General Dynamics (NYSE:GD) Rating Lowered to Buy at Wall Street Zen

General Dynamics (NYSE:GD) was downgraded by investment analysts at Wall Street Zen from a “strong-buy” rating to a “buy” rating in a note issued to investors on Saturday.

A number of other equities analysts also recently commented on the stock. Susquehanna boosted their price objective on shares of General Dynamics from $420.00 to $455.00 and gave the stock a “positive” rating in a research note on Thursday. The Goldman Sachs Group dropped their target price on General Dynamics from $327.00 to $313.00 and set a “sell” rating on the stock in a research report on Monday, May 4th. JPMorgan Chase & Co. lifted their price target on General Dynamics from $385.00 to $400.00 and gave the company an “overweight” rating in a report on Thursday, April 30th. BNP Paribas Exane upped their price objective on General Dynamics from $390.00 to $430.00 and gave the stock an “outperform” rating in a research note on Thursday. Finally, Royal Bank Of Canada raised their price objective on General Dynamics from $385.00 to $410.00 and gave the company a “sector perform” rating in a research report on Thursday. Two research analysts have rated the stock with a Strong Buy rating, twelve have given a Buy rating, four have issued a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, the company presently has an average rating of “Moderate Buy” and an average target price of $406.32.

General Dynamics Trading Up 0.3%

NYSE GD opened at $384.53 on Friday. The company has a debt-to-equity ratio of 0.23, a quick ratio of 0.96 and a current ratio of 1.44. The company has a market capitalization of $104.04 billion, a price-to-earnings ratio of 23.46, a price-to-earnings-growth ratio of 2.22 and a beta of 0.34. The company’s 50-day simple moving average is $360.75 and its two-hundred day simple moving average is $352.87. General Dynamics has a one year low of $306.03 and a one year high of $400.00.

General Dynamics (NYSE:GD) last announced its quarterly earnings results on Wednesday, July 29th. The aerospace company reported $4.24 earnings per share for the quarter, topping the consensus estimate of $3.96 by $0.28. General Dynamics had a net margin of 8.18% and a return on equity of 17.43%. The firm had revenue of $14.09 billion during the quarter, compared to analysts’ expectations of $13.52 billion. During the same quarter in the prior year, the company earned $3.74 EPS. The company’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 forecast that General Dynamics will post 16.97 EPS for the current fiscal year.

Insiders Place Their Bets

In related news, EVP Mark Lagrand Burns sold 36,480 shares of the business’s stock in a transaction on Tuesday, May 12th. The stock was sold at an average price of $345.29, for a total transaction of $12,596,179.20. Following the transaction, 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 position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, Director Mark Malcolm sold 5,480 shares of the company’s stock in a transaction dated Wednesday, June 17th. The shares were sold at an average price of $365.00, for a total value of $2,000,200.00. Following the transaction, the director directly owned 10,643 shares in the company, valued at $3,884,695. This represents a 33.99% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last ninety days, insiders have sold 78,190 shares of company stock worth $27,041,022. Insiders own 1.40% of the company’s stock.

Hedge Funds Weigh In On General Dynamics

Hedge funds have recently modified their holdings of the stock. Processus Wealth & Capital Management LLC raised its holdings in shares of General Dynamics by 2.3% in the second quarter. Processus Wealth & Capital Management LLC now owns 7,669 shares of the aerospace company’s stock worth $2,717,000 after buying an additional 169 shares during the last quarter. Tema ETFs LLC lifted its stake in shares of General Dynamics by 10.5% during the second quarter. Tema ETFs LLC now owns 4,381 shares of the aerospace company’s stock worth $1,552,000 after buying an additional 416 shares during the period. Fiduciary Financial Group LLC grew its holdings in shares of General Dynamics by 8.4% during the second quarter. Fiduciary Financial Group LLC now owns 1,049 shares of the aerospace company’s stock valued at $372,000 after buying an additional 81 shares during the last quarter. Kentucky Trust Co grew its holdings in shares of General Dynamics by 1.3% during the second quarter. Kentucky Trust Co now owns 2,974 shares of the aerospace company’s stock valued at $1,054,000 after buying an additional 38 shares during the last quarter. Finally, Salvus Wealth Management LLC increased its position 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 during the period. Institutional investors and hedge funds own 86.14% of the company’s stock.

General Dynamics News Summary

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.

About General Dynamics

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.