NYSE:GD

281.81
1.88 (0.67%) 1d
0

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Investor Insights

This summary was created by AI, based on 3 opinions in the last 12 months.

General Dynamics Corp. (GD-N) is showing a really strong move after a pullback, although caution is advised due to potential overbought conditions and parabolic trends. The CEO is well-liked and the company is not considered expensive from a PE perspective. With a wide global presence and geopolitical factors in its favor, the company is benefitting from rising US defensive spending. Fundamentals are strong, with consistent beating of earnings estimates. Overall, the stock appears to be in a good position, but caution is advised due to potential overbought conditions and parabolic trends.

Consensus
Positive
Valuation
Fair Value
HOLD

Really strong move after its pullback. He'd look to see where the 200-day MA is ($272). Looks a bit parabolic, that should make you nervous. Momentum indicators might show it a little overbought, a pullback would not surprise him.

Might be at the start of a consolidation, so might pause for a bit. Overall, you can't argue with the chart, so it's not over till it's over.

transportation equip & components
BUY

Likes the CEO and shares are not expensive, PE-wise.

transportation equip & components
BUY

Global company with wide presence. Geopolitical risk a good aspect for business. US defensive spending rising. Tailwinds for business do not appear to be letting up. Has consistently beat earnings estimates. Fundamentals score 10/10. Would recommend buying. 

transportation equip & components
PAST TOP PICK
(A Top Pick Feb 09/22, Up 10%)

Industrials are doing well and unfortunately there is a tailwind for defense stocks. With the submarine part it has a strong order book.

transportation equip & components
COMMENT
Raytheon vs. General Dynamics When analyzing a company, look at its peers as well. In this case, Raytheon offers a buffer to only the defence business--commercial aerospace. Two-thirds of revenues come from commercial, the rest in defence. The former is a great opportunity because more planes will be produced as the economy improves. Meanwhile, defence offers stability. Prefers Raytheon.
transportation equip & components
BUY
Was one of top picks a few weeks ago. There is a great demand for its products such as making systems for submarines and combat systems for some European allies. It is inflation protected since the contracts are cost plus. Own it for the long term.
transportation equip & components
TOP PICK
4 areas: tech, marine systems, aerospace, combat systems. Marine systems segment provided main growth right now. Most of their contracts are cost+, which gives them built-in inflation protection if costs go up. Demand by wealthy for private air travel. US won't cut military spending anytime soon. Yield is 2.21%, has grown at 10% a year for the last 5 years and likely to continue. (Analysts’ price target is $234.24)
transportation equip & components
BUY
It trades in line with peers at a reasonable 15x PE. Their cyber-defence division makes up a serious slice of its revenues. He likes this. The defence budget under Biden is still growing but not as quickly as before. That said, the defence industry will always see growth, but it's a matter of how fast or slow. Looking ahead, defence in general will focus on cyberattacks.
transportation equip & components
BUY
A defensive company that has made an acquisition in the cyber defence business. Future wars will be won and lost in this platform. Trades at 15x earnings. A good entry into this. Highly acquisitive.
transportation equip & components
BUY
GD vs. LMT vs. RTX When analyzing a company, you also want to analyze its peers. This is the case with Lockheed Martin. Instead, look at General Dynamics. They acquired CSRA, entrenched in cyber defense, and this is where corporate and government money will be invested. Also see Raytheon, a hybrid of a commercial application with a defense contractor. RTX has great promise, undervalued, considerable cashflow in the future.
transportation equip & components
BUY
Lockheed-Martin? In this space, he prefers the cheaper GD in 2018 bought CSRA which is in cyberdefence and A.I. Now, it's a little depressed because of the commercial side, but it has a lot of potential.
transportation equip & components
DON'T BUY

An interesting space. Up this month. Something like Lockheed Martin might be less expensive. GD hasn't performed as well as Lockheed or Raytheon, so he likes those names a bit more.

transportation equip & components
DON'T BUY
Raytheon has been the winner in defence this year. GD, though, has no growth; their backlog fell in the last quarter. But aerospace revenues were up and they improved their margin. Combat systems revenue was up 14%. IT down 11%. Guidance hasn't changed vs. peers who expect the government to increase spending. Ethically, he isn't in this sector--he doesn't want to own arms and weapons. GD is in the middle of the pack.
transportation equip & components
BUY

GD vs. Raytheon Both are fine businesses. He owns both. GD has the business jet as well as their marine business (submarines for the US Navy); barrier to entry is strong. GD also has an IT division, a decent business. Raytheon makes missiles and well-positioned to sell to US allies; they also do electronic warfare.

transportation equip & components
BUY
They are in defence and business jets. They're not recession-proof, but their customers are rich who will continue to buy in a recession. The price is attractive now. Trades at a low 15x forward earnings.
transportation equip & components
Showing 1 to 15 of 41 entries

General Dynamics Corp.(GD-N) Rating

Ranking : 3 out of 5

Bullish - Buy Signals / Votes : 2

Neutral - Hold Signals / Votes : 1

Bearish - Sell Signals / Votes : 0

Total Signals / Votes : 3

Stockchase rating for General Dynamics Corp. is calculated according to the stock experts' signals. A high score means experts mostly recommend to buy the stock while a low score means experts mostly recommend to sell the stock.

General Dynamics Corp.(GD-N) Frequently Asked Questions

What is General Dynamics Corp. stock symbol?

General Dynamics Corp. is a American stock, trading under the symbol GD-N on the New York Stock Exchange (GD). It is usually referred to as NYSE:GD or GD-N

Is General Dynamics Corp. a buy or a sell?

In the last year, 3 stock analysts published opinions about GD-N. 2 analysts recommended to BUY the stock. 0 analysts recommended to SELL the stock. The latest stock analyst recommendation is . Read the latest stock experts' ratings for General Dynamics Corp..

Is General Dynamics Corp. a good investment or a top pick?

General Dynamics Corp. was recommended as a Top Pick by on . Read the latest stock experts ratings for General Dynamics Corp..

Why is General Dynamics Corp. stock dropping?

Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.

Is General Dynamics Corp. worth watching?

3 stock analysts on Stockchase covered General Dynamics Corp. In the last year. It is a trending stock that is worth watching.

What is General Dynamics Corp. stock price?

On 2024-11-22, General Dynamics Corp. (GD-N) stock closed at a price of $281.81.