Is Great Lakes Dredge & Dock Corp. overvalued or undervalued?

As of 1 August 2025, Great Lakes Dredge & Dock Corp. has moved from an attractive to a fair valuation grade. The company appears to be fairly valued based on its current metrics. Notable valuation ratios include a P/E ratio of 11, an EV to EBITDA of 7.54, and a PEG ratio of 0.14, which suggests that the stock is priced attractively relative to its growth potential.
In comparison to its peers, Great Lakes Dredge & Dock Corp. has a lower P/E ratio than IES Holdings, Inc. at 27.82 and a significantly lower EV to EBITDA than Construction Partners, Inc. at 26.41, indicating that it is more reasonably priced within the industry context. While the company has shown a solid return of 25.33% over the past year compared to the S&P 500's 17.14%, its longer-term performance over three and five years is notably lower than the benchmark, which may suggest caution for future growth expectations.