General Dynamics (NYSE:GD) Downgraded to “Buy” Rating by Wall Street Zen

Wall Street Zen cut shares of General Dynamics (NYSE:GD) from a strong-buy rating to a buy rating in a research note published on Saturday morning.

Other equities research analysts also recently issued reports about the company. Royal Bank Of Canada increased their price objective on General Dynamics from $385.00 to $410.00 and gave the stock a “sector perform” rating in a research note on Thursday. Robert W. Baird set a $430.00 target price on General Dynamics in a report on Thursday. The Goldman Sachs Group reduced their price target on shares of General Dynamics from $327.00 to $313.00 and set a “sell” rating for the company in a research report on Monday, May 4th. Citigroup raised their price target on shares of General Dynamics from $364.00 to $404.00 and gave the stock a “neutral” rating in a report on Thursday. Finally, TD Cowen boosted their price objective on shares of General Dynamics from $390.00 to $420.00 and gave the company a “buy” rating in a research report on Thursday. Two analysts have rated the stock with a Strong Buy rating, twelve have assigned a Buy rating, four have assigned a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, General Dynamics presently has a consensus rating of “Moderate Buy” and an average target price of $406.32.

General Dynamics Price Performance

Shares of NYSE:GD opened at $384.53 on Friday. The company’s fifty day moving average is $360.75 and its two-hundred day moving average is $352.93. The company has a market cap of $104.04 billion, a P/E ratio of 23.46, a price-to-earnings-growth ratio of 2.27 and a beta of 0.34. General Dynamics has a 12-month low of $306.03 and a 12-month high of $400.00. The company has a quick ratio of 0.90, a current ratio of 1.44 and a debt-to-equity ratio of 0.23.

General Dynamics (NYSE:GD) last issued its earnings results on Wednesday, July 29th. The aerospace company reported $4.24 EPS for the quarter, topping the consensus estimate of $3.96 by $0.28. General Dynamics had a return on equity of 17.43% and a net margin of 8.18%.The business had revenue of $14.09 billion during the quarter, compared to analysts’ expectations of $13.52 billion. During the same quarter last year, the firm posted $3.74 earnings per share. General Dynamics’s revenue was up 8.1% compared to the same quarter last year. General Dynamics has set its FY 2026 guidance at 16.800-16.900 EPS. Equities analysts expect that General Dynamics will post 16.97 earnings per share for the current fiscal year.

General Dynamics Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Friday, August 7th. Shareholders of record on Thursday, July 2nd will be given a $1.59 dividend. This represents a $6.36 annualized dividend and a yield of 1.7%. The ex-dividend date of this dividend is Thursday, July 2nd. General Dynamics’s dividend payout ratio is presently 38.80%.

Insider Transactions at General Dynamics

In other General Dynamics news, EVP Mark Lagrand Burns sold 36,480 shares of General Dynamics stock in a transaction that occurred on Tuesday, May 12th. The shares were sold at an average price of $345.29, for a total value of $12,596,179.20. Following the completion of the sale, the executive vice president directly owned 38,975 shares in the company, valued at $13,457,677.75. The trade was a 48.35% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Mark Malcolm sold 5,480 shares of the business’s stock in a transaction that occurred on Wednesday, June 17th. The stock was sold at an average price of $365.00, for a total transaction of $2,000,200.00. Following the completion of the sale, the director directly owned 10,643 shares of the company’s stock, valued at $3,884,695. This represents a 33.99% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 78,190 shares of company stock valued at $27,041,022 over the last ninety days. Company insiders own 1.40% of the company’s stock.

Institutional Investors Weigh In On General Dynamics

A number of large investors have recently bought and sold shares of the business. Processus Wealth & Capital Management LLC raised its holdings in General Dynamics by 2.3% during the second quarter. Processus Wealth & Capital Management LLC now owns 7,669 shares of the aerospace company’s stock valued at $2,717,000 after buying an additional 169 shares in the last quarter. Tema ETFs LLC boosted its stake in shares of General Dynamics by 10.5% during the 2nd quarter. Tema ETFs LLC now owns 4,381 shares of the aerospace company’s stock worth $1,552,000 after acquiring an additional 416 shares in the last quarter. Fiduciary Financial Group LLC boosted its stake in shares of General Dynamics by 8.4% during the 2nd quarter. Fiduciary Financial Group LLC now owns 1,049 shares of the aerospace company’s stock worth $372,000 after acquiring an additional 81 shares in the last quarter. Kentucky Trust Co increased its holdings in shares of General Dynamics by 1.3% during the 2nd quarter. Kentucky Trust Co now owns 2,974 shares of the aerospace company’s stock valued at $1,054,000 after acquiring an additional 38 shares during the last quarter. Finally, Salvus Wealth Management LLC raised its stake in shares of General Dynamics by 10.6% in the 2nd quarter. Salvus Wealth Management LLC now owns 1,763 shares of the aerospace company’s stock valued at $625,000 after acquiring an additional 169 shares in the last quarter. 86.14% of the stock is currently owned by institutional investors.

Key Stories Impacting General Dynamics

Here are the key news stories impacting General Dynamics this week:

• Positive Sentiment: Strong Q2 results: General Dynamics reported adjusted earnings of $4.24 per share and revenue of $14.09 billion, exceeding estimates of $3.96 and $13.52 billion, respectively. Revenue increased 8.1% year over year, while management highlighted broad-based strength, record backlog and solid cash generation. General Dynamics Corporation Q2 2026 Earnings Call Summary
• Positive Sentiment: Largest catalyst is the submarine award: General Dynamics Electric Boat received $29.5 billion for five Columbia-class submarines and $42.1 billion for nine Virginia-class submarines, plus infrastructure support. The $76.6 billion award strengthens long-term visibility and backlog, although the contract value will be recognized over many years. General Dynamics Electric Boat Submarine Award
• Positive Sentiment: Analyst targets moved higher: Morgan Stanley raised its target to $465 and maintained an overweight rating, Susquehanna lifted its target to $455 with a positive rating, and BNP Paribas Exane raised its target to $430 with an outperform rating. These revisions reflect confidence in GD’s backlog and defense demand.
• Positive Sentiment: Growth profile remains attractive: Zacks cited General Dynamics’ earnings growth, improving business momentum and favorable growth characteristics, while the company maintained fiscal 2026 earnings guidance of approximately $16.80–$16.90 per share. Why General Dynamics Is a Strong Growth Stock
• Neutral Sentiment: Valuation is increasingly debated: Some research indicates the shares could remain below estimated intrinsic value, while other analysts argue that the strong defense outlook is already reflected in the stock’s elevated valuation after its substantial multiyear gains.
• Negative Sentiment: Risks remain: Analysts have cited supply-chain and margin pressures, limited visibility into future U.S. defense spending and potential execution challenges associated with the large submarine program. Several reports maintain neutral or downgrade views despite the strong fundamentals.

General Dynamics Company Profile

General Dynamics is a major American aerospace and defense contractor that designs, manufactures and supports a broad range of products and services for government and commercial customers worldwide. Headquartered in the United States (Reston, Virginia), the company supplies platforms and systems used by armed forces, civil authorities and private operators across multiple domains including air, land, sea and cyber.

Its principal activities span several operating businesses: a business aviation unit that develops and supports Gulfstream business jets; land systems that produce armored combat vehicles and related logistics and sustainment services; marine systems that design and construct submarines and surface ships for navies; and mission systems and information technology operations that provide command-and-control, communications, cybersecurity and systems-integration services.