Logo image of GD

GENERAL DYNAMICS CORP (GD) Stock Fundamental Analysis

NYSE:GD - New York Stock Exchange, Inc. - US3695501086 - Common Stock - Currency: USD

272.12  +0.04 (+0.01%)

After market: 272.12 0 (0%)

Fundamental Rating

6

We assign a fundamental rating of 6 out of 10 to GD. GD was compared to 65 industry peers in the Aerospace & Defense industry. GD has only an average score on both its financial health and profitability. GD has a correct valuation and a medium growth rate.


Dividend Valuation Growth Profitability Health

Quickly go to:

6

1. Profitability

1.1 Basic Checks

In the past year GD was profitable.
In the past year GD had a positive cash flow from operations.
GD had positive earnings in each of the past 5 years.
In the past 5 years GD always reported a positive cash flow from operatings.
GD Yearly Net Income VS EBIT VS OCF VS FCFGD Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B 4B

1.2 Ratios

The Return On Assets of GD (7.03%) is better than 75.38% of its industry peers.
GD's Return On Equity of 17.89% is amongst the best of the industry. GD outperforms 87.69% of its industry peers.
Looking at the Return On Invested Capital, with a value of 11.07%, GD belongs to the top of the industry, outperforming 90.77% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for GD is in line with the industry average of 7.89%.
The 3 year average ROIC (9.79%) for GD is below the current ROIC(11.07%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 7.03%
ROE 17.89%
ROIC 11.07%
ROA(3y)6.46%
ROA(5y)6.41%
ROE(3y)16.99%
ROE(5y)17.93%
ROIC(3y)9.79%
ROIC(5y)9.74%
GD Yearly ROA, ROE, ROICGD Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 5 10 15 20 25

1.3 Margins

GD has a better Profit Margin (8.08%) than 75.38% of its industry peers.
GD's Profit Margin has declined in the last couple of years.
GD has a better Operating Margin (10.22%) than 66.15% of its industry peers.
GD's Operating Margin has declined in the last couple of years.
GD has a worse Gross Margin (15.43%) than 75.38% of its industry peers.
GD's Gross Margin has declined in the last couple of years.
Industry RankSector Rank
OM 10.22%
PM (TTM) 8.08%
GM 15.43%
OM growth 3Y-2.43%
OM growth 5Y-3.18%
PM growth 3Y-2.17%
PM growth 5Y-2.19%
GM growth 3Y-2.51%
GM growth 5Y-2.96%
GD Yearly Profit, Operating, Gross MarginsGD Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 5 10 15 20

More info and screens

6

2. Health

2.1 Basic Checks

GD has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, GD has less shares outstanding
Compared to 5 years ago, GD has less shares outstanding
Compared to 1 year ago, GD has an improved debt to assets ratio.
GD Yearly Shares OutstandingGD Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 100M 200M 300M
GD Yearly Total Debt VS Total AssetsGD Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 10B 20B 30B 40B 50B

2.2 Solvency

An Altman-Z score of 3.61 indicates that GD is not in any danger for bankruptcy at the moment.
With a Altman-Z score value of 3.61, GD perfoms like the industry average, outperforming 56.92% of the companies in the same industry.
GD has a debt to FCF ratio of 2.88. This is a good value and a sign of high solvency as GD would need 2.88 years to pay back of all of its debts.
GD has a Debt to FCF ratio of 2.88. This is amongst the best in the industry. GD outperforms 89.23% of its industry peers.
GD has a Debt/Equity ratio of 0.33. This is a healthy value indicating a solid balance between debt and equity.
GD has a Debt to Equity ratio of 0.33. This is in the better half of the industry: GD outperforms 64.62% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.33
Debt/FCF 2.88
Altman-Z 3.61
ROIC/WACC1.16
WACC9.53%
GD Yearly LT Debt VS Equity VS FCFGD Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 5B 10B 15B 20B

2.3 Liquidity

A Current Ratio of 1.34 indicates that GD should not have too much problems paying its short term obligations.
GD has a worse Current ratio (1.34) than 72.31% of its industry peers.
A Quick Ratio of 0.82 indicates that GD may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.82, GD is doing worse than 76.92% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 1.34
Quick Ratio 0.82
GD Yearly Current Assets VS Current LiabilitesGD Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 5B 10B 15B 20B

