Drexel Hamilton Reaffirms Buy Rating for General Dynamics (GD)
“We project the aerospace division will generate mid-single digit growth and stable margins the next few years.”,” the firm’s analyst wrote.
Several other analysts have also recently weighed in on GD. Barclays reiterated an overweight rating and issued a $256.00 price target on shares of General Dynamics in a report on Thursday, June 14th. Zacks Investment Research cut shares of General Dynamics from a hold rating to a sell rating in a report on Tuesday, June 26th. UBS Group assumed coverage on shares of General Dynamics in a report on Wednesday. They issued a neutral rating and a $210.00 price target on the stock. Morgan Stanley cut their price target on shares of General Dynamics from $215.00 to $207.00 and set an underweight rating on the stock in a report on Friday, June 22nd. Finally, ValuEngine cut shares of General Dynamics from a buy rating to a hold rating in a report on Wednesday, May 2nd. Three analysts have rated the stock with a sell rating, six have issued a hold rating and ten have given a buy rating to the stock. The company has a consensus rating of Hold and an average target price of $239.39.
General Dynamics (NYSE:GD) last released its quarterly earnings results on Wednesday, July 25th. The aerospace company reported $2.82 earnings per share for the quarter, beating the consensus estimate of $2.49 by $0.33. The business had revenue of $9.19 billion for the quarter, compared to analysts’ expectations of $9.09 billion. General Dynamics had a net margin of 9.16% and a return on equity of 27.06%. The firm’s revenue for the quarter was up 19.7% compared to the same quarter last year. During the same quarter in the previous year, the business posted $2.45 earnings per share. analysts predict that General Dynamics will post 11.18 earnings per share for the current fiscal year.
The business also recently declared a quarterly dividend, which will be paid on Friday, November 9th. Stockholders of record on Friday, October 5th will be given a $0.93 dividend. This represents a $3.72 annualized dividend and a dividend yield of 1.92%. The ex-dividend date is Thursday, October 4th. General Dynamics’s dividend payout ratio is presently 37.39%.
In other news, insider John Patrick Casey sold 22,500 shares of General Dynamics stock in a transaction dated Monday, July 16th. The stock was sold at an average price of $191.99, for a total value of $4,319,775.00. Following the completion of the transaction, the insider now owns 118,555 shares of the company’s stock, valued at approximately $22,761,374.45. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. 6.90% of the stock is owned by insiders.
Several institutional investors and hedge funds have recently bought and sold shares of GD. Bank of Montreal Can purchased a new position in shares of General Dynamics in the 2nd quarter worth about $258,844,000. Millennium Management LLC raised its position in shares of General Dynamics by 234.2% in the 1st quarter. Millennium Management LLC now owns 931,892 shares of the aerospace company’s stock worth $205,855,000 after purchasing an additional 653,083 shares during the last quarter. Caisse DE Depot ET Placement DU Quebec raised its position in shares of General Dynamics by 29.0% in the 2nd quarter. Caisse DE Depot ET Placement DU Quebec now owns 2,243,297 shares of the aerospace company’s stock worth $418,173,000 after purchasing an additional 504,326 shares during the last quarter. Levin Capital Strategies L.P. purchased a new position in shares of General Dynamics in the 2nd quarter worth about $68,282,000. Finally, CI Investments Inc. raised its position in shares of General Dynamics by 122.8% in the 1st quarter. CI Investments Inc. now owns 463,073 shares of the aerospace company’s stock worth $102,293,000 after purchasing an additional 255,188 shares during the last quarter. 85.38% of the stock is owned by hedge funds and other institutional investors.
General Dynamics Company Profile
General Dynamics Corporation operates as an aerospace and defense company worldwide. It operates through four business groups: Aerospace; Combat Systems; Information Systems and Technology; and Marine Systems. The Aerospace group designs, develops, manufactures, service and supports business-jet aircraft; and provides aircraft services, such as maintenance, aircraft management, charter, fixed-base operational, and staffing services.
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