Zacks Investment Research lowered shares of General Dynamics (NYSE:GD) from a hold rating to a sell rating in a report issued on Tuesday.

According to Zacks, “General Dynamics operates in a highly competitive market and has to rely on other companies to provide materials, components and subsystems for its products. Also it faces foreign currency fluctuations. Moreover, the company underperformed the broader industry in last one year. General Dynamics’ fortunes are tied to the cyclical aerospace market, which is currently in a recovery phase. Further, the company’s dependence on international sales for a major portion of its revenues exposes it to the risk of currency fluctuations and other geo-political risks. Being one of the only two contractors in the world equipped to build nuclear-powered submarines, General Dynamics’ diverse portfolio of products and services along with its wide customer base provides it with an opportunity to generate solid revenues from different sources.”

A number of other equities analysts have also issued reports on GD. ValuEngine lowered shares of General Dynamics from a buy rating to a hold rating in a research report on Tuesday, October 3rd. Deutsche Bank reissued a hold rating and set a $210.00 price target (up from $200.00) on shares of General Dynamics in a research report on Monday, October 2nd. Cowen reissued a buy rating and set a $230.00 price target on shares of General Dynamics in a research report on Thursday, October 19th. Citigroup reaffirmed a neutral rating and set a $215.00 target price (up from $210.00) on shares of General Dynamics in a report on Monday, October 9th. Finally, Jefferies Group reaffirmed a buy rating and set a $236.00 target price on shares of General Dynamics in a report on Thursday, October 26th. Four research analysts have rated the stock with a sell rating, four have issued a hold rating and nine have assigned a buy rating to the company’s stock. The company presently has a consensus rating of Hold and a consensus price target of $218.24.

General Dynamics (GD) opened at $203.45 on Tuesday. General Dynamics has a 1 year low of $171.65 and a 1 year high of $214.81. The company has a debt-to-equity ratio of 0.34, a quick ratio of 0.93 and a current ratio of 1.37. The stock has a market cap of $60,528.73, a P/E ratio of 20.28, a price-to-earnings-growth ratio of 2.43 and a beta of 0.72.

General Dynamics (NYSE:GD) last posted its quarterly earnings results on Wednesday, October 25th. The aerospace company reported $2.52 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.43 by $0.09. General Dynamics had a net margin of 9.94% and a return on equity of 27.98%. The company had revenue of $7.58 billion during the quarter, compared to analyst estimates of $7.94 billion. During the same period last year, the firm posted $2.36 EPS. General Dynamics’s revenue for the quarter was down 1.0% compared to the same quarter last year. equities analysts predict that General Dynamics will post 9.8 earnings per share for the current fiscal year.

The company also recently announced a quarterly dividend, which will be paid on Friday, February 9th. Stockholders of record on Friday, January 19th will be issued a dividend of $0.84 per share. This represents a $3.36 annualized dividend and a dividend yield of 1.65%. The ex-dividend date of this dividend is Thursday, January 18th. General Dynamics’s dividend payout ratio (DPR) is 33.50%.

In related news, insider John Patrick Casey sold 34,945 shares of the business’s stock in a transaction on Wednesday, November 1st. The shares were sold at an average price of $201.38, for a total value of $7,037,224.10. Following the completion of the sale, the insider now owns 144,378 shares of the company’s stock, valued at approximately $29,074,841.64. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, VP Gregory S. Gallopoulos sold 78,370 shares of the business’s stock in a transaction on Monday, November 6th. The stock was sold at an average price of $202.93, for a total transaction of $15,903,624.10. The disclosure for this sale can be found here. 6.70% of the stock is owned by insiders.

A number of hedge funds and other institutional investors have recently modified their holdings of GD. Quadrant Capital Group LLC boosted its stake in General Dynamics by 6.1% during the 2nd quarter. Quadrant Capital Group LLC now owns 645 shares of the aerospace company’s stock worth $110,000 after purchasing an additional 37 shares during the last quarter. Vantage Investment Advisors LLC boosted its stake in General Dynamics by 9.3% during the 2nd quarter. Vantage Investment Advisors LLC now owns 585 shares of the aerospace company’s stock worth $116,000 after purchasing an additional 50 shares during the last quarter. Captrust Financial Advisors acquired a new stake in General Dynamics during the 2nd quarter worth $129,000. WFG Advisors LP boosted its stake in General Dynamics by 0.3% during the 2nd quarter. WFG Advisors LP now owns 668 shares of the aerospace company’s stock worth $132,000 after purchasing an additional 2 shares during the last quarter. Finally, Fieldpoint Private Securities LLC acquired a new stake in General Dynamics during the 3rd quarter worth $148,000. 86.76% of the stock is owned by institutional investors.

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About General Dynamics

General Dynamics Corporation is a global aerospace and defense company. The Company offers a portfolio of products and services in business aviation; combat vehicles, weapons systems and munitions; information technology (IT) services and C4ISR (command, control, communications, computers, intelligence, surveillance and reconnaissance) solutions, and shipbuilding and ship repair.

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