More info and screens

5

3. Growth

3.1 Past

The Earnings Per Share has grown by an nice 17.62% over the past year.
Measured over the past 5 years, GD shows a small growth in Earnings Per Share. The EPS has been growing by 2.63% on average per year.
Looking at the last year, GD shows a quite strong growth in Revenue. The Revenue has grown by 14.11% in the last year.
The Revenue has been growing slightly by 3.93% on average over the past years.
EPS 1Y (TTM)17.62%
EPS 3Y5.7%
EPS 5Y2.63%
EPS Q2Q%27.08%
Revenue 1Y (TTM)14.11%
Revenue growth 3Y7.44%
Revenue growth 5Y3.93%
Sales Q2Q%13.9%

3.2 Future

GD is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.73% yearly.
GD is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.31% yearly.
EPS Next Y12.07%
EPS Next 2Y12.48%
EPS Next 3Y11.22%
EPS Next 5Y9.73%
Revenue Next Year6.4%
Revenue Next 2Y5.38%
Revenue Next 3Y4.48%
Revenue Next 5Y4.31%

3.3 Evolution

When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
GD Yearly Revenue VS EstimatesGD Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 20B 40B 60B
GD Yearly EPS VS EstimatesGD Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 5 10 15 20

More info and screens

6

4. Valuation

4.1 Price/Earnings Ratio

With a Price/Earnings ratio of 18.87, GD is valued on the expensive side.
Based on the Price/Earnings ratio, GD is valued cheaper than 81.54% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 28.88, GD is valued a bit cheaper.
GD is valuated correctly with a Price/Forward Earnings ratio of 15.77.
Compared to the rest of the industry, the Price/Forward Earnings ratio of GD indicates a rather cheap valuation: GD is cheaper than 92.31% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 21.20. GD is valued slightly cheaper when compared to this.
Industry RankSector Rank
PE 18.87
Fwd PE 15.77
GD Price Earnings VS Forward Price EarningsGD Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60

4.2 Price Multiples

Based on the Enterprise Value to EBITDA ratio, GD is valued cheaply inside the industry as 83.08% of the companies are valued more expensively.
GD's Price/Free Cash Flow ratio is rather cheap when compared to the industry. GD is cheaper than 92.31% of the companies in the same industry.
Industry RankSector Rank
P/FCF 21.89
EV/EBITDA 13.74
GD Per share dataGD EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 50 100 150

4.3 Compensation for Growth

GD's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of GD may justify a higher PE ratio.
PEG (NY)1.56
PEG (5Y)7.18
EPS Next 2Y12.48%
EPS Next 3Y11.22%

More info and screens

6

5. Dividend

5.1 Amount

GD has a Yearly Dividend Yield of 2.21%.
GD's Dividend Yield is rather good when compared to the industry average which is at 1.35. GD pays more dividend than 93.85% of the companies in the same industry.
GD's Dividend Yield is comparable with the S&P500 average which is at 2.45.
Industry RankSector Rank
Dividend Yield 2.21%

5.2 History

On average, the dividend of GD grows each year by 7.16%, which is quite nice.
GD has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of GD decreased in the last 3 years.
Dividend Growth(5Y)7.16%
Div Incr Years2
Div Non Decr Years2
GD Yearly Dividends per shareGD Yearly Dividends per shareYearly Dividends per share 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1 2 3 4 5

5.3 Sustainability

39.00% of the earnings are spent on dividend by GD. This is a low number and sustainable payout ratio.
GD's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP39%
EPS Next 2Y12.48%
EPS Next 3Y11.22%
GD Yearly Income VS Free CF VS DividendGD Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B
GD Dividend Payout.GD Dividend Payout, showing the Payout Ratio.GD Dividend Payout.PayoutRetained Earnings

More info and screens

GENERAL DYNAMICS CORP

NYSE:GD (4/30/2025, 8:09:29 PM)

After market: 272.12 0 (0%)

