year, our Zacks Consensus Estimates are projecting earnings of $0.68 per share and revenue of $747.50 million, which would represent changes of +300% and +10.78%, respectively, from the prior year.

Investors should also note any recent changes to analyst estimates for GLDD. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable 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. The Zacks Consensus EPS estimate remained stagnant within the past month. GLDD is currently a Zacks Rank #2 (Buy).

Looking at its valuation, GLDD is holding a Forward P/E ratio of 16.06. This valuation marks a premium compared to its industry's average Forward P/E of 11.12.

The Building Products - Heavy Construction industry is part of the Construction sector. This group has a Zacks Industry Rank of 52, putting it in the top 21% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow GLDD in the coming trading sessions, be sure to utilize Zacks.com.

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