Historical data shows that a consistent $500 monthly investment into Great Lakes Dredge & Dock Corporation (GLDD) starting in 2020 would have turned a total investment of $47K into $78K today. This represents a total return of 66.0% over the 6-year period, compounding through dividend reinvestment and market growth.
The Impact of Dividend Reinvestment (DRIP)
Great Lakes Dredge & Dock Corporation does not currently pay a notable dividend. For growth-focused stocks like GLDD, dollar cost averaging relies entirely on price appreciation. Over the 6-year period, the strategy successfully captured the stock's price movements, resulting in a final portfolio value of $78K without the need for dividend reinvestment.
GLDD vs. S&P 500 (SPY) Benchmark
When comparing this dollar cost averaging strategy against a broad market index,GLDD underperformed the S&P 500 ETF (SPY). The same $500 monthly contributions into SPY would have grown to $86K, compared to GLDD's $78K.