272.12

+0.04 (+0.01%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)04-23 2025-04-23/bmo
Earnings (Next)07-22 2025-07-22/bmo
Inst Owners76.76%
Inst Owner Change0.66%
Ins Owners0.25%
Ins Owner Change1.75%
Market Cap73.03B
Analysts75.76
Price Target294.65 (8.28%)
Short Float %1.05%
Short Ratio1.58
Dividend
Industry RankSector Rank
Dividend Yield 2.21%
Yearly Dividend5.62
Dividend Growth(5Y)7.16%
DP39%
Div Incr Years2
Div Non Decr Years2
Ex-Date04-11 2025-04-11 (1.5)
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.43%
Min EPS beat(2)-0.53%
Max EPS beat(2)1.4%
EPS beat(4)1
Avg EPS beat(4)-2.16%
Min EPS beat(4)-6.39%
Max EPS beat(4)1.4%
EPS beat(8)3
Avg EPS beat(8)-1.71%
EPS beat(12)4
Avg EPS beat(12)-1.53%
EPS beat(16)6
Avg EPS beat(16)-1.25%
Revenue beat(2)1
Avg Revenue beat(2)0.22%
Min Revenue beat(2)-0.96%
Max Revenue beat(2)1.41%
Revenue beat(4)2
Avg Revenue beat(4)-0.14%
Min Revenue beat(4)-2.66%
Max Revenue beat(4)1.65%
Revenue beat(8)5
Avg Revenue beat(8)0.8%
Revenue beat(12)6
Avg Revenue beat(12)0.01%
Revenue beat(16)7
Avg Revenue beat(16)-0.9%
PT rev (1m)0%
PT rev (3m)-9.16%
EPS NQ rev (1m)0.26%
EPS NQ rev (3m)-12.78%
EPS NY rev (1m)-0.03%
EPS NY rev (3m)-7.36%
Revenue NQ rev (1m)0.22%
Revenue NQ rev (3m)-3.23%
Revenue NY rev (1m)0.02%
Revenue NY rev (3m)-0.05%
Valuation
Industry RankSector Rank
PE 18.87
Fwd PE 15.77
P/S 1.48
P/FCF 21.89
P/OCF 17.24
P/B 3.29
P/tB 521.65
EV/EBITDA 13.74
EPS(TTM)14.42
EY5.3%
EPS(NY)17.26
Fwd EY6.34%
FCF(TTM)12.43
FCFY4.57%
OCF(TTM)15.78
OCFY5.8%
SpS183.35
BVpS82.81
TBVpS0.52
PEG (NY)1.56
PEG (5Y)7.18
Profitability
Industry RankSector Rank
ROA 7.03%
ROE 17.89%
ROCE 13.29%
ROIC 11.07%
ROICexc 11.44%
ROICexgc 28.88%
OM 10.22%
PM (TTM) 8.08%
GM 15.43%
FCFM 6.78%
ROA(3y)6.46%
ROA(5y)6.41%
ROE(3y)16.99%
ROE(5y)17.93%
ROIC(3y)9.79%
ROIC(5y)9.74%
ROICexc(3y)10.23%
ROICexc(5y)10.26%
ROICexgc(3y)26.7%
ROICexgc(5y)28.25%
ROCE(3y)11.76%
ROCE(5y)11.7%
ROICexcg growth 3Y0.05%
ROICexcg growth 5Y-6.95%
ROICexc growth 3Y3.01%
ROICexc growth 5Y-2.13%
OM growth 3Y-2.43%
OM growth 5Y-3.18%
PM growth 3Y-2.17%
PM growth 5Y-2.19%
GM growth 3Y-2.51%
GM growth 5Y-2.96%
F-Score7
Asset Turnover0.87
Health
Industry RankSector Rank
Debt/Equity 0.33
Debt/FCF 2.88
Debt/EBITDA 1.23
Cap/Depr 100.11%
Cap/Sales 1.83%
Interest Coverage 12.54
Cash Conversion 71.46%
Profit Quality 83.88%
Current Ratio 1.34
Quick Ratio 0.82
Altman-Z 3.61
F-Score7
WACC9.53%
ROIC/WACC1.16
Cap/Depr(3y)111.39%
Cap/Depr(5y)108.79%
Cap/Sales(3y)2.3%
Cap/Sales(5y)2.35%
Profit Quality(3y)100.61%
Profit Quality(5y)98.91%
High Growth Momentum
Growth
EPS 1Y (TTM)17.62%
EPS 3Y5.7%
EPS 5Y2.63%
EPS Q2Q%27.08%
EPS Next Y12.07%
EPS Next 2Y12.48%
EPS Next 3Y11.22%
EPS Next 5Y9.73%
Revenue 1Y (TTM)14.11%
Revenue growth 3Y7.44%
Revenue growth 5Y3.93%
Sales Q2Q%13.9%
Revenue Next Year6.4%
Revenue Next 2Y5.38%
Revenue Next 3Y4.48%
Revenue Next 5Y4.31%
EBIT growth 1Y15.77%
EBIT growth 3Y4.83%
EBIT growth 5Y0.63%
EBIT Next Year26.98%
EBIT Next 3Y13.38%
EBIT Next 5Y10.29%
FCF growth 1Y12.78%
FCF growth 3Y-1.75%
FCF growth 5Y10.42%
OCF growth 1Y3.49%
OCF growth 3Y-1.15%
OCF growth 5Y6.98%